For investors over 50, property decisions are less about chasing the next hot spot and more about finding certainty, consistency, and long-term confidence – even if it’s outside their home city.
That shift is driving growing interest in investment models that look beyond traditional residential leasing and focus on reliability over speculation.
Defence Housing Australia’s (DHA) long-term leasing model is one option attracting attention from pre-retirees and retirees who want predictable income without the usual hands-on landlord workload.
Rather than relying on fluctuating rental markets, investors lease their property to DHA, which then houses Australian Defence Force members and their families.
“Investing with Defence Housing Australia provides a dependable avenue for entering the property market,” says DHA Executive General Manager Property Shane West.
“This approach is characterised by enhanced security, a regular income, and less management stress.”
DHA rents quality properties directly from investors to house Defence members and their families.
Trusted, safe, and secure
DHA is not a private agency or short-term operator, but a commercially-focused government owned business with a long track record in housing Defence families across Australia.
Established in 1988, DHA was created to ensure ADF members and their families have access to suitable, well-located housing in the communities where they are posted.
To meet that demand, DHA builds, buys, and leases homes nationwide, many of which are owned by private investors under long-term lease agreements.
Those properties form one of Australia’s largest residential portfolios, giving investors comfort they are dealing with a stable, established organisation rather than an unknown market player.
For many investors, the government ownership and scale of DHA’s managed portfolio provides a level of confidence that extends well beyond the day-to-day performance of a single property.
How to invest with DHA
DHA offers a range of investment pathways to suit different retirement strategies.
“If you already own a residential property, you can apply to lease it to DHA, provided it meets our requirements,” says Mr West.
“We can also work with investors before they purchase or construct a new property to ensure it meets DHA’s criteria, often with the option for DHA to pre-commit to a lease before the purchase or construction is completed."
“Additionally, some properties are sold with a DHA lease already in place, allowing investors to step into an existing agreement with guaranteed rent.”
From existing properties to building new homes, there are many ways to invest with DHA.
DHA’s Build to Lease program allows investors to purchase ‘off-the-plan' properties, directly from DHA official suppliers or accepted builders, that DHA has committed to lease upon completion of construction.
“We regularly review builder house and land packages and provide a ‘commitment to lease’ the property once it is completed to the agreed specifications,” says Mr West.
Another popular retirement strategy is to purchase a DHA property through a Self-Managed Superannuation Fund (SMSF).
“Investing in a DHA property through a SMSF can provide stable long-term income, with less management time and hassle for SMSF trustees,” says Mr West.
SMSF property investment is becoming a popular strategy for over-50s investors as rental income earned by a property owned by your SMSF isn’t treated as a super contribution.
This means those investors can grow their retirement balance beyond the usual contribution caps, setting them up better for the future.
Investors who are interested in this option should seek professional advice before proceeding.
Types of properties sought by DHA
DHA seeks a range of residential properties including both new and established houses, townhouses, or apartments in various Australian locations.
Key priority areas are currently Brisbane QLD, Wagga Wagga NSW, Sydney NSW, and Perth/Rockingham WA, where demand for Defence Housing is high and investment opportunities are robust.
Properties must be within 30km of a serviced Defence base, and each property is assessed individually, considering layout, condition, bedrooms, outdoor space, parking, and proximity to amenities.
Mr West says even if a property isn’t eligible now, DHA’s leasing team can suggest practical changes such as security features, climate control, or extra storage to help it qualify as a compliant property.
DHA looks for a range of different types of homes in key areas across Australia.
Building a portfolio, one DHA property at a time
For Joanne Agius, 55, and her late husband Michael, investing with DHA made sense right from the start of their investment journey.
The couple purchased their first investment property through DHA in Canberra in 2002, then expanded their portfolio, buying two lots of land in St Georges Basin and building properties to DHA’s specifications, then repeating the process in Nowra.
“The key benefits that made us invest in DHA was the rent was guaranteed, the property is well-managed, (and) we don't have to worry about maintenance – it's looked after for us,” says Ms Agius.
“Plus, we liked the long-term stability that you get from long-term leases for the houses and the annual rent reviews, so hopefully the rent increases per year.”
“We have recommended DHA to several family members and friends who also have invested with DHA.”
For retirees seeking less hassle, long-term leases offer dependable income with reduced day-to-day involvement. Picture: Getty.
A world of benefits await
Lease terms are typically three, six, nine, or 12 years, with possible extensions.
“You’ll have guaranteed* rental income, as DHA pays rent monthly in advance for the entire lease term, even if the property is vacant, as long as it remains habitable and lease conditions are met,” says Mr West.
“This provides investors with predictable, stable cash flow.”
“As a government owned business, DHA offers a level of trust and reliability not always found in the private market.”
Mr West says a DHA investment is particularly well-suited to individuals who prioritise stable, long-term returns, and who prefer more of a hands-off investment, as DHA takes care of tenanting, inspections, and most non-structural repairs^.
“In addition to these benefits, investing with DHA allows investors to support Defence families across Australia,” he says.
“By providing quality housing to those serving in the Australian Defence Force, investors contribute to a meaningful cause while pursuing their own long-term investment objectives.”
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