Lender makes cuts in a bid to “support self-employed Australians to invest in property”
Resimac has slashed interest rates and waived some of the fees across its Prime Alt Doc range of home loans.
The non-bank lender has cut the interest rates of its Prime Alt Doc owner-occupied principal and interest home loans to 2.99% across the entire range of loan-to-value ratios (LVR) – an 88bps reduction, down from 3.87% p.a., for a loan with a 70% to 80% LVR.
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Resimac has also significantly reduced interest rates for investment and interest-only Prime Alt Doc products and waived the risk fee for all Prime Alt Doc products.
In a statement, the non-bank lender said that the move will “help support self-employed Australians to invest in property or to refinance and consolidate their debts.”
“There are many self-employed Australians who will need more support this year as they get back on their feet and transition back to normality after almost 12 months of disruption,” said Daniel Carde, general manager distribution at Resimac. “Refinance activity was particularly strong in 2020, however many self-employed borrowers were effectively shut out of the market due to the economic uncertainty caused by the pandemic. We’re looking to change that in 2021 by reducing our interest rates and removing almost all the entry costs on our range of Prime Alt Doc loans.”
Additionally, Carde said that, with the economy already showing signs of a strong recovery, the lender is removing some of those temporary documentation requirements introduced in 2020.
“This is another example of Resimac pioneering in the non-bank space. Last year we kept up our lending program with no material changes to our credit policies, and now we’re continuing to meet the evolving needs of Australians, particularly the self-employed,” said Carde.