SMSF Home Loan

SMSF Home Loan

A super investment strategy

A SMSF Home Loan (as opposed to a SMSF Commercial Loan)  can be used to purchase real estate as an investment property with savings from your superannuation. This type of funding uses a complex loan structure and is only suitable for Australians with an established Self Managed Superannuation Fund, or those who are planning to create one

Self Managed Superannuation Funds are now the single fastest growing superannuation sector in Australia and until recently it was not possible for Self Managed Super Funds to borrow money for the acquisition of residential investment properties.

Key benefits of a SMSF Home Loan:
  • Cover loan repayments with rental income
  • Flexible loan structure
  • Fixed and variable rate options
  • Negative gearing - offset loan interest against rental income

Borrowing money from inside an SMSF is a very tax effective form of funding but requires a good understanding of loan structures and superannuation legislation. As such, it is recommended that clients always seek the advice of a experienced and licensed Financial Planner

Not all properties are suited to SMSF investments

A SMSF can not borrow under superannuation law unless it meets some very specific requirements -and even when these conditions are met, it can only purchase what is known as a single acquirable asset (SAA). An SAA is any asset which is covered by one legal title. For example, a block of flats with the individual units having multiple ownership titles is not eligible for a SMSF home loan. 

Your super fund is one of the biggest assets that you will ever own, why not give us a call on 1300 930 106  to see if this type of loan is ideal for your situation.

Talk to one of our advisers and find out if a SMSF investment loan is right for you, call us today on 1300 930 106. Alternatively, you can find out more information here

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