Self-managed superannuation fund (SMSF) and managed account administration service provider Multiport has built a solution to help financial advisers understand the rules around acquiring a property through the use of gearing.
The service, SMSF Gearing, would manage the process for all aspects of documentation and loan applications, Multiport said in a statement.
Multiport chief executive John McIlroy said the service would address the confusion around the process and rules of using a limted recourse borrowing arrangement to purchase a property in an SMSF.
McIlroy said while SMSFs formed the largest component of the superannuation market and continued to grow at an annualised rate of over 20 per cent a year, the rules around gearing a property in an SMSF were complex.
"We have seen a marked increase over the past 12 months in adviser and trustee enquiry rates around gearing into SMSFs," he said.
"However, there remains confusion around the process and what needs to take place in order to complete the purchase smoothly - this solution fills the void."
