subscribe to our newsletter sign up
LIVE
Royal Commission superannuation hearings - Live Coverage:

Trustees cautioned on property market prices

With the year-long boom in residential real estate effectively over, SMSF property investors shouldn’t expect all future property purchases to increase in value, according to Propell National Valuers.

 

Propell National Valuers, national research manager and economist, Linda Phillips said the residential market is showing signs typical of an “end of an innings”.

“What it means is if an SMSF is going to buy into this market, [trustees] can’t just assume you can buy anything and it will go up in value,” she told SMSF Adviser.

“The market faces headwinds in the form of the traditionally slower winter months, the painful federal government Budget and rising unemployment”, she added.

With looming release of the Budget, Ms Phillips said she does not believe there will being any changes to rules concerning SMSF property investors.

“We did flag that they might remove negative gearing and [the government] did consider it, but it is too hard,” she said.

“However they might look at tightening the rules around negative gearing,” she added.

Trustees cautioned on property market prices
nestegg logo
subscribe to our newsletter sign up
FROM THE WEB
Recommended by Spike Native Network
Anton Boreckyi MFP C... - For God's sake, what is this Barrister looking for? He certainly will not be receiving any accolades. if an investor has made the decision to their.......
Anonymous - Is Mr Hodge trying to give personal financial advice?....
Anonymous - Mr Wilkins, the quoted 'expert', has obviously not read the Mercer analysis which states that except for an incredibly small (and irrelevant portion.......
Anonymous - Every single adviser knows that when we did the right thing with commissions, including insurance within super, CFS just stopped adviser payments and.......