Our Backyard

IS IT WISE FOR DIY SUPER FUNDS TO BORROW TO INVEST IN PROPERTY GIVEN THE RULES THAT ALLOW SUCH A STRATEGY ARE SO COMPLEX?
Absolutely. Borrowing to invest inside a DIY fund has potential to be a very powerful tool. The strategy doe have some complexity, so it is essential that an investor seeks professional advice. There are packages, starting from $5000 all-up, for advice, Nominee Company, trust deed and execution of all compliance elements, and they are relatively easy for the DIY super trustees to access. The key is to ensure the expected tax saving exceeds the cost of establishment, and there are good examples of this.

WHAT TYPE OF PROPERTIES MIGHT SUIT DIY SUPER INVESTORS? DO YOU HAVE A PREFERENCE FOR COMMERCAIL OT RESIDENTIAL REAL ESTATE?
We concentrate on residential property. It has historically less volatility and a lower correlation with other asset classes. This means it provides better diversification. If you want to borrow to buy a property in super, you’ll typically find the costs of establishment and borrowing will be lower with residential real estate too. Commercial and office real estate, while offering strong headline rent, can have protracted periods of vacancy and experience subdued capital growth – issues a DIY trustee will have to understand and accept.

Source: Chris Duffield from Dixon Advisory, Financial Review.

SEACHANGE VACANCIES:

Great Ocean Ecology
“Housekeeper and also Chef”
Contact Lizzie Corke lissie@capeotwaycentre.org

EVENTS FORTHCOMING:

TARTUFEE
A cheeky comedy by Moliere in an adaptation by Simon Gray
Directed by – Al Mustapha, Al Shahio
Wednesday October 5th – Saturday October 8th at COPACC $18 – $24
Ph: 5232 2077

MEETINGS:

APOLLO BAY FOOTBALL CLUB AGM
Wednesday 28th September 7.30 pm @ the Krambuk Room

APOLLO BAY CDFLNA NETBALL CLUB
18th October 2011 at the club rooms.

“ALL THOSE IN NEED OF A HOBBY”

“Patchwork Quilting”
The next patchwork quilting meeting to be held on Monday 19th September at 7pm at Marrar Waurn

“Save the Koala Month”
Koalas are disappearing. Loss of a koala habitat and koala food/trees is leading the koalathreat
www.savethekoala.com

FORTHCOMING OPPORTUNITIES

Mortgagee Sale – 50 Parkers Access Rd, Wattle Hill Auction Saturday 15th October at 2pm.

Auction – 56a & 56b Pascoe St, Apollo Bay Saturday 22nd October at 1pm.

See you in Our Backyard.

Darren Brimacombe
0418 317 424
darren@greatoceanroadrealestate.com.au

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