Borrowing Through Your Self Managed Superfund
SELF MANAGED SUPER FUND HOME LOAN
Available for the purchase of residential investment property to a maximum 70% Loan to Valuation Ratio.
Based on the Standard Variable Rate Loan, there are no monthly, annual or other ongoing fees and a competitive variable interest rate for the duration of the loan. Variable rate loans allow unlimited additional repayments at any time, without penalty.
Fixed rate loans allow additional non-scheduled repayments of less than $10,000 per year, without penalty.
No account keeping or ongoing fees
No fees for making additional repayments (fixed rate loans may differ, see below)
Direct Salary Crediting
|Ability to Make Additional Repayments||You can make additional regular or lump sum repayments on a variable rate loan any time, as often as you like, with no additional costs. Charges may apply to fixed rate loans in certain circumstances e.g. when additional unscheduled repayments of $10,000 or more per annum are made.|
|Loan Structure / Repayments||A single fully drawn loan with either P&I or I/O, variable or fixed rate repayments.|
Borrow to purchase residential investment property.
Borrow to refinance an existing SMSF residential investment real property
Must be for investment purposes – cannot be owner occupied
Purchase must be from an unrelated party
Refinance dollar for dollar and reasonable associated costs only – no cash out
|Loan Term||Up to 30 years|
|Repayment Type||Maximum Interest Only period 5 years|
|Repayment Method||Direct Debit or Direct salary credit|
P&I loans can be fortnightly or monthly or
I/O loans are monthly, due on the 1st of the month
|Redraw / Portability||No Redraw or substitution of security allowed|
|Interest Calculations||Calculated on a daily balance and charged once a month|
|Statement Cycle||Issued 6 monthly|
|LVR||70% of lesser of purchase price or valuation|
Registered first mortgage
Residential security only
Primary postcodes category 1 or 2 or by Exception
Unacceptable security: second mortgages, off the plan, residential/rural acreage > 2 hectares, vacant land
|Title Holder||The Property Bare Trust or the Trustee, depending on the State jurisdiction of the land title|
Evidence of Income. Full documentation only.
Full Valuation required
Independent Legal & Financial advice to be obtained by each Guarantor
Financial advice not required when referred by a Financial Planner
Serviceability takes into account:
Rental return on subject property
SMSF ability to meet commitments
Full financial disclosure of assessable income from all guarantors / adult members