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October 31, 2022

The Long-Term Outcomes for SDA Tenants

Investors seeking to align their investments with their values typically seek socially responsible investments or ethical investment options within their investment portfolio. While this usually represents stocks in ethical companies, property investors looking to make a socially-focused addition to their property portfolio are turning to SDA property investment.

How Specialist Disability Accommodation changes lives

With the introduction of the National Disability Insurance Scheme (NDIS) came Specialist Disability Accommodation (SDA). Also known as NDIS properties, SDA dwellings are purpose-built for NDIS participants who meet the eligibility criteria and have extreme functional impairment or very high support needs.

The Australian government recognised that for many Australians with significant disabilities, there was a severe lack of specialised housing, with many living in nursing homes prematurely! SDA properties are built to strict design categories, which provide enhanced provisions to ensure that NDIS-approved tenants have the accessibility and functionality required to live comfortably.

Enhanced sense of independence

Working alongside NDIS service providers such as carers, tenants who live in SDA homes are able to build an enhanced sense of independence. Home automation, accessible bathrooms, benchtops, and door widths to accommodate wheelchairs are just some of the features that enable those living in SDA homes. The location of the dwellings also plays a part in ensuring that the tenants can easily access utilities and facilities such as shopping and public transport.

Social skills, health and confidence boost

One of the incredible long-term outcomes for SDA tenants is the rise in health, confidence and social skills. The NDIS has been revolutionary for many Australians living with disability, but what SDA homes are able to provide is a sense of belonging and community.

Living with other peers provides socialisation for tenants who may otherwise have been isolated. Communication, self-advocation, and life skills such as cooking and preparing meals are all wonderful outcomes of living arrangements in SDA homes.

In addition, NDIS service providers are provided with the correct environment to be able to provide full support to their patients. This includes health management appointment support. Community access workers are able to assist tenants with event planning and activities to enrich their lives.

Finding forever homes

SDA housing provides more than just bricks and mortar for those with extreme functional impairment to live in — SDA housing provides forever homes for tenants. With the appropriate provision and support offered through the NDIS, tenants are not only able to access suitable housing but often find their forever home when they move into Specialist Disability Accommodation.

The benefits of SDA housing investment

The meaningful impact of SDA homes on SDA participants is clear, however, there are also many benefits of NDIS property investment over purchasing a standard investment property.

High yield potential

The financial return potential of NDIS housing is incredibly high, thanks to NDIS funding from the federal government. SDA payments are made through SDA funding directly to the SDA provider to help either build or maintain the SDA dwelling. On top of this, the tenants are each required to make a reasonable rent contribution from their disability support pension. This means that the net yield for NDIS homes to the investor can substantially higher than regular investment property.

High growth potential

NDIS SDA homes can only be lived in by approved participants who require specialised housing; for this reason, the SDA market works separately from the open market. This in itself allows investors to diversify their portfolio against any other investment property but also allows them to access an investment that is in high demand.

Understanding more about NDIS housing

Are you looking at an SDA home as your next investment? We explore more about special disability accommodation below.

Can I build an SDA property?

Yes, as an investor, you can buy a home and land package to build specialist disability accommodation. However, many additional steps must be taken to ensure that you’re constructing an SDA-compliant home. SDA builders are certified in building homes to the strict SDA design categories.

What are the design categories of NDIS SDA homes?

The four design categories support different needs. They are:

1 . High physical support

2 . Improved livability

3 . Fully accessible

4 . Robust

Who can provide NDIS housing?

Organisations, a family member, or a private landlord can all be SDA providers. Anyone can invest in NDIS housing and offer the homes for rent through a registered NDIS provider.

How will an NDIS participant find my property to rent?

Suitable SDA homes are hard to come by. The NDIS sector works in conjunction with many different organisations and real estate agents to ensure that NDIS participants are able to easily source suitable housing. Many organisations will connect registered NDIS providers with participants and facilitate advertised vacancies.

How you can access an SDA property as your next investment property

More and more private investors are looking to match their financial objectives with their ethical objectives. If you’re one of the many benevolent investors wanting to make a positive impact on your community in the near future, Apollo Investment provides an end-to-end specialist solution for NDIS property investment.

Learn more about how you can contribute to long-term positive outcomes for SDA tenants while accessing long-term financial returns by contacting our dedicated panel of experts.

Get in touch with our team for more NDIS Property Investment information now.

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