As specialists in Commercial Lending we have access to several Lenders
currently offering SMSF Loans.
Since changes to legislation in 2007 Self-Managed Superannuation Funds
can now borrow money so you can use your SMSF to buy residential or
SMSF loans are also available to refinance an existing SMSF loan.
The legislation is very strict in relation to SMSF therefore having a specialist broker to do the investigation and negotiation with the Lenders for you will save you time and money.
You must also seek qualified financial and Legal advice to ensure that all relevant superannuation laws are complied with.
Established and Newly established funds may borrow funds for purchases of property and borrowed funds may also be used towards ‘repairs’ and maintenance’ of the property, however ‘improvements’ are not permitted.
Purchasing an investment property with borrowed funds needs to be consistent with your SMSFs investment strategy.
Your SMSF needs and express power to borrow.
The Loans are ‘limited recourse loans’, so other assets of your SMSF are protected, so the lenders rights against the Self Managed Super Fund in the event of the facility defaulting are limited to the security property,
You may be entitled to receive income tax and negative gearing benefits.
The Establishment of a corporate/company trustee is generally required. Some lenders do accept Individual trustees.
General features of SMSF facilities are:-
- Loan terms ranging from 1 year to 30 years depending on the type of security property and Lenders policy.
- Interest rates can be variable or fixed with most lenders offering Interest Only periods
- Maximum LVR’s (Loan to Value Ratio) vary depending on the security type for example:-
- 60%-70% for Commercial Property (lender policy varies)
- 80% for Residential Property
Given the complexity of SMSF loans we will take the time to meet with you to clearly understand your needs and goals and liaise with your qualified Financial Planner.
We will then work with the lenders in order to secure the right loan that is in line with your SMSF’s investment strategy.
Taking care of all loan negotiations and paperwork throughout the setup process and beyond settlement, therefore working for you as your Business Specialist.
For a reliable, qualified Finance Broker who can assist your with SMSF Lending and answer all your questions…
0408 761 847
I am located in Nerang, servicing all areas of the Gold Coast at a time and location that suits you.
Look forward to hearing from you.