Using two lenders and off-the-plan property

SMSF technical expert and columnist for The Australian newspaper
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There are two common 'grey' areas that self-managed super funds (SMSF) come up against when looking to borrow and these involve off-the-plan property purchases and borrowing from two different lenders. But the recent release of some Tax Office minutes have clarified a few issues.

SMSFs can borrow under what's called a Limited Recourse Borrowing Arrangement. These sorts of arrangements are also referred to as Super Gearing, however this name isn’t used as much as it once was.

While LRBAs have been around since July 2007, they are still relatively new and this means new complex issues are emerging all the time.

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