loans.com.au launches 'low rate' SMSF home loan

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on July 27, 2021
loans.com.au launches 'low rate' SMSF home loan

An online lender is looking to make it easier for those self-managing their super to build their wealth with a new home loan product.

'Low rates' and 'cutting edge service' are the promises for loans.com.au's new loan for self-managed super funds (SMSF). 

The SMSF loan is available to borrowers with a loan-to-value ratio (LVR) up to 80% with a variable interest rate of 3.69% p.a. (3.70% p.a. comparison rate), with a maximum loan amount of $1 million. 

Managing Director of loans.com.au, Marie Mortimer, said the lender now offers one of the lowest SMSF rates in the market with a 'quick and simple' refinancing process. 

"By choosing to refinance your SMSF loan with loans.com.au, you'll be saving money on interest rates, and you can build your retirement wealth quicker," Ms Mortimer said. 

"For the last 10 years since we launched our business, we've been slowly developing our product base to suit the diverse range of customer needs.

"We know that not all customers are the same, so we have a variety of products, allowing our customers to personalise their loans based on their needs.

"Customers purchasing property via their self-managed super funds has become increasingly common in Australia, and it isn’t a very competitive space, so with loans.com.au entering this market, we want to make this space more competitive by offering first class service coupled with low interest rates, to allow those who are building their retirement wealth, to succeed sooner." 

The loan is only available for people looking to refinance, but Ms Mortimer said the lender would consider purchases in the future. 

There are very few lenders in the SMSF lending space as it's considered a slightly higher risk than regular mortgage lending.

Loans in the SMSF space are considered 'limited recourse', meaning in the event of borrower default, the lender can only seize the security the loan is tied to, rather than other assets in the fund such as cash and shares, which explains the slightly higher interest rates.

Related: How to buy property through an SMSF in Australia

Lender

Variable
More details
SELF MANAGED SUPER FUND LOAN
  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees
SELF MANAGED SUPER FUND LOAN

SMSF 80

  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees
Variable
More details
  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees

Ocean SMSF (No Offset) (Metro) (Principal and Interest) (LVR < 60%)

  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees
Variable
More details
  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees

SMSF 70 (Refinance)

  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees
Variable
More details
  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees

Liberty SuperCredit SMSF (LVR < 60%)

  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees
Variable
More details
  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees

SMSF Residential

  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees
Variable
More details
  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees

SMSF 70 (Purchase) (New Customer)

  • Easy refinance process
  • No application fee and no settlement fee
  • No monthly, annual or ongoing fees

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. All products will list the LVR with the product and rate which are clearly published on the Product Provider’s web site. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of June 29, 2022. View disclaimer.

 


Photo by Thulifigar Ali on Unsplash

Disclaimers

The entire market was not considered in selecting the above products. Rather, a cut-down portion of the market has been considered. Some providers' products may not be available in all states. To be considered, the product and rate must be clearly published on the product provider's web site. Savings.com.au, yourmortgage.com.au, yourinvestmentpropertymag.com.au, and Performance Drive are part of the Savings Media group. In the interests of full disclosure, the Savings Media Group are associated with the Firstmac Group. To read about how Savings Media Group manages potential conflicts of interest, along with how we get paid, please visit the web site links at the bottom of this page.

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Alex joined Savings.com.au as a finance journalist in 2019. He enjoys covering in-depth economical releases and breaking down how they might affect the everyday punter. He is passionate about providing Australians with the information and tools needed to make them financially stable for their futures.

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