What is private credit?
Private credit refers to loans and other forms of debt financing provided by non-bank lenders rather than traditional banks. In Australia, the private credit market has grown significantly over the past decade, driven by regulatory changes that have led banks to reduce their exposure to certain types of property lending, and…
Jess
What do lenders need to assess a development loan application?
Applying for property development finance requires more documentation than a standard property loan. Lenders need to evaluate the viability of the proposed development, the capacity of the borrower to deliver the project, and the quality of the underlying security. Understanding what lenders require can help…
What is bridging finance?
Bridging finance is a form of short-term lending designed to provide temporary capital during a transitional period in a property transaction. It is commonly used when there is a timing gap between the purchase of a new property and the sale of an existing one, or when a borrower needs to…
What is a wholesale investor?
In Australia, a wholesale investor (also referred to as a wholesale client) is an investor who meets certain financial thresholds or professional criteria set out in the Corporations Act 2001 (Cth). Wholesale investors are generally considered to have a higher level of financial sophistication and are therefore permitted to access…
What is a construction loan?
A construction loan is a short-term financing facility used to fund the building or development of residential, commercial, or mixed-use property. Unlike a standard property loan, construction finance is drawn down in stages as building milestones are reached, rather than advanced as a single lump sum at settlement.
In Brisbane…
How does non-bank lending differ from bank lending?
The Australian property finance market offers developers two broad categories of funding: traditional bank lending through authorised deposit-taking institutions (ADIs) regulated by APRA, and non-bank lending through alternative finance providers regulated by ASIC. While both serve the same fundamental purpose of providing capital for property projects, they…
What is a pooled mortgage fund?
A pooled mortgage fund is a managed investment scheme that combines capital from multiple investors and deploys it across a diversified portfolio of loans, each secured by a registered mortgage over Australian real property. Rather than investing in a single loan, investors gain exposure to many loans simultaneously, which…
Many mortgage funds distribute income monthly. Learn how distribution returns are calculated, what drives them, and what investors should understand about fund income.
Independent property valuations are a critical safeguard in property-backed lending. Learn why they matter and how they protect borrowers and investors.
Mortgage funds offer wholesale investors exposure to property-backed lending. Here are the key factors to consider before investing, from returns to risks.
Property development finance is a specialised form of lending. Learn how construction and development loans are structured, assessed, and managed in Australia.
First and second mortgages carry different levels of risk and priority. Understand the key differences and what they mean for property borrowers and wholesale investors.