23/06/2026
π The government just pulled the trigger on SMSF property loans.
A lending framework that has been heavily used by property investors is being permanently axed. Following a sudden Senate deal, new Limited Recourse Borrowing Arrangements (LRBAs) for residential property are being banned.
Once this bill passes and receives Royal Assent, a strict 45-day countdown begins. If you haven't signed a property contract by that deadline, your window to borrow inside your super for residential property closes forever.
Here is the ground reality of whatβs changing:
β
BUYING is still allowed: SMSFs can still purchase residential property if they are buying outright with 100% cash.
β BORROWING is banned: SMSFs will no longer be allowed to take out a new loan to buy residential property.
πΌ Commercial Property is UNTOUCHED: You can still use an SMSF loan to buy commercial real estate (like warehouses, offices, or retail spaces) under current rules.
Are you already in the middle of a deal? Existing SMSF loans and signed residential contracts are fully grandfathered and protected. This only stops new applications once the transition window closes.
If you rely on leverage to make your super property investment numbers work, you are officially out of time to wait. Letβs look at your options before the gates lock shut. π
π
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