We understand that acquiring lending for your SMSF is a major decision. There are many risks and responsibilities to consider before accepting lending for your SMSF, so we aim to make the process as transparent as possible.

Here are some common questions we've been asked regarding our SMSF loans. 

You can view the application here:

Start Application

Who can get a Squirrel SMSF loan?

SMSF loans are available to Squirrel SMSF clients and clients who have an SMSF elsewhere.

SMSF loans (LRBA) are ONLY available to SMSFs with a Corporate Trustee - as LRBAs are commercial loans.

Squirrel clients enjoy preferential interest rates and loan set up fees.

If you do not already have an SMSF, you will need to get one setup before lodging a loan application. We can provide indicative rates, but these are not to be interpreted as formal offers or the final rate. This will depend on your financial circumstances and the property you wish to buy.

I have an SMSF elsewhere, can I get an SMSF loan?

If you already have an SMSF, that's great. You can still get a loan with Squirrel. 

Squirrel clients enjoy preferential interest rates and loan setup fees. If you'd like to find out more about switching to an SMSF with Squirrel, this can usually be done fairly quickly. Speak to our team for a free consultation.

The Big 4 are pulling out of SMSF loans, why are you launching an SMSF loan?

SMSF loans (otherwise known as Limited Recourse Borrowing Arrangements) are a specialist lending vehicle, with many differences to the standard home loans most people are used to.

As an SMSF specialist, we are experts in SMSF lending and have a laser focus on SMSF loans only. You can therefore trust that we are the best in the business to provide lending for your SMSF.




How long does the application take?

The application itself requires you to fill out a detailed form on your financial position and personal details. The application form can take up to an hour to complete - make sure you have all the required documents to hand in order to complete your application efficiently.

It typically takes 5 days for us to give indicative approval on the loan. 

To get formal approval for the loan, you need to have your SMSF setup and found the property. 

Who CANNOT get SMSF lending?

Firstly, you will need to pass the following requirements in order to set up an SMSF:

  • Cannot be currently bankrupt
  • Must be an Australian resident
  • Cannot have a dishonest criminal record
  • Need a balance in excess of $100k
  • Clear Credit Record

These will only make you eligible to apply for an SMSF and in turn an SMSF loan. You will still need to prove that you a) Have enough super balance for a deposit, costs, stamp duty, plus buffer and b) The ability to service the loan via contributions and expected rental income from the property

What documents are required to complete the application?

The documents required to complete your application include:

  • Fully completed application form (signed and dated by all parties)
  • Fully completed ID verification form*
  • Copy of SMSF Trust Deed (if you have one)*
  • Copy of Property Trust Deed (if you have one)*
  • Contract of sale and any special conditions (if you have one)
  • Evidence of funds to complete (e.g bank statements, share statement)*
  • Two years superannuation contribution history*
  • Two years of SMSF financial statements and tax returns (if you already have an SMSF)*
  • Two most recent payslips (PAYG)*
  • Most recent PAYG summary
  • 2 Years Financial Statements, Tax Returns + Notices Of Assessment (if self-employed)

* If you are a Squirrel client, we can provide these documents for you

Are there any differences between SMSF lending and normal lending?

It is similar to normal borrowing, there are some differences

The key differences include

  • Limited recourse borrowing requires the purchase of a single acquirable asset
  • You cannot use borrowed funds to renovate the property
  • You will require a lower LVR more like 70%, meaning a higher deposit
  • You will need a bare or holding trust. Don’t stress, Squirrel does this for you
  • Cannot use equity to purchase another
Can you approve a loan before I set up a SMSF?

No – we can give you an indicative idea of what you can borrow or example if you have $150,000 in super then you can usually borrow another $300,000 or maybe a little more. 

If you would like to get a formal approval, then you must apply for and establish your new SMSF and we can only provide an approval once all of the rollovers from your original super funds has been completed.



What happens if I pass away/divorce?

We treat this the same way as any lender, whenever you owe money to anyone a review will take place.

The process is quite similar to owning a property outside of super, however you will need to jump through as few extra hoops and adhere to a few extra rules.

Answers to this question will depend upon your personal situation. Solutions could range anywhere from a) Typically, selling the property and extinguishing the loan  b) One member taking on the loan responsibilities themselves.

I heard the government plans to ban SMSF borrowing?

The current government has not indicated in any way that they will curb or put a stop to SMSF lending (some politicians have SMSF properties themselves!)


While it was recommended by David Murray in the Financial system inquiry back in 2014, this recommendation was rejected by the government. Even if a new government chooses to change the rules, typically you would not be forced to sell your property and extinguish the loan, as in these situations the loans would be grandfathered and the new law wouldn’t apply to existing loans.

How are my loan costs paid? What can I expect to pay?

All costs associated with your investment property must be paid by your SMSF account. All Stamp duty, repairs, maintenance, legal fees, etc are paid using EFT from your SMSF bank account.

We can help you manage your first few transactions, but it’s just as easy as your personal internet banking.


How will it work day to day once I have the property?

Once we have completed the setup of your fund, your current super is rolled over into a bank account under your super fund’s name. Your funds can then be used as a deposit on the property. Once purchased, the super fund cash account will make all transactions regarding the purchase and fees.

Money going into the account – Will be your member’s employer contributions + Rent paid from tenant in the property and any other contributions you make.

Outgoing from the accountThe mortgage repayments and any SMSF fees (Remember there may also be rates, strata fees and property management fees to consider)

If your contributions plus rental income is higher than the mortgage repayments required, you’ll be laughing!

Why should I get a Squirrel SMSF if I only want the loan?

Usually there are high costs associated with lawyers reviewing trust deeds and Bare trusts of SMSF owners. Trust deeds prepared by parties other than Squirrel tend to have different processes, which means it takes more time and expense to process them.

This is why our Squirrel client rates are better than non-clients, as we're able to pass those savings onto you - our client.


How long do I have to find a place after getting indicative approval?

90 Days – however Squirrel will of course extend if needed in many circumstances. 

Can I put a deposit on the property with my own money and then be reimbursed by the SMSF?

No, as this can contravene the ‘financial assistance to members’ clause.

So, it is always best to make all transactions directly from the SMSF. Another important reason to make sure that you have completed all of your rollovers before putting a deposit down.

Does my max lending capacity depend at all on the type of property I purchase?


  • We only lend to residential properties
  • Some suburbs may require a lower LVR i.e rural properties are always more risky to a lender and require a lower LVR than Metro area properties
  • We don't lend for off the plan properties 
  • We don't lend for land 
What happens if I miss a repayment?
Please contact us if you miss a repayment or are having financial worries.
Can I get a loan if I have bad credit or a default?
What are your interest rates?

All rates are on squirrelsuper.com.au – these are indicative and subject to change and can be different if you are borrowing in a regional area or have a limited balance in your super fund.

Formal approval and actual interest rates for your specific circumstances can only be provided once your application is made and the property has been found.