The National Disability Insurance Scheme (NDIS) provides programs to support people with disabilities, and their carers, in achieving their life goals. Specialist Disability Accommodation (SDA) is a part of the NDIS scheme that addresses the housing needs of eligible NDIS participants.
Currently, there is a significant shortage of SDA housing in Australia, which creates an opportunity for investors. SDA housing investment offers higher returns than standard residential rental properties and helps people with disabilities who need accommodation that is fit for purpose and gives them choice and control.
Why Invest in Disability Housing in Queensland?
The National Disability Insurance Agency initiated the SDA program within the National Disability Insurance Scheme with New-Build SDA properties eligible to receive funding for 20 years. The government has also allotted $700 million annually to provide homes for eligible NDIS participants. With this assurance, investors can feel secure when investing in NDIS property.
The SDA program provides a profitable return on investment for the long term, as the participants are typically long-term tenants. These homes, if constructed to the high SDA standards, will become their "forever home."
The return on investment for SDA depends on its location. For example, investing in NDIS homes in Queensland has proven to bring in high yields. Investors can receive a regular income through three separate components: the SDA payment, the Commonwealth rent assistance, and the reasonable rent contribution from the participant's disability support pension.
Benefits of Investing in Disability Homes
- High Yield: NDIS housing investment can provide a high rental yield of between 8% – 12%.
- Low Risk: The SDA funding will continue for a period of 20 years.
- Social Impact: Investing in disability homes provides not only profitable returns but also assists many thousands of PWD, who are in desperate need of suitable accommodation. It is a true social impact investment.
Addressing the Shortage of Suitable Housing for People with Disabilities
Suitable housing for people with disabilities allows them to live more independently, and it improves their mental health. However, many people with SDA funding, or in the process of obtaining their SDA funding, are waiting for suitable homes. Many of these people are living in inappropriate homes, aged care and nursing homes, and hospitals.
According to survey data, 6% of people with disability in Australia who receive funding under the NDIS (currently over 580,000) will qualify for SDA funding. NDIS PROPERTY AUSTRALIA sells SDA properties that suit the needs of people with disability and fit the budget of investors.