What properties a SMSF can buy?
A SMSF can purchase the following property related investments:
The SMSF can purchase a property with or without borrowed funds. When the SMSF borrows from bank or related parties, the loan must be limited recourse.
What properties a SMSF cannot buy:
A SMSF is unable to invest certain property investments that SISA does not allow:
The acquisition of the above will breach the in-house asset rule and fail the sole purpose test, therefore they are prohibited by SISA.
What properties investments can transfer to a SMSF:
Note a residential property can only be bought by a SMSF. If it has been already bought outside of the SMSF, it cannot be transferred to the SMSF.