Investing in property through your superannuation is a big decision—one that can have a lasting impact on your retirement. At, we understand the gravity of this choice because we’ve helped numerous Australians navigate this journey. Let’s dive into everything you need to know to decide if buying property in super is right for you.

Why Is Buying Property in Super Such a Big Decision?

For most of us, our superannuation is the cornerstone of our retirement plans. Dipping into it to invest in property requires careful consideration because:

1. It’s not just an investment—it’s your security for retirement

2. Property is a long-term, illiquid asset, so it’s not easy to change course.

3. Mistakes can be costly, both financially and in terms of your peace of mind.

We often hear from clients who feel overwhelmed at the thought of using their retirement savings to purchase property. This is completely natural. But with the right guidance, this can be a game-changing move to grow your wealth.

The State of SMSFs in Australia

Self-Managed Superannuation Funds (SMSFs) are becoming increasingly popular in Australia. Here are some key statistics:

• As of September 2024, there are over 621,000 SMSFs in Australia, managing more than $1.02 trillion in assets.

• Around 20% of SMSFs include direct property investments with most funds with balances between $200,000 and $2 million may have almost all of their assets in property.

This growing trend shows that more Australians are recognizing the potential of property to build a robust retirement nest egg.

Why do people Investment in Property via SMSFs

The biggest advantage in my opinion is using leverage to grow your super balance. With borrowing arrangements, you are multiplying wealth on a much bigger number.  

The second biggest is Tax Advantages!

Rental income in your SMSF is taxed at only 15%, and capital gains on properties held for over a year are taxed at 10%. In retirement, these taxes could drop to zero.

Our clients, Sarah and John (names changed) had an SMSF with $300,000 in funds. With our help, they purchased a $600,000 residential property in Brisbane using a 30% deposit from their SMSF and borrowing the rest.

What will this do for them:

• Rental income: $31,000 per year contributed to their SMSF balance.

• Property value growth: The property appreciated by 11% per year, increasing their property value to 1M

• Wealth growth: In 5 years, their SMSF will have a total benefit of $450,000 (property appreciation + rental income).

This case highlights how buying property in super can accelerate wealth creation with the right strategy and market.

If you are planning to buy property in SMSF, start by designing your SMSF property strategies that align with your financial goals.

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