Homeloans expects to fund as much as 25% of new business through its recently launched Accelerate product.
Launched in September this year, the Pepper-funded product aims to cater to alternative borrower profiles that fall outside tighter major bank policies, and the business has since seen 15-20% of new business funded via Accelerate.
Homeloans general manager of sales Greg Mitchell said the product allows the business to cater to brokers with clients that might not tick all the boxes for one of its MoniPower or ProSmart products.
"The product has given us the ability to explore other avenues when a deal comes through that might not fit the neat policies of our other products," Mitchell said.
Mitchell said the business has seen intense competition for vanilla lending from the banks in recent months, and that Accelerate has opened up a wider spectrum for the Homeloans business.
"This product gives us the ability to move away from vanilla lending. The banks have clawed back massive market share with regard to vanilla deals, and having this allows us to look at deals outside those boundaries," he said.
The Accelerate loan is available in full or low-doc, accepts minor credit defaults greater than 12 months, ignores the number of previous credit enquiries for a client, and accepts self-employed borroers.
The loan also offers extended loan terms, no LMI up to 90% LVR, allows cash out and business use of funds and has no limits on debt consolidation.
Non-bank moves below RBA cut
Homeloans launches flexible credit product
Homeloans sees branding success