FAQs
How do I earn money with PropStake?
Investors benefit in two ways:
Rental Income: You receive monthly or quarterly distributions from the net rent collected, proportionate to your units.
Capital Growth: When the property value increases over time, your units increase in value. You realize this growth when the property is sold or your units are transferred.
How does Propstake work?
Each property is purchased under an individual Unit Trust. When you invest, you are issued "units" in that trust relative to your dollar contribution. This gives you a legal, proprietary interest in the property’s income (rent) and capital growth.
Is there a minimum investment period?
Yes. To protect the stability of the trust and allow the property value to compound, there is a minimum lock-in period of 3 years. This ensures we aren't forced to sell during short-term market dips.
What is PropStake?
PropStake is a property co-investment platform that allows you to own a fractional stake in high-quality Australian real estate. Instead of needing a massive deposit for an entire property, you can invest an amount that suits your budget and hold a proportionate share of the asset via a secure unit trust.
What happens after the 3-year lock-in?
After the initial period, investors can vote on whether to continue holding the asset, sell the property on the open market, or facilitate a "unit transfer" if an individual investor wishes to exit while others stay.
Who sources the properties?
We partner with Jaira Properties, a specialist Canberra-based agency. They use local expertise and data-driven analytics to source high-yield residential and commercial assets that aren't always available to the general public.
General Business Model
Investment & Returns
Legal & Security
Is my investment secure?
Absolutely. Your investment is secured by the legal title of the property, which is held by a Corporate Trustee on behalf of the unit holders. Your ownership is documented in the Unit Trust Deed and the Register of Unit Holders, providing you with a direct claim to the asset.
Who handles the paperwork?
PropStake manages the "Legal Ease." We look after the conveyancing, the establishment of the Unit Trust, and all ongoing compliance and administration. You get the benefits of property ownership without the stress of managing a settlement.
What if PropStake goes out of business?
Because each property is held in a separate, standalone Unit Trust, the assets are legally ring-fenced. The property is not owned by PropStake the company; it is owned by the Trust for the benefit of you and your fellow co-investors.
Taxes & Costs
In Australia, unit trusts are generally "flow-through" vehicles. This means the trust itself typically doesn't pay income tax; instead, the rental income and capital gains "flow through" to you, and you are taxed at your individual marginal rate. We recommend speaking with a certified accountant regarding your specific situation.
How am I taxed on my investment?
What are the fees?
PropStake is committed to transparency. We charge a small fee for the acquisition and establishment of the trust, as well as an ongoing management fee to cover administration and property maintenance. These are clearly disclosed in the specific Information Memorandum (IM) for each property listing.
Get in Touch
If you have more questions please leave your details and one of our expert will be in touch soon or alternatively you can call or email us on the below.
Phone
1300 555 789
contact@propstake.com.au
Investing through Propstake made SMSF property purchases straightforward and promising for steady growth.
J & M
★★★★★