Buying property is a big financial decision and there are many issues to take into account.
Beyond the obvious considerations of saving a deposit and budgeting for mortgage repayments and property maintenance, you should consider how you would cover those costs if you can longer work. There are a range of insurance options offered by super funds and other institutions that can cover you for illness, injury, loss of income or death.
If something was to happen and you could no longer pay the mortgage, the bank cannot take money from your superannuation account to recover the debt.
People experiencing financial hardship may however be able to access their super early to assist in meeting mortgage repayments and living expenses. Accessing your super early is a detailed process and does not happen immediately. Centrelink has more information on the criteria for accessing super early. Or you can contact your fund.
As a general rule, you cannot take money out of your super fund to buy property. For those with a self-managed superannuation fund (SMSF), there are some special rules that allow money in your SMSF to be used to invest in property: but this is the super fund investing, not you as an individual. In other words, you cannot use money from your superannuation to buy a home to live in.
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