Superannuation funds are able to take out long-term loans to buy assets under the Limited Recourse Borrowing Arrangement (LRBA) rules in superannuation legislation. This is commonly known as a Self-Managed Super Fund Home Loan.
The rules are very specific on how the arrangement must be structured. If this is a strategy you are considering you should contact us directly or talk to a financial adviser or your accountant to find out amongst other things:
- What you can and cannot do in a self-managed super fund (SMSF)
- Benefits of using a SMSF to buy a property
- Challenges and pitfalls
- Using the correct trust structures
- How to correctly source and set up the finance
- How to buy an investment property through a superannuation fund.