Bluestone Home Loans is stepping it up with a new range of products as prices continue to hit new highs in Australia and the path to homeownership becomes increasingly complex and costly.
The non-bank lender revealed Monday that it has launched two new products: residential construction loans and commercial property investment loans. Both products are meant to help simplify the approval process while catering to all income types, including those with non-standard financial situations, Bluestone said.
“These new solutions open the door for more Australians, who may not fit the traditional lending mould, but [who] have solid financial foundations and great opportunities ahead," Tony MacRae, Bluestone's chief commercial officer, told Australian Broker.
He added that demand for residential construction loans are gaining traction "with property prices climbing and housing stock stretched. More clients are turning to construction as a way into homeownership."
In fact, property prices continue to edge upwards with Australia's housing shortage showing no signs of easing. Around the country, home values jumped by $65,200 in the 12 months leading up to October, according to the PropTrack Home Price Index. With affordability stretched, many would-be homeowners are opting to build their own homes instead.
Bluestone's residential construction loans are available for borrowers looking to build or renovate for new single dwelling and duplexes, as well as renovations and extensions on existing properties. One one form of income verification is required for alt doc and valuation fees for progress inspections are waived.
The new loan option, MacRae said, "enables brokers to service more clients — especially for self-employed borrowers or those with non-standard income — who want to build, not just buy."
Meanwhile, investor appetite is also picking up steam thanks to lower interest rates and the promise of higher rental yields.
"Investor interest in commercial property remains strong, particularly in industrial, logistics and mixed-use sectors," MacRae said. "We’re seeing activity across the country, and brokers are looking for lenders who understand the complexity of these deals."
Bluestone's commercial property investment loans are available to investors buying or refinancing commercial properties. Key features include prime and near-prime full doc and alt doc options, a streamlined assessment process, the choice of an offset sub-account (excluding self-managed superfund loans) and flexible structures. There are also no clawbacks, multiple ways to verify income and a broad range of "acceptable" securities, the company said.
MacRae added that the updated product suite is also designed to support the changing needs of brokers.
"Our aim is to make lending more accessible and transparent," he said. "Whether it’s helping Australians build, invest or live abroad, Bluestone continues to back the brokers who make these outcomes possible. Brokers are at the heart of everything we do. They’re the trusted voice guiding borrowers through complex decisions, and we see our role as supporting them every step of the way.
"From fast turnarounds to direct access to credit teams, everything we do is designed to help brokers deliver more solutions and grow their businesses," MacRae continued. "Whether it’s a complex deal or a client who doesn’t tick every box, we’re here to help you find a way forward."
Bluestone's plans to capture a greater share of Australia's non-bank lending space come amid a dynamic market. Lower interest rates, updated government housing schemes and relatively low unemployment are fueling momentum. At the same time, soaring property prices, higher living costs and a tight housing supply are ramping up competition in Australia’s loan and property markets.
But Bluestone, which turned 25 this year, appears to be busier than ever. In October, the non-bank, launched two upgraded offerings: a new loan tailored for expats and higher loan limits for residential properties.
That same month, Bluestone tapped former Better Choice Home Loans National Manager Sales and Strategic Partnerships Paul Bakker for the newly-created role of head of strategic partnerships at Bluestone.
Earlier this year, in March, Bluestone revealed that its alt doc loan volume surged 260% in 2024, year-over-year — or up 39-fold since 2019. Bluestone’s loan options now include residential, construction, commercial and expat lending.
