Since 10 August 2026, new SMSF limited recourse borrowing arrangements are generally restricted to eligible business real property, though existing residential loans can still be refinanced.
So where can your fund invest instead? Commercial property remains the main geared option, while managed property funds, A-REITs, bonds, private credit and RMBS offer different yields, risks and liquidity. Before adding any new asset class, update your written investment strategy, confirm the sole purpose test is met, and check your fund’s cash flow. Explore SMSF investment options beyond residential property to see which suits your fund.
Choosing the right option, and structuring the finance correctly, can be complex. Book a call now with our SMSF finance team to review your borrowing options and keep your fund compliant.
