Non-bank lender First Federal has rolled out a sweeping home loan policy and pricing update, effective immediately, giving brokers expanded options for clients who may not fit the standard bank mould.
The changes include rates starting from 6.59% (comparison rate 6.64%), LVRs up to 90% with no minimum credit score required, and unlimited cash out at up to 80% LVR for complex refinances and debt consolidation. Income policy has also been broadened to accept allowances, overtime, bonuses, and commissions, while self-employed borrowers can now qualify with one year's tax return rather than two. PAYG clients are accepted from day one in their current role, and units from 35sqm are now eligible. Both applicants on temporary visas can apply, and up to 90% of rental income is accepted.
Since APRA activated DTI lending limits for banks in February, capping high debt-to-income lending at 20% of new mortgage lending, some borrowers who previously qualified with the majors may find their options narrowing — making non-bank lenders an increasingly practical alternative.
CEO James Angus (pictured) said the update was shaped directly by broker feedback.
"This is one of the most exciting updates we've made. We have listened to what brokers need and built a policy that gives them more room to work with. Sharper pricing, broader eligibility, and simpler income requirements. It means brokers can help more of their clients and get more deals across the line," Angus said.
First Federal, which was founded in 2021 and works with more than 2,000 brokers nationally, positions itself as a lender designed to find solutions where others reach for the decline button. The company reports a broker NPS of +96 and more than $500 million in available warehouse capacity.
Angus framed the policy update as part of a broader philosophy.
"We built First Federal around the idea that getting a home loan across the line shouldn't be the hardest part of a broker's day,” he said. “A team that picks up the phone, a credit process that makes sense, fast turnaround times, no clawbacks, and a lender that genuinely wants to find a way, that's what Australia's Easiest Home Loan looks like in practice."
The full suite of changes is available now across First Federal's broker panel. Brokers wanting to test a scenario against the new policy can contact their First Federal BDM directly or reach the Broker Scenario Hotline on 1800 178 111.
Get the hottest and freshest property and mortgage news delivered right into your inbox. Subscribe now to our FREE daily newsletter.
