Collins Securities targets investors
By
Andrea Lavigne
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9/02/2010 8:50:00 AM
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3
comments
In an attempt to capture investors' interest, non bank lender Collins Securities has released a new 95% LVR non-genuine savings investor loan.
The product follows the company's recent release of a refinance and non-genuine savings low doc home loan.
According to Collins Securities, lowering equity requirements will allow more investors to get involved in the expanding housing market.
"With the share market taking a beating over the last few weeks we're finding that share market investors are starting to take a look at other investment opportunities and residential property is one of them," it said.
The company added that its high LVR product fills a void left by the major banks.
"The majors have been progressively reducing LVRs on their loans making it difficult for first time investors and first home buyers to enter the market."
Related stories:
Lo doc loans enjoy resurgence - So-called "true" low doc loans are enjoying a comeback in the market.
New non-bank product bucks trend - Yet another non-bank has taken the fight to the majors.
Latest Comments
Total:
3
comment(s)
JamesGreen on
09 Feb 2010 12:53 PM
Great product from a great company and a great bloke.
sniffer on
09 Feb 2010 05:31 PM
I would be more excited about feeding my cat a piece of salmon. Who cares? It is not as if Collins are actually targeting a relevant market - how many investors want to be this highly geared and don’t have equity in other property?
Customers would have to have strong income to support such high gearing and if they were that strong the banks will do the deal anyway!
All these non-bank lenders trying to be original with smoke and mirrors but they offer nothing a bank can’t do. They cost more, are unstable and are inflexible.
On this site I hear brokers complain about RAMS, GE and all the other non-banks. Then they support this type of product. In the current market I have only one thing to say. GO THE BANKS!
Good one sniffer on
09 Feb 2010 09:40 PM
You either work for a Bank and will one day realise you're a number and not wanted, or a broker who if all followed your advice, one day won't be wanted by the banks either. So either way you're not wanted. If non banks were smoke and mirrors how come their market share was increasing so much? Anyway, if a major bank or major banks had to raise rates higher than market, curtail their lending, cut broker distribution what's that called?