SMSF Lending Done Right — Specialist Advice, Not Guesswork
Self-managed super fund property finance requires specialist lenders and strict ATO compliance. We navigate both — and coordinate with your SMSF advisers to get it right the first time.
How It Works
What's Involved in SMSF Property Finance
SMSF property loans — called Limited Recourse Borrowing Arrangements (LRBAs) — have unique legal and compliance requirements that standard mortgage brokers often get wrong.
Limited Recourse Borrowing
SMSF loans use a Limited Recourse Borrowing Arrangement (LRBA). The lender's recourse is limited to the asset held in trust — your other SMSF assets are protected.
Bare Trust Structure
The property is held in a bare trust (holding trust) during the loan period. Title transfers to the SMSF once the loan is repaid.
Specialist Lender Panel
Not all lenders offer SMSF loans. We access a specialist panel of lenders who understand the compliance requirements and can move efficiently.
ATO Compliance
The property must meet the sole purpose test — it must be held for retirement benefit. Residential property cannot be lived in or rented to related parties.
Process
Our SMSF Lending Process
SMSF Eligibility Check
We review your fund balance, trust deed, investment strategy, and existing holdings to confirm eligibility before any lender application.
Lender Selection
We match your SMSF to the right specialist lender — based on fund size, property type (residential or commercial), and LVR requirements.
Bare Trust & Application
We coordinate with your SMSF accountant or legal adviser to establish the bare trust and complete the lender's documentation requirements.
Settlement & Ongoing
We manage settlement and are available for future reviews — refinancing the SMSF loan, adding properties, or restructuring as the fund grows.
What to Avoid
Common SMSF Lending Mistakes
These are the errors we see most often when SMSF borrowers approach the wrong broker or go direct to lenders.
Buying the wrong property type
Residential property in your SMSF cannot be occupied by you or related parties. Commercial property can be leased to your own business — a key planning advantage.
Approaching the wrong lender
Most retail banks have withdrawn from SMSF lending. Applying through a standard mortgage broker or bank branch often leads to declines and unnecessary credit enquiries.
Skipping the bare trust
The bare trust (holding trust) is a legal requirement for LRBA structures. Settling without it in place is non-compliant and can trigger ATO scrutiny.
Insufficient fund balance
Most lenders require a minimum fund balance (typically $150K–$200K) after settlement costs. We'll tell you the real minimum before you commit.
Why SMSF Trustees Choose LFG
Specialist Advice. Independent Access.
Access to specialist SMSF lenders — both residential and commercial
Director-only service — Andrew handles every SMSF file personally
We coordinate with your accountant, solicitor, and SMSF administrator
Transparent process — we explain every step in plain language
No conflict of interest — independent advice across 60+ lenders
Andrew Pogany
Principal Broker · Credit Rep 513550
Every SMSF file is reviewed and placed by Andrew personally. Your SMSF trustees deserve experienced, senior advice — not a template and a junior processor.
Speak with AndrewFAQ
Common Questions
What is the minimum SMSF balance needed to borrow?
Most specialist lenders require a minimum SMSF balance of $150,000–$200,000 after settlement costs are paid. Some lenders have higher minimums. We'll confirm the actual threshold for your situation before any application.
Can I buy any type of property in my SMSF?
Your SMSF can purchase residential investment property (not lived in by members or related parties) or commercial property (which can be leased to your own business at market rent). Vacant land and off-the-plan purchases are generally not eligible for LRBA finance.
What LVR can I access for SMSF loans?
Most SMSF lenders will go to 70–80% LVR for residential property and 65–70% for commercial. The exact LVR depends on the lender, the property, and your fund's financials.
Do I need a separate bare trust before applying?
Yes. The bare trust (or holding trust) must be established before settlement. We'll coordinate with your SMSF legal adviser to ensure the structure is in place ahead of the lender's requirements.
Can I refinance my existing SMSF loan?
Yes. Refinancing an SMSF loan to a lower rate or better product is possible — and often overlooked. We review existing SMSF loans and identify refinance opportunities as part of our service.
Is Your SMSF Ready to Borrow?
Check your SMSF's lender fit in a free 20-minute call. We'll confirm eligibility, review your fund structure, and tell you exactly which lenders are available for your situation.
Check SMSF Lender Fit