If you use a self-managed super fund or plan to set one up, recent rule changes could affect your future property investment options.
 
The federal government has ended the ability for SMSFs to borrow to purchase residential property.
 
SMSFs can still buy residential property outright using existing super balances, but they can no longer use borrowed funds for those purchases.
 

Commercial property is different

The changes do not apply to commercial property.
 
SMSFs can still borrow to purchase commercial property, meaning those rules remain unchanged.
 
That distinction is important because many investors are unaware that residential and commercial property are now treated differently.

Understanding the new landscape

The changes don’t prevent SMSFs from investing in property, but they do change the financing options available.
 
As a result, anyone considering property through their super should take the time to understand the updated rules before making plans.
 
Property ownership, lending and superannuation rules often overlap, and even small policy changes can affect how different strategies work in practice.