2016 has already been very interesting for the GPS loan pipeline.
It appears that the banks are now only serving their long established and top tier borrowers. They are nowhere to be seen in the traditional GPS market and appear to have retreated above $20 million or below $2 million loan sizes.
There are very few private lenders, such as GPS, left in the market. These two factors have resulted in an above usual number of loan applications. I am currently working on 20 applications for traditional GPS type loans.
I have lost count of the number of applications for larger developments which have been received. GPS is not in this market.
In potentially uncertain times, GPS adopts an even more cautious approach to loan approvals. Such caution is also being shown by borrowers, valuers and quantity surveyors.
Fortunately, the increased level of applications has allowed GPS to be even more selective.
While I appreciate that GPS currently has a large number of loans repaying, with investors looking for new investment opportunities, GPS will not rush the loan pipeline process. I wish to ensure that we “get it right” and bring through yet another successful crop of loans. I would sooner not take investor’s money than not give it back.
There are several “end loader” loans available for short term investment.
Thank you for your patience. GPS will always place the interest of investors ahead of its own interests.