As the credit crunch continues to take grip, I am seeing an increase in loan applications. Traditional bank borrowers are comprehending that the banks will not be returning to the market any time soon, or relaxing the APRA imposed risk management rules of 100% plus debt coverage.
Earlier this year I slowed down lending as I saw the market changing. Sales rates were slowing, pushing out average loan terms.
The equilibrium has returned to GPS and we are now actively looking for new projects to fund.
The GPS investor base currently has a strong appetite for $3 million to $6 million loan sizes. They are willing to look further afield than Brisbane, to the Sunshine and Gold coasts. Current projects in those areas are well performing.
We will always look at smaller and larger loans. Download our fact sheet for more information.