With the cost of housing in Australia rising, many are looking for ways to get a foot in the door. One option that is becoming increasingly popular is to use superannuation to fund a house deposit. In 2022, those looking to buy a house may be able to use their superannuation to pay for their deposit, making the home ownership dream a reality.
Qualifying for a House Deposit Using Super
In order to qualify for a house deposit using super, you must meet certain criteria. Firstly, you must be at least 65 years of age, or have reached your preservation age, which is usually between 55 and 60. Secondly, you must have held your superannuation for at least 10 years. Lastly, you must have a total super balance of less than $500,000.
Advantages of Using Super in 2022
Using superannuation to pay for a house deposit in 2022 has a number of advantages. Firstly, it can be a great way to get into the property market without having to save up a large amount of money. Secondly, it can also help to reduce the amount of debt that you take on, as you will only need to borrow a smaller amount of money from the bank. Lastly, it can help to reduce the amount of tax that you pay, as superannuation contributions are taxed at a lower rate than other forms of income.
Using superannuation to pay for a house deposit in 2022 can be a great way to get into the property market without having to save up a large amount of money. It can also help to reduce the amount of debt that you take on, as well as the amount of tax that you pay. However, it is important to make sure that you meet the criteria before attempting to use your superannuation for a house deposit.