SMSF PROPERTY FINANCE
SMSF Property lending has changed.
From 10 August 2026, new SMSF borrowing for residential property is generally restricted. Existing residential SMSF loans may continue, and eligible commercial property can still be acquired using an SMSF borrowing structure.
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Credit expertise
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Tailored finance
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Ongoing support
The basics
Commercial property
Existing residential SMSF loans are generally grandfathered and may still be refinanced, subject to lender policy.
Existing residential loans
Existing residential SMSF loans are generally grandfathered and may still be refinanced, subject to lender policy.
Business use
Business premises may be leased to a fund member if super rules are met and rent is charged at market value.
Not all commercial property qualifies
Commercial zoning alone does not determine eligibility. The property’s use must meet the business real property rules.
What lenders will assess
Property type & use
SMSF structure
Borrower contribution
Fund liquidity
Rental income
Existing liabilities
Servicing
Exit strategy
Required documentation
SMSF trust deed
Bare trust documents
Trustee details
SMSF financials
Lease or rental evidence
Contract of sale
Property valuation
ID and supporting documents
Who is this for
Business owners buying premises through an SMSF
SMSF trustees with existing property loans
Clients refinancing SMSF loans
Investors buying eligible business property
Accountants and advisers reviewing funding
How Novaseed can help
Assess your objectives and structure
Find suitable lenders
Guide the process
Coordinate with advisers
Support through settlement
We provide credit assistance only and do not provide financial, legal or tax advice. Clients should obtain independent advice before making decisions about establishing or using an SMSF.
Frequently Asked Questions
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Yes, SMSF loans can be refinanced, provided the existing loan is in good standing and the SMSF meets the new lender’s requirements.
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Yes. Many SMSFs are structured with multiple members, such as spouses. It is important to understand the responsibilities and obligations involved before proceeding.
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Only a limited number of lenders offer SMSF loans, and their requirements vary significantly. The options available will depend on your SMSF structure, financial position and the type of property being purchased.
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Yes, SMSF loans are available for both residential and commercial investment properties in Sydney, subject to lender policies and SMSF requirements. Lending options will depend on your SMSF structure and financial position.
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Applying for an SMSF loan is different from a standard home or commercial loan. Lenders assess the SMSF’s financial position, structure and compliance rather than relying solely on personal income. Requirements vary depending on whether your SMSF is already established. We guide you through the lending process from application to settlement.
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From 10 August 2026, new SMSF borrowing is generally limited to eligible commercial and business property, such as offices, warehouses, shops and other business premises.
Existing SMSF residential property loans can continue and may still be refinanced.
The property must meet the superannuation rules. Commercial zoning alone does not automatically make it eligible.
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No. Properties purchased under an SMSF must be held solely for investment purposes. Living in the property would breach SMSF regulations.
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Deposit requirements vary depending on the lender and the type of property. SMSF loans generally require larger deposits than standard home loans, and lending criteria can be more restrictive.
How it works
Understand your goals and constrains
We listen first - your plans, timelines and what matters most to you.
Assess the application the way a credit team would
We review your profile, documents and structure through a lender’s lens.
Present 2-3 tailored options with pros and cons
We compare lenders and structures so you can weigh up the trade-offs.
Execute with a clean, complete application
We prepare, lodge and manage the process from submission to settlement and beyond.
Stay with you post-settlement
We are here after settlement for rate reviews, refinances, top-ups and future goals.
Considering property finance through your SMSF?
We can help you understand how an SMSF loan application may work with your current situation.
Important Restrictions to Know
No personal use – you cannot live in the property.
Arms-length tenants only – related parties and family members cannot rent the property.
Limited Recourse Borrowing Arrangement (LRBA) – if the SMSF defaults, the lender's recourse is limited to the secured asset only, not other SMSF assets.
Single acquirable asset – the loan can only be secured against one asset or a collection of identical, inseparable assets (e.g. an apartment and carpark on separate titles, or multiple townhouses in one row under the same entity).
No improvements with borrowed funds – loan funds cannot be used for upgrades; only maintenance and repairs are permitted.
Title ownership – the property must be held in a bare trust, with the SMSF as beneficial owner.