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Loan application for SMSF

Discussion in 'Superannuation, SMSF & Personal Insurance' started by Ed_invest, 26th Nov, 2013.

  1. Ed_invest

    Ed_invest New Member

    Joined:
    26th Nov, 2013
    Posts:
    2
    Location:
    Perth, Western Australia
    Hi
    I am looking at borrowing to purchase a commercial property through a Self Managed Superannuation Fund.
    Can anyone please tell me who is responsible for making this application.
    Is it me, accountant, broker?
    Thanks
     
  2. Terryw

    Terryw Well-Known Member

    Joined:
    9th Jun, 2006
    Posts:
    653
    Location:
    Sydney
    None of the above.

    The trustee of the SMSF must be the one applying for the loan. The trustee may use an appropriately qualified mortgage broker to assist with the application. Accountants can assist if they have a credit icence.
     
  3. Ed_invest

    Ed_invest New Member

    Joined:
    26th Nov, 2013
    Posts:
    2
    Location:
    Perth, Western Australia
    Thanks for response.
     
  4. Jimmy007

    Jimmy007 Member

    Joined:
    28th Aug, 2013
    Posts:
    19
    Location:
    Brisbane
    Assuming you already have an SMSF set up with a bare trust, it would be a broker.

    Brokers with good LRBA experience are few and far between as the paper work and application is a little different to your average app.

    I've used CLS Finance before and don't have any major gripes about their process or application. There are a fair few good brokers on this forum too! Good to go local :)

    I would definitely involve your broker early on the decision making process as I have heard horror stories of lengthy applications or signing contracts in the wrong name etc...

    good luck!
     
  5. Pete Ramoza

    Pete Ramoza Active Member

    Joined:
    29th Jul, 2012
    Posts:
    40
    Location:
    Brisbane, Qld
    As Terry said, the applicant must be the trustee of the SMSF. You can however enlist the services of a broker if you so wish.