In an article for the Property Observer, Jonathan Chancellor brings to light the spurious conduct of real estate agents and property promoters who offer SMSF advice without holding an Australian Financial Services (AFS) license.
Promoters are coaxing investors into using their SMSF kitty to buy residential and commercial properties. The appalling state of affair became further evident with the fall of one-stop-shop, Charterhill.
What proves to be the undoing of all such operators is the fact that they use one-size-fits-all strategy for every kind of investor. How can you go for a single combination (SMSF, property, and Limited recourse borrowing) for every hierarchy of investor and not face a bust, asks Chancellor.
Aspirations of fly-by-night dealers and delinquent promoters need to be put to rest; after all, we are talking about SMSF money pouring into real estate- and it is a sum of billions, it needs being asserted.
You can read the original article here.
