Australians Are Taking Control of Their Super with SMSFs — And Using Property to Build Wealth

Amid market turbulence, rising living costs, and growing scepticism about traditional superannuation funds, an increasing number of Australians are turning to Self-Managed Super Funds (SMSFs) as a more secure and strategic way to build wealth for retirement. At the heart of this shift is a desire for control, transparency, and asset stability—especially through direct property investment.

This trend isn't just anecdotal. According to the Australian Taxation Office (ATO), the number of SMSFs in Australia has grown to over 610,000, managing more than $930 billion in assets as of 2024. And one of the most popular investment strategies within SMSFs? Residential and commercial property.

The SMSF Surge: Why Australians Are Opting Out of Big Super

As many Australians watch their retail and industry super balances fluctuate with the market, interest is surging in alternatives that offer more tangible control. People are increasingly realising they don’t have to accept volatility or poor performance as a given, and can align your superannuation strategy with your own investment values and goals.

news.com.au highlights the real frustration many Australians feel when it comes to their current super funds—confusing statements, limited investment options, and opaque fee structures. This has led to growing calls for change:

• 54% of Australians don’t feel confident their super will be enough to retire comfortably (Finder, 2024)

• Over $60 billion was rolled out of APRA-regulated funds in 2023, much of it redirected to SMSFs

  
  

Why Property is the Preferred Asset in SMSFs

Among the many options available in an SMSF—from shares and ETFs to precious metals and cryptocurrency—property consistently tops the list.

Here’s why:

Tangible and Stable

Property is a real, physical asset—unlike shares or managed funds, which can feel intangible or abstract. This tangibility can provide peace of mind, particularly in times of market volatility.

Strong Long-Term Growth

According to CoreLogic, Australian residential property values have grown by an average of 6.8% per year over the past 25 years, making property a proven long-term investment vehicle.

Rental Income + Tax Efficiency

Rental income from SMSF-held property is taxed at just 15%, and may even become tax-free in retirement. That’s a compelling proposition for those looking to supplement retirement income.

Borrowing Power (LRBA)

SMSFs can use a Limited Recourse Borrowing Arrangement (LRBA) to access higher-value properties than they could afford with super savings alone—provided strict rules are followed.

Business Owners Can Lease to Themselves

Business owners can purchase commercial premises through their SMSF and lease it back to their own business at market rates—a strategy that offers both tax and operational benefits.

What the Experts Are Saying

Leading commentators and financial professionals continue to emphasise the empowerment potential of SMSFs:

We’ve seen a surge in enquiries from everyday Australians wanting to take back control of their super. It’s no longer just for the wealthy Scott Haywood, finance commentator, Money News.

Is SMSF Right for You?

While SMSFs offer control and flexibility, they also come with responsibilities and compliance obligations. Before setting one up, consider:

• Do you have enough in super to make it viable? (Generally $200,000+ is recommended)

• Are you willing to take on the administrative and legal duties?

• Do you have professional support (e.g. a financial advisor, accountant, and SMSF specialist)?

  
  

At WT Capital, we specialise in helping Australians navigate the SMSF property journey—from setup to strategy to securing the right investment property. Our team ensures compliance with ATO regulations and helps clients unlock the long-term benefits of tailored super strategies.

Final Thoughts

The tide is turning. More Australians are recognising that taking control of their super doesn’t mean going it alone—it means going smarter. By establishing an SMSF and strategically investing in property, you can turn your retirement nest egg into a growth engine.

Ready to take the next step? Contact WT Capital today to explore how we can help you invest in property through your SMSF—confidently and compliantly.