Australian Federal Government commits $700m p.a. to funding SDA for next 20 years
Providing an ultra-high yield investment opportunity for savvy investors looking for the next big opportunity
11.5% NET rental income!*
For almost a year, our team has been conducting focus groups within the disability sector, working in partnership with NDIS approved housing providers and accountants in preparation of the 2019 rollout of the National Disability Insurance Scheme – Specialist Disability Accommodation (SDA) into Queensland. We believe we are at the forefront of the NDIS SDA rollout and encourage you to investigate this most worthy of property investments with significant upside for not only yourself but our community.
SDA Information. The NDIS backstory: The UN – The rights of persons with disabilities:
The Australian Government was one of the first countries in the world to be a signatory of the ‘UN Convention on the Rights of Persons with Disabilities’. The Federal Government via the NDIS SDA program have committed $700,000,000.00 annually for the next 20 years through directing substantial ‘rental assistance’ to generously compensate ‘SDA investors’ who specifically invest in compliant homes to drastically increase suitable housing supply. Link to UN Charter
What is the NDIS / SDA? :
The National Disability Insurance Scheme is a Federal Act developed in 2013 to allow people with a disability to exercise choice and control about matters that affect them- such as their housing. ‘SDA’ (Specialist Disability Accommodation) refers to accommodation for people who require specialist housing solutions – not readily available in the traditional Australian rental market. As of January 1st, 2019 SDA funding is now rolling out in Queensland.
A massive under supply:
Studies in March 2018 found there is a major shortfall of disability accommodation in Australia, so to meet the demand there needs to be a 60% increase in the number of available homes. Read the full findings here: NDIS SDA housing shortfall
Currently, there are over 28,000 Australians with a disability that the NDIS has identified as living in inappropriate accommodation. The NDIS SDA funding is to encourage property investors and institutions to build more disabled centric homes. Sadly there are also 6,000+ young Australian’s who are currently living in aged care facilities due to a lack of housing options and this number is increasing by 50 young Australians a week. SBS video: Young People with Disabilities Trapped in Aged Care.
SDA SMART HOMES:
Thanks to generous SDA funding, our ‘Platinum’ 3 bedroom plus carer in separate accommodation home attached offers investors very attractive yields of approx 14% gross and 11.5 %pa net* depending on the price of land chosen. Total package price is approximately $663,770 turnkey ready to receive gross income of approx $99,000 pa ($1,782pw) comprising $30,899 from the Commonwealth for each of your 3 x NDIS SDA funded residents. The Carer resides in his or her own private adjoining accommodation under the same roof to readily care for 3 disabled residents.
SDA SMART HOMES are executed via a standard house and land contract with stamp duty only payable on the land component saving you over $18,000.00 in initial costs. Land is selected in partnership with the NDIS sector and our owners. In short the Federal Government has created the SDA funding model to attract new property investors into this worthy sector.
Should you chose to proceed, your SDA investment home when built could take three young Australians out of inappropriate aged care and place them in a far more appropriate new home along with housing there Carer. Such a worthy cause enhanced by the knowledge that over the next 2 decades of ownership, the SDA Commonwealth funding model could pay you around $2,000,000.00 to provide this specialist disability housing opportunity. That’s the transaction summary in a nutshell.
The Australian property industry and media are largely silent or ignorant to the NDIS SDA opportunity however we are not alone in identifying the SDA funding incentive as an attractive long term opportunity. The one difference with SDA SMART HOMES however is that you own the home and receive the attractive SDA income via our NDIS Home provider partnership– not the institutions. Refer attached Financial Review article and link here: Group kickstarts $1b for homes with disabilities 22.02.19
*11.5%pa Net yields based on a Platinum SDA SMARTHOME purchase price $663,770 turn key in Moreton Region (Brisbane North) with 3 x SDA Participants. Example taxable income of $85,000p.a + $5,000 cash deposit.
Note: Yields & returns may vary slightly depending on the location of the home and your personal circumstances. While all care has been taken to provide accurate figures, we do not guarantee the outcome and recommend you seek independent financial advice. All information is correct at the time of publication but subject to change without notice.