SMSF Property Loans › Can I live in a property my SMSF owns?

Can I live in a property my SMSF owns?

No. Under the sole purpose test, you, other fund members, and relatives cannot live in, rent, or holiday in a residential property owned by your SMSF. It must be held purely as an investment for retirement.

Written by Ross McFarlane, Licensed Mortgage Broker (Credit Representative 526725). About the author

Why this matters

This is one of the strictest and most important SMSF rules, and breaching it can have severe consequences for the fund. A residential SMSF property is an investment only, with no personal use by members or family. If you are considering SMSF property, understanding this limit up front is essential, and advice is a must.

The key points

Members and relatives cannot live in the property.
They cannot rent or holiday in it either.
It must be held purely as an investment.
Breaching this rule has serious consequences.

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Last reviewed: June 2026

General information only. This page provides general information about home loans and is not financial or credit advice, a quote, or a guarantee, and your personal circumstances have not been considered. Lending policies, interest rates, fees and eligibility vary by lender and change over time. Always confirm your own situation with a licensed mortgage broker or lender before acting. Ross McFarlane (Credit Representative 526725) is an authorised Credit Representative of Australian Associated Advisers Pty Ltd t/a Keylend, Australian Credit Licence 392169.