Trusted & Awarded
Low Interest Rate & Flexible SMSF Loans
Access Ultra-competitive SMSF loan rates with unrivalled property flexibility.
Approval for more property types including high rises, hobby farms, and agricultural operations
Residential or commercial property loans
Higher purchasing capacity and lower rates, fees and charges than other brokers.
Expert attention to the complex paperwork required for self managed super funds
At SMSF Loan Experts, we help by taking the time to understand your financial needs so that we can advise the most suitable lending strategy to meet your financial goals.
Investing in property within your SMSF can be complicated — and even more so when you choose to borrow to invest. You need a lending strategy that can work with your fund’s investment strategy without getting caught out by government legislation, tax implications or fees and charges. Our SMSF Loan Experts work with you to make an informed decision and provide expert navigation through the entire lending process.
If you’re looking at borrowing to invest in your superannuation, here are some of the lending strategies that might be available to you:
Related Party Lending
Related Party Lending allows your SMSF to borrow money from any combination of sources when acquiring an asset. If you have enough cash or equity in properties, you could become the lender for your SMSF.
Example: You borrow $400k against your home to lend to your SMSF. You make the required repayments to the bank, and your SMSF forwards repayments to you.
The benefits of such a set up include:
✔Avoiding expensive legal costs
✔ No limitations on what type of property investment you buy.
✔ Greater choice of lenders.
Things to consider:
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Losing access to the equity or cash which has been loaned to your SMSF.
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The maximum borrowing capacity for related-party loans is 70% of the value of the property.
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There are restrictions recently added by the ATO.
This is a complicated loan product that is not suitable for everyone. For this reason, it is crucial to access sound advice and information to know the suitability of investing via Related Party Lending and if it is an appropriate strategy for you.
Hybrid Lending
Hybrid Lending occurs when your SMSF borrows some of the funds to purchase a property from a third party (such as a bank) and some of the funds from a related party (such as the fund’s trustees).
In essence, it’s a mix between a traditional SMSF loan and a related party loan. It can be particularly effective to circumvent the GST hurdle for commercial purchases or to bridge a small deposit shortfall.
The set up of hybrid lending is more complicated due to:
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Coordination of the different parties involved.
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The requirement for a more advanced bare trust.
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Comprehensive loan documentation.
The complexities of hybrid lending strategies in SMSFs require expert advice and guidance.
Things to know before you borrow to invest in your SMSF
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The SMSF will need to hold sufficient assets to cover the associated risks such as interest rate volatility or a decrease in the value of the property. Commercial properties may also be trickier to sell.
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It is the trustee’s responsibility to ensure the lending strategy is appropriate and that the SMSF meets all requirements. Strict lending criteria applies to all forms of SMSF lending. We can help guide you through this process.
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Your loan may need to be refinanced should there be any change made to banking or SMSF legislation (a refinance could mean losing your attractive interest rate — it may also mean finding a better interest rate!).
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The SMSF Trustee must ensure that the purpose of investment meets the Sole Purpose Test — that is, to ensure that the SMSF is maintained for the sole purpose of providing benefits to members upon their retirement.
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Stamp Duty may apply, which might reduce your available funds to offer as security.
Frequently Asked Questions Around SMSF Lending Strategies
How Our Super Fund Loan Process
Works
Our streamlined process ensures you get the best SMSF loan with minimal hassle.
Here’s how it works:
How Our Super Fund Loan Process
Works
Our streamlined process ensures you get the best SMSF loan with minimal hassle.
Here’s how it works:
Assess and Plan
We assess your situation and explore
lending options to plan your investment
strategy.
Apply and Negotiate
We manage the loan application and
negotiate with lenders to get you the best
terms and rates.
Fund and Implement
Once approved, we ensure quick
disbursement and assist with your
investment strategy, providing ongoing
support as needed.
Our Services
Whether you're looking to refinance an existing SMSF loan or need finance to buy a property investment in super, our experienced team of self-managed superannuation fund service providers can help you find the right SMSF loan.
Residential SMSF Property Loans
As a self managed super fund SMSF trustee, borrowing to purchase an investment property could be the financial kick-start you’ve been searching for. We can help you access the best finance solutions to purchase your investment. Our strategies help to maximise the growth of your SMSF residential investment property.
SMSF Loan Refinance
If your residential or commercial property loan is more than 2 years old, you could be missing out on more competitive products recently released to the market. We compare products and strategies with your finance needs, to match you with the most cost-effective loan for your circumstances.
SMSF Setup
Ensure your self managed super fund is set up correctly and compliantly. We help with the set up of your fund, all the way through to the settlement of your property - we can even organise to have your loan pre-approved before your super fund has been established.
Commercial SMSF Property Loans
Looking for a loan to purchase a commercial investment property inside of super? With access to a number of commercial loan products, we can build a tailored investment strategy for your self managed super fund commercial property investment.
SMSF Lending Strategy
Our goal is to find the right Self Managed Super Fund lending strategy for you. Investing in property within your SMSF can be complicated - Our experts help simplify the whole process.
Bad Credit SMSF Loans
Having a bad credit score doesn’t have to mean you miss out on borrowing to invest or get stuck with high interest rates. At SMSF Loan Experts, we offer lending solutions especially geared for clients with a less than perfect credit history.
Low Interest Rate & Flexible SMSF Loans
Access Ultra-competitive SMSF loan rates with unrivalled property flexibility.
Frequently Asked Questions About
SMSF Loans
Common Questions Answered
Yes, SMSFs can borrow money for property, managed funds, or shares using a
Limited
Recourse Borrowing Arrangement (LRBA)
. This process is heavily regulated, so
getting expert advice is recommended. Contact us for more details.
Navigating through property investments within an SMSF involves various
considerations such as property values, regulatory changes, interest rates, tenant
occupancy, and financial liquidity. Working closely with experienced experts can help
manage these factors effectively and ensure the stability and growth of your
investment portfolio.
ENQUIRE NOW
Free SMSF Finance Session
Contact us today, or schedule a phone meeting with an SMSF Loan Expert to make sure you get the right SMSF Lending advice 1300 781 680
Melbourne Office
Suite 2, 54 Davis Avenue
South Yarra VICTORIA 314
1300 781 680