LongView opens second fund for fractional home investing by SMSFs

What's the deal? Melbourne-based LongViewDealroom has a profile for this one. Try Dealroom → has opened its Home Equity Fund 2, letting self-managed super funds (SMSFs) invest in residential property without buying a physical asset. The fund, structured as a unit trust, co-invests in existing homes in exchange for a return of original capital plus a pre-negotiated share of future capital growth. Minimum investment is $100,000.

Why now? The fund targets demand created by restrictions on residential property investment through limited recourse borrowing arrangements (LRBAs). "The [residential property LRBA] rule changes mean that trustees who want housing in their portfolio now need another way than directly investing in a single property," executive chair James Hooke said.

What's the endgame? LongView wants to let trustees hold housing at a sensible portfolio weight rather than committing to an entire property. "If you decide 10 per cent of the SMSF should be in Australian residential property, there has never been a way to actually do that," Hooke said.

The fund uses a selection process focused on "robust, older dwellings on well-located land" to identify assets with the highest chance of capital growth.

What came before? The new fund follows LongView's first Home Equity Fund, released in 2023. It closed oversubscribed and, by March 31, 2026, had invested in more than 220 homes worth $300 million collectively, returning an average of 14.1% a year since inception.

The signal: LongView is betting that fractional, managed exposure can fill the gap left as regulators tighten borrowing-based property plays inside super funds. Its pitch: own property "in a more sensible portion and let someone else deal with the tenants."

Read more: smsmagazine.com.au