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Invest Your Super Smartly with SMSF Loans

Did you know you can use your superannuation to buy an investment property? A Self-Managed Super Fund (SMSF) loan allows your fund to borrow money, giving you control over your investment decisions. However, borrowing inside super is complex and strictly regulated by the ATO. At HSD Finance, we are specialists who connect trustees to lenders experienced in the required Limited Recourse Borrowing Arrangements (LRBA).

What is an LRBA?

An SMSF loan must be set up as a Limited Recourse Borrowing Arrangement (LRBA). This structure is crucial:

  1. Bare Trust: A separate 'bare trust' is created to hold the legal title of the property.
  2. Limited Recourse: If your SMSF defaults, the lender's recourse is 'limited' *only* to the property in the bare trust. They cannot touch any other assets in your super fund.

Why Use Your SMSF for Property?

  • Diversify Assets: Move beyond just shares and cash.
  • Tax-Effective Environment: Rental income and capital growth are taxed at the concessional super rate.
  • Buy Your Own Business Premises: You can buy your commercial property and pay rent from your business directly to your SMSF.

Our Role in Your SMSF Loan

We are not financial planners, but we are the vital link to the lenders. We will:

  • Work with your accountant and solicitor to ensure the Bare Trust and LRBA are structured correctly.
  • Compare specialist SMSF lenders (not all banks offer these loans).
  • Manage the entire application and settlement process.
FREQUENTLY ASKED QUESTIONS

Got Any Questions?

💼 Turn your super into a property investment plan.

SMSF lending is a specialist field. Speak with our brokers to see if it's a viable option for you.

Disclaimer: This is general information only and not financial advice. SMSF borrowing is complex. We strongly recommend you seek independent financial, legal, and tax advice before proceeding. Lending criteria apply. Please view our Privacy Policy and Credit Guide.