Is SMSF Lending Still Available in Australia?

By Simon Cooper
April 2, 2019

Self Managed Superannuation Funds (SMSF’s) are a great vehicle for allowing the educated investor to purchase both residential and commercial property using the funds in their super plus leveraging against the property. This allows investors to have a diversified portfolio.

The overall number of lenders who provide SMSF Lending solutions has diminished however there are still lending options available.

All of the major banks in Australia have been caught up in the wake of the Royal Commission and are trying to manage their core business by focusing on standard residential lending. Reducing their product offerings is one way they’re able to manage their exposure.

There are significant advantages in buying property in the name of your super fund which include:

  • The ability to leverage against the property to increase your investment assets,
  • It can be tax effective as there are no earnings or capital gains tax payable in the pension phase
  • You have control over the investment

Lending through a Superannuation Fund can be complex and there are a lot of elements you need to consider before you jump into this. It is imperative to get comprehensive advice around the tax, insurance, investments and the lending before deciding if this is right for you.

Simon Cooper

Co-Founder, Managing Director, Financial Adviser

Simon is a financial advisor who takes his work seriously. He ensures that all of his clients receive the best possible advice, so that they can reach and exceed their financial goals, both personally and professionally. Simon has been in the business for many years, and has a wealth of experience to share with his clients. He is known for being friendly and approachable, and always puts the needs of his clients first. Simon Cooper is an Authorised Representative of Reedy Capital Pty Ltd (AFSL No. 495539), Authorised Representative Number 1248807 and a financial adviser at Forward360.

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