PEPPER MONEY ANNOUNCES NEW COMMERCIAL MORTGAGE POLICY ENHANCEMENTS

Leading non-bank lender, Pepper Money has announced a series of exciting commercial real estate policy updates aimed at providing brokers greater flexibility and support. 

Effective from 31 October 2023, these commercial policy changes address market challenges and opportunities for brokers and customers, offering serviceability solutions, increased loan sizes and LVR's, and diverse security types. It follows Pepper Money’s recent launch of Self-Managed Super Fund (SMSF) loans, designed for SMSFs seeking to purchase or refinance an existing property. 

Pepper Money’s General Manager, Mortgages and Commercial, Barry Saoud expressed the non-bank’s commitment to its valued brokers: “As the financial landscape continues to evolve, these enhancements represent another step forward in enhancing the arsenal of options that brokers can provide, enabling them to deliver more tailored and effective solutions to their clients.” 

He went on to mention their previous initiatives to support brokers, including the removal of clawbacks on commercial property lending, expansion of funding across Australia (including non-metropolitan and regional areas), simplified fee structures and reduced legal charges. According to Saoud, these changes are a testament to Pepper Money’s continued dedication to supporting brokers to meet the growing demand in the commercial property sector.  

“Now, by expanding and enhancing our commercial credit policies, we’re poised to open up more opportunities for brokers and more customers nationwide.” 

Saoud emphasised that the policy enhancements are an extension of Pepper Money’s ‘smart’ approach to supporting brokers in their pivotal role of helping their commercial clients to succeed. He praised their credit and product team’s efforts in delivering another series of policy improvements that can truly make a difference for customers that require a flexible, real-life approach. 

“With more than 20 years of specialist and SME knowledge, dedicated BDMs around Australia and a ‘real-life  approach to making deals happen,’ these collective enhancements and changes make Pepper Money the  obvious choice for commercial lending.” 

‘Smart’ Commercial Policy Enhancements 

Pepper Money has a range of prime and nean-prime commercial property loans including full and alt doc options for customers needing commercial lending solutions up to $5M in loan size. New policy enhancements include: 

More loan options for clients: 

✔ Increased LVRs to 80% across the board 

✔ Reduced minimum loan size to $100K 

Expanded security types: 

✔ Vacant land accepted as a single security 

✔ National Disability Insurance Scheme (NDIS) 

✔ Student accommodation accepted 

✔ Childcare centres valued ‘as-is’ 

✔ Board