Private Loans are known as asset lends because the lender is primarily relying on the value of the security. Private lenders can arrange loans for a range of activities including purchasing a commercial property, purchasing or starting a business, payout out a business debt, working capital for a business, any form of property development activities including construction financing and etc. However, the funds cannot be used to invest in a residential investment property or an owner occupied residential property.
Private lenders are stepping in to fill the borrowing gap for Commercial Property Borrowers with more flexible ways to prove income and more willing to take risks. Commercial Private lending has evolved to suit a greater diversity of business borrower needs.
Types of Private Commercial Loans available:
Commercial Properties need to be in high population areas Cat 1 or Cat 2 Locations (capital Cities and Major Regional Towns with populations over 20,000 people)
- Private Commercial Property Loans: Where income verification is evident monthly repayments are acceptable other wise Pre Paid (Capitalised Interest) up to maximum lvr. We can lend up to a maximum of $10 million to 70% LVR on Full Doc and Low Doc Commercial Loans. Eg. shops, offices, warehouses, light industrial.
- Specialised Securities: Service stations, hotels/pubs & clubs, childcare & medical centres (Rate and LVR on case by case)
- Private Land Subdivision Loans: We can lend up to a maximum of $10 million to 65% LVR on Commercial Vacant Land Loans.
- Development Property Loans: We offer a specialised range of tailored construction funding solutions for infrastructure projects – be it a large residential building site, industrial centre or mixed use property development. Max LVR 70% of GRNV (including partially completed development sites, line fee’s may be included)
- 2nd Mortgage or Bridging Loans: This type of loan is designed for a second mortgage on Residential, commercial, industrial, DA approved land, specialised commercial and other. Maximum loan to $10 million to 80% LVR from 1 >24 Months.
- Caveat Loans: A caveat loan is a secured loan in which finance is obtained by using a piece of real estate as collateral. For a loan to be approved, a caveat is lodged on the title of ownership of the property.
- Retained Stock for Residential and Commercial Property Loans: Allows for the refinance and equity release on both Residential and Commercial securities to be retained by the Developer or associated party post completion.
- Land Bank for Residential and Commercial Property Loans: Allows you more time to turn your site into a marketable asset so you can focus on minimising your project risk. These steps could include finalising any remaining designs, zoning and construction approvals, marketing and pre-sales (if required) and obtaining construction approvals.
- Private Rural Farming Loan: Whether facilitating a purchase or a refinance, funds for working capital our agricultural lending is to 60%. Must be against agricultural & rural land – Duration – 3 months to 2+ years. Typical loan is between $1m to $4m range.
No Doc Loans from Private Lenders
Securing private commercial finance requires the expertise of a specialist team, our consultants are able to package your loan application and present it to the most appropriate funder.
Private Loans are not long term loans and usually range from 3 months up to 3 years and rely on the value of the asset rather than evidence of income.
Private Loans are not available for a purpose that is personal, owner occupied or for investment in residential property. Over 50% of the funds being used must be for business purposes.