How to invest in property using your super
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What is super? | Types of super funds | What is an SMSF loan? | How much can I borrow from it? |
Applying for an SMSF loan with Pepper Money
Using your superannuation (super) to invest in property is something some Australians include in their long term retirement strategy. If you're thinking about setting up a self-managed super fund (SMSF), it's important you get independent tax and financial advice to help you understand how an SMSF works and whether it’s right for you.
If you’re a first home buyer, you may be able to make personal voluntary contributions to your super fund under the First Home Super Saver scheme – a government program that helps eligible people build up their first‑home savings inside their super.
Many super funds allow members the option to invest in property indirectly through things like property trusts or property‑focused managed funds, rather than buying a property outright. Some people buy property through their super by setting up a SMSF. But this approach does come with strict rules.
This article explains the different types of super funds, including SMSFs, and outlines some key information to consider if you’re looking to invest in property using your super.
What is super?
Superannuation is a way of saving for retirement. Your super fund invests money on your behalf with the aim of helping you build retirement savings over time.
What type of super funds are there?
There are 5 basic fund types you may be able to choose from:
Industry super funds
Retail super funds
Corporate funds
Public sector funds
Self‑managed super funds
Operate similarly to other super funds, but the key difference is that they are self‑managed. If you’re an SMSF trustee, you’re legally responsible for the fund’s investment decisions and for meeting all superannuation and tax obligations.
Note: It’s important to obtain independent financial and tax advice if you’re considering an SMSF.
What is an SMSF loan?
A self-managed super fund loan allows an SMSF to borrow money to purchase business real property, or refinance an existing residential or business real property. SMSF loans may be available through banks or non‑bank lenders like Pepper Money.
Similar to a home loan, an SMSF loan may help when the fund doesn’t have enough cash to purchase the business real property outright.
Note: From August 10 2026, new limited recourse borrowing arrangements (LRBAs) can no longer be used to purchase residential property, using their SMSF. This change doesn’t impact existing LRBAs or contracts of sale exchanged before 10 August 2026, even if settlement takes place after the ban.
How much can I borrow with an SMSF loan?
At Pepper Money, we could help eligible SMSFs with a corporate trustee with loans of up to:
90%
80%
Subject to credit assessment, eligibility criteria and lending limits.
Want to apply for an SMSF loan with Pepper Money?
Once you’ve received independent financial and tax advice and confirmed the property you've chosen is eligible for an SMSF loan*, the next step is to apply for pre‑approval.
Whether you’re looking to invest in business real property, or looking to refinance an existing residential or business real property corporate trustee SMSF loan, our team is here to help.
If you’re ready to get started, call 137 377, speak with your broker, or contact us to discuss.
Pepper Money SMSF loans are available to established corporate trustee SMSFs with an ATO‑compliant status.
In plain English: Pepper Money can only provide SMSF loans to super funds that are already set up, have company trustees, and are recognised by the ATO as having a current ‘compliant’ status.
The SMSF must have a current ‘compliant’ status with the ATO.
Contributor | Barry Saoud, General Manager, Mortgages and Commercial Lending
Barry joined Pepper Money in July 2021 as General Manager, Mortgages and Commercial Lending. He is responsible for the strategic direction and operating performance across product, credit, and settlements for mortgages, commercial loans, personal loans, and direct sales.
Published by Pepper Money. Read our Editorial Policy to learn how we create and review content.
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Resources to help investors
Our resources are here to guide you through the process and lend a little helping hand to get your investment journey started.
Information is correct as of 10 August 2026 and subject to change at any time.
*SMSF loans available to established corporate trustee SMSFs only with an ATO compliant status. The ATO may impose penalties for SMSF non‑compliance, including significant financial penalties, enforced rectification, or fund or trustee disqualification.
Information provided is factual information only and is not intended to imply any recommendation about any financial product(s) or constitute tax advice. It is recommended that you obtain independent financial and tax advice to understand your circumstances and needs.
Applications are subject to credit assessment, eligibility criteria and lending limits. Terms, conditions, fees and charges apply.
© Pepper Money Limited ABN 55 094 317 665; AFSL and Australian Credit Licence 286655 (“Pepper”). Pepper is the servicer of home loans provided by Pepper Finance Corporation Limited ABN 51 094 317 647. Pepper Asset Finance Pty Limited ACN 165 183 317 Australian Credit Licence 458899 is the credit provider for asset finance loans.
