What is a bare trust for my SMSF?
A Bare Trust is a specific trust structure used when your self-managed super fund (SMSF) buys property under a limited recourse borrowing arrangement (LRBA). The Bare Trustee holds the legal title to the property, while your SMSF is the beneficial owner and receives the income and any capital growth.
How does Stake Super help with bare trust establishment?
Establishes the Bare Trust structure and prepares the required documentation, including the Bare Trust deed and trustee company documents
Ensures the documentation is compliant from an administrative and SMSF reporting perspective – but not from a legal advice perspective
Coordinates the setup once all details and payment have been received. Bare Trusts are typically ready within 2–3 business days when everything is in order
Information you’ll need to provide to set up the Bare Trust
If you need a bare trust set up to purchase a property, please send us through:
Bare Trustee company name proposal
Must be different from your SMSF’s corporate trustee name
Cannot include the word ‘Trust’
Directors of the Bare Trustee company
Shareholders of the Bare Trustee company
Bare Trust name proposal
Property address (the asset being acquired)
Fees
Bare Trust setup (one-off): $1,199
Accountant’s letter (if required by a lender or other party): $49
Fees are paid from your Stake SMSF account, so you’ll need enough funds in your Stake AUD wallet to cover these.
Important note
Each Bare Trust can only be used for a single property. If your SMSF acquires another property under an LRBA in the future, you’ll need to set up a new Bare Trust.
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