Non-bank commercial loans more ‘broker friendly’

by Caroline Dann24 Sep 2012

La Trobe Financial claims brokers looking to enter commercial lending should consider non-bank lenders, who it says have a more 'streamlined process'.

It cited results from NAB’s Quarterly Australian Commercial Property Survey, which showed improvements in commercial lending in Q2, as a reason brokers should consider diversifying – but with non-bank lenders.
“Commercial lending with a non-bank lender is a great way for brokers to expand their product offering without the need for extensive training or capital investment, and  with attractive upfront commission and trail payments on offer for what are usually high dollar  loans, the answer is simple,” it said.
Stephen Lawrence, La Trobe’s executive joint head of asset origination, said non-bank lenders had a more streamlined and efficient process in place for what he called a “complex” area.
“The very words commercial lending are often enough to send a shiver up a broker’s spine as it is often simply too hard and too time consuming to attempt a commercial loan submission,” he said.
Non-banks such as La Trobe, he claimed, were focused on reducing paperwork and utilising residential loan writing systems to make it easier.