Experienced SMSF property investors in 2026 face a specific challenge: a strategy that worked well for the past decade — using an LRBA to buy residential investment property inside super — is no longer available for new acquisitions. This page is for investors who already have SMSF property experience and need to adapt their strategy for the new landscape.

What Experienced SMSF Investors Are Doing in 2026

The most common strategic pivots being made by experienced SMSF property investors after the residential borrowing ban:

1. Pivoting to Commercial Property LRBAs

Commercial LRBAs remain fully available. Experienced investors who understand leverage, due diligence and property management are well-placed to pivot from residential to commercial. The asset class is more complex but the structural advantages — net leases, higher yields, longer tenure, business premises use — are significant.

2. Holding Existing Residential LRBAs and Optimising Them

Existing residential LRBAs are not affected by the ban. Experienced investors with existing residential loans inside their SMSF should focus on optimising those holdings — reviewing interest rates, considering refinancing where available, and ensuring the properties are performing at market rent.

3. Buying Residential Property Outright as the Fund Grows

For larger SMSFs (balances above $600,000), buying residential property outright without borrowing remains a viable strategy. The absence of leverage reduces returns but also reduces risk — a relevant consideration for members approaching retirement.

4. Adding Commercial Property to Diversify the Portfolio

Many experienced SMSF investors are adding commercial property alongside their existing residential holdings to diversify income streams, improve yield, and maintain leveraged exposure to property inside the fund.

Key Questions Experienced SMSF Investors Are Asking in 2026

• Can I refinance my existing residential LRBA? (Yes — refinancing existing LRBAs is generally permitted)
• Can I buy another residential property inside my SMSF? (Yes, if buying outright without borrowing)
• Can I use equity in my existing SMSF property to buy another property? (No — cross-collateralisation is not permitted inside SMSFs)
• Should I wind up my SMSF and move assets to an industry fund? (This depends heavily on your individual circumstances — seek professional advice)

GeeVee Verdict for Experienced SMSF Investors

The ban creates disruption but also opportunity. The experienced investors who move quickly into commercial property — particularly warehouses, medical suites and business premises — will secure the best assets before the broader SMSF market catches up. Speed matters in 2026.

Whether you are adapting an existing SMSF strategy or building a new one after the borrowing ban, the Collings Property Platform gives you access to off-market commercial and residential opportunities, portfolio tracking, investment tools, and property insights powered by GeeVee AI. Join free today and start building your property future. collings.com.au/portal