Wondering whether NDIS property Investment is worth your money, time and energy?
Well then, keep reading as by the end of this article you may find answers to all your questions. We have brought to you a certain set of reviews with some recommendations that might help you make a precise decision.
Before moving further here is brief about – what the heck is an NDIS Property Investment that is getting on every long-term positive cash flow seeker’s mouth now-a-days?
NDIS basically stands for National Disability Insurance Scheme which is a life-changing initiative by the Australian Government for people surviving with permanent and significant disability between the age of 7 to 65 years.
NDIS governed SDAs (Specialist Disability Accommodation) are specialized housing facilities for the eligible NDIS participants which allows them to live a normal life amongst the normal people instead of hospitals or aged folks care.
In order to increase the number of SDAs, the government opened up this market for private and individual investors. This is the part where you as an investor will be interested. So, if you are new to the whole NDIS Property investment and want to know more about how it can benefit you then you may want to check out our NDIS SDA An Exclusive Investment Opportunity.
Here we will know what investors got to say about NDIS property Investment.
These reviews are taken from various sources and after a good amount of research. Let’s hop in now!
“My biggest fear was what if I couldn’t find the tenants and what if the tenants leave soon and my property remains vacant? But now I gotta say that in comparison to my regular tenants, NDIS property tenants are in for the long-term if all necessary requirements are taken good care of while building the house.” – Olivia
“I would like to think that people might be driven by the ethical nature of the investment, but I think it’s more to do with the net yield that can’t be touched by most investment assets,” says Mr. Thomas.
“The reason why I invested in NDIS property was the safety and security as it is backed by the government with amazing long-term rental yields. It also facilitates investment via SMSF” – SDA Investor
Potential investors should still apply the same fundamentals as they would to any other property purchase, suggests Noah.
A Investor, says that banks may put a lower value on the homes, too, as there are unlikely to be comparable ones in the same area. In addition to this, she states that NDIS property can be a great investment if one can afford the initial capital outlay.
Some investors also suggest doing a focused research towards the suburbs you plan to buy or build an SDA in, as the pricing and yields may differ.
“SDA is in its infancy and has tremendous potential to serve the needs of both participants but also offers an attractive asset class to investors.” – SDA Investor
“The most appropriate investors in the market, however, are long-term ones – those investors who are expecting to hold the assets for 20 years, and can provide permanence of housing. These investors necessarily take a long-term view of pricing, and require threshold returns because of the illiquidity (they don’t expect to exit).” – SDA Fund Manager.
“Being an investor myself, I did my thorough research and then stepped into it. The most satisfying thing is that I am earning even while sleeping and that too knowing that I have contributed to a noble cause.” – Jack Smith.
“With the increasing demand, NDIS property investment can be an incredible option due to the demand of time. However one should always consider the standards levied by the regulatory bodies to avoid any loss” – SDA Investor.
“My experience with NDIS property has been significantly healthy and good up-till now. Initially one may find a little difficulty in finding a proper tenant but eventually with the experience and right agency the process may become easy and smooth.” – Mrs. smith.
“The house design and location matters the most. At first I invested in a wrong locality and made some losses but I still took the risk to invest again and this time with more preparation and a better plan. According to my research, Brisbane is the finest Suburb one can invest in.” – Lily.
CONCLUSION
NDIS SDA or otherwise there are always a few risks involved in investments such as regulator risk, a lack of available investment opportunities, development and construction risk, tenant vacancy and lack of rent, counterparty risk, venture partner performance and illiquidity.
The only difference is as NDIS SDA has Bipartisan Political Support the risks would be relatively low as compared to any other property investment options. The most important risk to note here is the regulatory risk as NDIS housing investment is still an evolving concept. But if you must have heard, higher risk leads to higher ROI as well.
So apart from these few risks (which are still minimal), the investors have shown considerable interest in investing in NDIS Property as they feel it might offer risk-worthy financial returns (backed by Commonwealth Government payments) thereby creating a positive impact for people with disabilities in Australia.
We really hope this article helped you clear some clouds of doubts from your mind. If you still have something unanswered then you may leave comments below and let us help you with that.
