SMSF Loans anticipates that new SMSFs seeking to buy and settle a property by Christmas are starting to run out of time.
“We believe that early October – around the 10th – is the real deadline for commencing an SMSF property purchase with the expectation of settling by Christmas. No one wants a property transaction to drag over Christmas and we believe that a conservative date like 10th October is also a practical guide for new SMSF trustees. ”
“While we have access to lenders who can comfortably settle in a shorter timeframe, it is better to look at the best outcome possible across the whole range of lenders in this sector,” said Craig Morgan, Director, SMSF Loans.
Established SMSFs can start later but early November is the latest that they can commence property acquisition with a Christmas deadline in mind.
“The changes to SMSF borrowing rules to allow improvements to properties will definitely lead to more SMSF lending in 2012. SMSF lending was increasing anyway as accountants and advisers became more comfortable with clients buying property inside an SMSF,” said Mr Morgan.