FAQs

Get quick answers to common questions about investing in SDA housing.

When do I receive income?

Once the fully completed and compliant SDA dwelling is handed over and then registered with the government we are then able to allow participants to occupy the property. We then organise distributions from this partnership and these will be paid quarterly.

Can I Invest with my SMSF?

Yes, investing through a Self-Managed Super Fund (SMSF) is one of the common ways to finance an SDA property investment, provided it complies with all regulations. Seeking professional financial advice is recommended due to varying considerations for each financing option

Partnership or invest on your own?

Partnering can offer a structured approach to SDA investment, simplifying the process. This particular opportunity involves an Investor Contribution and a Partner Contribution, while we take on the debt. This contrasts with investing on your own, where you would be responsible for the entire cost and debt.

Do I need to pay anything else?

No, all ongoing costs, including the SDA management fees & other expenses (such Water/Services, Rates, insurance, etc.), and Loan Repayment, are deducted from the gross lease income. Meaning no additional payments from the investor are required after your initial contribution.

Who is the Partnership with?

The partnership involves you or your entity, as the Investor and our SPV (special purpose vehicle) as the Partner. This new SPV entity is created for the specific financial purpose & consolidate both our holdings and it exists to hold the investment for the life of the project.

What are the risks?

Key risks in SDA investment include dwelling compliance with all national regulations and design standards. Build process to take longer due to approvals and tenant matching, and the need for specialist SDA Property Management. Location risks include avoiding oversupplied postcodes and Greenfield locations which may lack infrastructure.

I want to invest in SDA, but I’m worried I won’t get participants.

At SDA Living Solutions, we work backwards from demand. We partner with established SIL (Supported Independent Living) providers to ensure participants are already identified before we secure or build a property.

I’ve heard it’s hard to obtain finance for SDA properties — is that true?

Yes, financing can be challenging, as many lenders apply strict criteria. However, we have an alternative pathway to make SDA investing accessible for most.

My friend built an SDA unit block but can’t find participants. What makes your approach different?

Participant feedback consistently shows they don’t want to live in large unit blocks with other people with disabilities. They want a home that supports their lifestyle and feels like their forever home. Our model is built around individual needs, smaller dwellings, and demand-driven locations.

I’ve heard SDA properties are expensive to build. Is this true?

SDA homes are more specialised and therefore more costly than standard homes. A common mistake is trying to build cheaply with minor modifications, which often leads to vacancy. Success comes from building the right home in the right location with SIL provider support.

Can I use my SMSF (Self-Managed Super Fund) to invest?

Yes. In fact, around 90% of our investors use their SMSF to fund their SDA property.

Do participants stay long-term, or is there high turnover?

High turnover typically occurs when properties are built in unsuitable areas or designed without participants’ needs in mind. By focusing on demand-led builds in the right areas, our homes are designed for long-term occupancy.

What are the main risks in SDA investment, and how do you minimise them?

The biggest risk is building the wrong type of home in the wrong location. We mitigate this by conducting thorough demand and supply analysis, working directly with SIL providers, and building only where participants are waiting.

Still have questions?