SMSF Lending

Unlock Your SMSF’s Potential with Smart Lending Solutions 

Discover your Self-Managed Super Fund (SMSF) Loan options with Frontier Finance Co.

Looking to grow your super through property?

Investing in property through your SMSF can be a powerful way to build long-term wealth — but navigating the rules, lenders, and loan structures can be complex.

At Frontier Finance Co., we simplify the process and help you understand exactly how much you can borrow, what it will cost, and which lenders best suit your SMSF strategy.

What is an SMSF Loan?

An SMSF loan lets your fund borrow money to invest in property — typically residential or commercial. The key difference? The property is owned by a separate holding trust, and the SMSF receives the benefits (like rent or capital gains) in line with superannuation laws.

🚫 Common Pitfalls:

• Not seeking independent financial advice to fully understand ATO rules 

Limited Recourse Only
Your SMSF loan must be a Limited Recourse Borrowing Arrangement (LRBA).
This means the lender’s only security is the property being purchased — they can’t touch your other super assets.

It Must Fit Your SMSF’s Investment Strategy
The fund must have a written investment strategy that clearly supports borrowing and property investment.
It should address: Diversification, Liquidity, Risk & return, Insurance.

• Selecting a non-compliant property:

The Property Must Be a Single Acquirable Asset

You can only buy one asset or a collection that is treated as one (e.g. house and land together).
You cannot develop or significantly improve the property using borrowed funds.
Repairs? Yes. Major improvements (like extensions)? Not with borrowed money.

• Using personal funds incorrectly

Loan Servicing Must Stay Within the Fund
The loan should be repaid using:
Super contributions within ATO limits, Rental income from the investment.
You cannot use your personal income or loan repayments outside the fund.

• Incorrect use of purchased property

No Personal Use Allowed
The property cannot be lived in or used by you, your family, or any related party — even if you pay rent.
This rule applies to:

🏠Residential property
🏢Commercial property (unless it’s a related business and market rent is paid)

• Not exploring a range of lenders

The proper advice will help avoid declined applications and choose the right lender for your investment to maximise your fund’s potential.

 Why Choose Frontier Finance Co.?

We have access to a range of lenders who specialise in tailored SMSF lending, each with slightly different policies and risk appetite, so using a broker can ensure you don’t waste your time applying to a lender who won’t approve your application. We can help you navigate the fine print that can make or break your deal. Our goal is simple:

• Help you invest wisely and within your limits

• Deliver lending solutions that match your fund’s strategy

•  Give you clear, lending advice – not jargon