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The lender has unveiled a business bridging loan to help borrowers settle loans faster.
Private lender Maxiron Capital has launched a new, short-term first-mortgage bridging facility that it said can take a deal from approval to settlement in just 48 hours.
The Sydney-based commercial lender – now entering its 23rd year – said the ‘Flash48’ product has been developed after hearing broker concerns regarding the impact of protracted and high-cost valuations on time-critical deals.
Flash48 uses desktop valuations and real-time property data feeds rather than traditional valuation reports, a shift Maxiron said can shave weeks off the settlement timeline and save clients thousands of dollars.
Iman Asadi, director of lending at Maxiron Capital, said the data-driven approach offers “comparable, if not superior, risk visibility”.
“Brokers would call on a Wednesday and tell us their client would lose the property by Friday,” Asadi said.
“With Flash48, we’ve removed the timely and costly valuation requirement so they can settle before the weekend, without sacrificing the credit discipline that’s kept our capital in good shape for two decades.”
Asadi also said speed and accuracy didn’t have to be trade-offs, noting Maxiron also offers a similar product, Flash72, designed for second mortgage scenarios where clients require funding for business purposes.
“Our in-house processes give us a valuation that’s both current and defensible – so brokers get a rock-solid approval without the drag of a week-long valuation,” he added.
“Our motto at Maxiron Capital is ‘Real Approval, Fast Funding’. This is what we promise and what we will deliver.”
Stress test
Maxiron reportedly tested the product in a pilot transaction earlier this year, where a Victorian developer faced forfeiting a deposit if funding wasn’t secured within two days.
According to Asadi, the application landed on a Thursday morning, formal documents were signed that night, and settlement took place Friday afternoon, beating the deadline by hours.
He said the trial demonstrated the “speed-with-certainty” promise that brokers are struggling to find elsewhere.
“Speed is meaningless if the money doesn’t show up,” Asadi added.
“Our commitment is that once the approval letter is signed and legals are cleared, funds will be there in 48 hours – no excuses.”
You can find out more about the new ‘Flash48’ product from Maxiron Capital at The Adviser’s upcoming SME Bootcamp, which will be held in the Gold Coast, Sydney, and Melbourne during September.
The event, run with the support of principal partner Maxiron Capital, aims to arm brokers and accountants with the technical skills and knowledge they require to help their small and medium-sized enterprise (SME) clients with their tax and financing needs and become their trusted advisers.
The free-to-attend summit equips accountants and mortgage brokers with the knowledge, tools, and strategies to remain relevant, valuable, and proactive as trusted advisers to SME clients in a changing market.
Find out more about the SME Bootcamp here.
[Related: New Broker: Top tips and common pitfalls from brokers starting out]
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