In great news for the SMSF market, one of Australia’s largest private non-bank lender Firstmac, has entered the SMSF market, with a number of competitive products designed to drive competition in the market place.
It is clear there is an opportunity for more lenders to enter, as this sector of the market has been underserviced by the banks over the past few years.
Already in response to this new competition, we have seen significant out of cycle rate cuts being passed through from the existing market players, and new products introduced.
These cuts will further improve investment returns, creating even more reason to consider setting up an SMSF and purchasing a new residential property. We are seeing new property offering negative gearing benefits whilst being cash flow positive within the fund. It is a great time to invest.