There are around 4.3 million Australians who have a disability. The National Disability Insurance Scheme (NDIS) will provide about 460,000 Australians aged 18 to 65, who have a permanent and significant disability with funding for supports and services.
It delivers a range of Specialist Disability Accommodation to fulfil the needs of Participants by creating safe, secure and sustainable homes.
Homes that offer many points of difference through contemporary design, innovation and quality, to provide Participants with security, easy access, residential privacy, and those little extras that make life fun.
Each Home is built to High Physical Support SDA Standard with Platinum Inclusions and the ADH High Standard of Finishes.
These new SDA dwellings will diversify away from group homes with shared supports towards contemporary, smaller, dwellings with innovative models providing individual support to Participants.
Over 4.3 million Australians have some form of disability which, is around 17% of the population. Of those people, around 500,000 have a permanent and significant disability and require additional support. The Federal Government has currently set aside $26.2 billion for 2022.
These supports will enable participants to use their skills and improve their independence, It will also help a person in their daily life and help them participate in the community and reach their personal goals. For some, these supports are minimal, but for around 28,000 people they will require Specialised Disability Accommodation (SDA) in addition to their other supports.
All major political parties support the NDIS, and it is legislated through a Federal Act of Parliament, which would require the agreement of all States and Territories to change.
It is a long-term initiative, and it is here to stay.
Given that the HPS Coast SDA is relatively new, there are a limited number of people with expert knowledge of
the emerging SDA market.
As an investor, the most important thing to remember is that you are not buying a regular house, so don’t compare it to the investment property next door.
These houses are more expensive to build by nature of their very specialised service, and the financial characteristics are more like a commercial property than a residential property.
As this is a yield-based investment, resulting in even greater capital gains potential, and should you choose to sell the property, you will almost certainly sell it based on its yield, delivering better value than a residential house.
Previously, most participants had only their pension and some Commonwealth rental assistance to help them pay for their housing. Many participants, therefore, were either stuck at home, in inappropriate institutional housing, such as in a hospital, aged care, or in a nursing home because their funds were not enough to enable them to move into a customised home that would suit their highly complex physical and cognitive needs.
As a result, the NDIS implemented SDA as an additional “rental subsidy” that provided each participant with between $32,107 and $68,391 to contribute toward their rent. These amounts are enough to incentivise the private sector to invest in appropriate housing and help the Federal Government fulfill its commitment.
The first three categories apply to participants who have predominantly physical disabilities, and the fourth category is primarily related to mental or cognitive disabilities, although it should be noted that many would have overlapping disabilities.
A participant can over time be reassessed and move between categories. For this reason, Positive Income Properties focus only on the two highest-demand categories: HPS and Robust.
If you’d like to learn more about this you may download the Introduction to SDA Investing Booklet when you click the button below.