Non-bank lender RESIMAC has added an additional 11,800 acceptable locations to its specialist lending program, which the group says means they can now consider a security property ‘virtually anywhere within Australia’.
RESIMAC CEO, Allan Savins, says the lender has tended to take a particularly careful standpoint in the past when it comes to acceptable locations, but is now ready for expansion.
“When we first launched the business we launched through he GFC, so we were a bit more conservative about where we wanted to lend. Five years on the business has evolved.”
Savins says the new locations will be launched and modelled for performance, but says others aren’t likely to be added to the list for some time.
“We’re confident – we’ve had an overwhelming supply of support from investors, so it makes perfect sense that we open the taps to more business. We’ve managed the business quite conservatively over the past five years and that’s paid dividends for us. But the desire is to grow.”
RESIMAC’s official statement says the new locations were selected based on a computer logarithm.
“Recognising that we have expanded the acceptable location policy, it must be demonstrated that there is an active property market in the specific location. In lower populated locations we recommend that loan writers understand the local market activity to ensure acceptable comparable sales can be obtained.”
RESIMAC’s APL Tool, Quick Quote and RESiQ have already been updated to reflect the change.