Brokers demanding greater flexibility to meet surge in demand, says leading non-bank lender
Pepper Money has revamped its SMSF offering in response to evolving broker demands.
The non-bank lender’s latest policy change allows SMSF clients to borrow up to $1 million at a 90% LVR without requiring Lenders Mortgage Insurance (LMI) or a Lenders Protection Fee (LPF).
Barry Saoud (pictured), Pepper Money’s chief executive, mortgages and commercial, said the move comes amid a significant increase in SMSF deal flow.
“Our SMSF loan volumes have grown by more than 50% this year – and the momentum is still building. Brokers are telling us they need more flexible options to meet growing demand – and we’re listening,” he said.
The new 90% LVR option is designed to remove barriers that have previously limited SMSF investors.
Saoud said: “For SMSF investors, this is a big shift. They can now purchase with just a 10% deposit and no mortgage insurance – potentially saving their super fund tens of thousands.”
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Pepper Money’s latest product changes are directly based on broker feedback and market trends.
“As the lending landscape shifts, we’re focused on helping brokers say yes to more clients,” said Saoud. “Whether it’s an investor using their SMSF to buy property, or a business owner needing a flexible solution – we’re raising the bar so brokers can grow their business with confidence.”
The company has also increased commercial LVRs, expanding options for clients who may have previously been unable to access SMSF loans.
“It’s all part of our commitment to being the broker’s champion – delivering really helpful loan options that make a difference,” Saoud said.
