As a 55-year-old single mum with a self-managed super fund (SMSF), Sarah was focused on building a steady, income-generating portfolio that could support her lifestyle both now and well into retirement. Seeking predictable returns to enhance her SMSF’s income base, Sarah found that traditional investments and bonds offered minimal returns and the stock market’s volatility didn’t always align with her strategy of preserving her SMSF’s capital. Sarah needed an investment to add to her portfolio that provided secured, reliable income and aligned with her goal of capital stability.
After consulting her financial advisor, Sarah was introduced to Credit Connect Group (CCG) and our first mortgage investment opportunities. Through CCG, Sarah found an option that could deliver regular monthly returns backed by Australian property assets, giving her SMSF the income stability she was looking for without the volatility associated with other investment types. CCG’s first mortgage investments provided a structured, reliable income source while safeguarding her principal with tangible, Australian real estate.
Why SMSF’s Choose CCG’s First Mortgage Investments:
- Monthly Income - Consistent returns from first mortgage investments, enhancing SMSF cash flow without capital erosion.
- Secured by Property - Investments are backed by Australian real estate, providing robust, asset-backed security.
- Capital Preservation - Low LVR and rigorous vetting processes protect investors’ principal, ideal for SMSFs focused on safeguarding funds.
Sarah’s Investment: Stability and Reliable Returns
Sarah opted to invest $250,000 from her SMSF into a CCG-managed first mortgage loan supporting a residential development project. This investment allowed her to diversify her SMSF portfolio into a secure income source, while the property’s high valuation and CCG’s comprehensive borrower assessments provided the added reassurance she needed. The CCG team was thorough in explaining every detail, ensuring Sarah felt confident that her SMSF funds were well-protected.
With this particular investment, Sarah’s SMSF earned a 9% annual return, paid monthly. This dependable monthly income of approximately $1,875 allowed her SMSF to enjoy consistent cash flow without relying on other fluctuating assets, comfortably meeting her income needs while protecting her SMSF’s principal.
Outcome: Income Stability and Capital Security for Sarah’s SMSF
For Sarah, investing in a CCG first mortgage investment fund provided exactly what her SMSF needed: stable, reliable income and capital preservation, supported by the security of a first mortgage position. CCG’s regular updates and professional oversight reinforced her confidence in her decision and the monthly income provided her SMSF with the cash flow stability it required.
At the end of the 12-month loan term, Sarah’s SMSF received the full principal back, along with $22,500 in interest income. Impressed by the performance, Sarah decided to reinvest a component of her SMSF’s funds with CCG knowing her portfolio was secure in the hands of a trusted partner. First mortgage investments offer SMSFs a compelling blend of income stability and secure, asset-backed returns that SMSFs value highly.
How CCG Prioritises Investor Security:
- Rigorous Due Diligence - Every investment undergoes thorough assessment to ensure it meets CCG's high standards for security and reliability, safeguarding SMSF capital.
- Conservative Lending Criteria - Low LVRs and strict credit evaluations provide SMSFs with added confidence in the stability of their investments.
- First Mortgage Secured Investments - Backed by Australian real estate, CCG’s first mortgage structure ensures SMSFs have repayment priority and reduced risk exposure.
Our first mortgage investments present investors with the unique opportunity to generate high returns via registered mortgage interest payments. Though all investments carry risks, investing in a mortgage fund backed by a security property adds an extra layer of protection. CCG undertakes comprehensive research into each opportunity to ensure investors have a stable, reliable source of income.
Get started...
If you would like to find out more about investing in a CCG first mortgage investment via your SMSF fund, speak to our Investment Team on 1300 795 507 or email us at [email protected].