SMSF lending has changed. Here’s what still works.
New residential borrowing in super ended on 10 August 2026 — that part is over. But three things continue, and they’re exactly what we arrange: refinancing existing SMSF loans, settling pre-ban contracts (including off-the-plan), and commercial property in super.
What ended — and what didn’t.
From 10 August 2026, funds can no longer take out new LRBAs to buy residential property. The full story of the ban.
Existing LRBAs run to term exactly as before. Nothing is forcibly unwound.
Like-for-like refinancing of existing SMSF loans remains permitted — the escape route from legacy 8%+ rates.
Contracts signed before 10 August 2026 are grandfathered by contract date — settlement lending still gets written, including off-the-plan settling months or years from now.
Business real property LRBAs are untouched — including buying your own business premises inside super.
Three SMSF jobs, done properly.
1. SMSF refinance. Legacy SMSF loans often sit well above market, and with some lenders exiting, waiting narrows your options. We review your rate against the lenders still writing SMSF refinances and move the loan without disturbing the bare trust structure.
2. Grandfathered settlements — including off-the-plan. A pre-ban contract still needs a loan at settlement, and these now demand more care, not less: valuations, the fund’s liquidity buffer, and lender appetite can all shift before your sunset date. We prepare the file early so settlement day is boring.
3. Commercial property in super. The strategy that survived: buying business real property — often your own premises, leased back to your business at market rent. Still rule-heavy (sole-purpose test, market terms, liquidity), still powerful when structured right.
General information only — not financial or tax advice. SMSF strategy decisions should involve your licensed financial adviser and accountant; we handle the credit side alongside them.
SMSF lending after the ban — common questions.
Can my SMSF still borrow to buy a residential property?
Generally no. Since 10 August 2026, new limited recourse borrowing arrangements (LRBAs) for residential property are banned. The exceptions: a contract you signed before 10 August 2026 (grandfathered by contract date, so the loan for that settlement can still be written), and business real property, where LRBAs continue as normal.
Can I refinance my existing SMSF loan?
Yes. Refinancing an existing LRBA on a like-for-like basis remains permitted — and it matters more than ever, because many legacy SMSF loans sit on very high rates and some lenders are leaving the market. A refinance keeps the same compliant structure while cutting the rate.
I signed an off-the-plan contract before 10 August 2026 — can my fund still get the loan?
Yes. It's the contract date that counts, not settlement, so a pre-ban off-the-plan contract can still be financed at settlement — even years later. Preparation matters: valuation shortfalls, the fund's liquidity position and a shrinking lender panel are the risks we manage well before the sunset date.
What about commercial property in my SMSF?
Unchanged. LRBAs for business real property — commercial premises, including your own business premises leased back to your business at market rent — continue as normal. This is now the main way a fund can still borrow to buy.
What happens if my SMSF lender exits the market?
Your loan doesn't disappear — its terms continue — but your refinance options narrow while the rate often drifts up. We track which lenders still write SMSF refinances and move funds before they're stuck. A free loan review shows whether your rate is still competitive.
Stuck on a legacy SMSF rate — or settling soon?
Free review: your current SMSF loan against the lenders still in the market, or a settlement-readiness check for your grandfathered contract.