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CPC Lending Solutions expands to meet growing demand

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Written by David Lovato – CPC Lending Solutions

August 2024

We are excited to announce some significant changes at CPC Lending Solutions. To better serve our clients and meet the increasing demand for our services, we’re expanding our team and adding a new focus area.

Residential lending in 2024

As we head into the latter half of the year, the residential lending market presents buyers with unique opportunities. While interest rates have been held steady for several months, the overall cost of living remains elevated, putting pressure on borrowers’ budgets.

Despite these challenges, the housing market continues to demonstrate resilience. Strong population growth, coupled with a shortage of supply in many areas, is driving demand for residential properties. This has led to increased competition among buyers and put upward pressure on home prices.

However, many borrowers are finding it difficult to access finance, whether for new or existing homes, due to high interest rates. 

These affordability challenges are also impacting developers. Reported presales during the pre-construction and construction stages of projects are at a high risk of defaults and delays at settlement, or not even settling at all.

That’s why we’ve identified a need for a broker focused on the off-the-plan residential market.  

What’s changing?

As part of our expansion, we’re rebranding to CPC Lending Solutions and welcoming Andrew Wallace, our new Residential Mortgage Specialist. Andrew brings with him a proven track record and a deep understanding of the residential market.

His primary focus will be managing all residential finance enquiries and providing tailored solutions for individuals and families looking for residential mortgages.

At CPC Lending Solutions we offer a wide range of residential mortgage solutions including refinancing, off-the-plan new sales, house and unit purchases and investment property loans.

We’re also addressing a real problem that exists for construction-stage lenders and developers: the settlement risk of off-the-plan pre-sales. Many of these pre-sales are at risk when it comes time to settle due to outdated pre-approvals, changes in buyers’ life circumstances or rising interest rates.

CPC Lending Solutions will assist developers and purchasers in the off-the-plan sales process. We will work with developers to streamline the finance process for purchasers. 

Combining our in-depth knowledge of development with a new focus on residential buyers, we can connect with your off-the-plan buyers to build rapport and assist them in their homeownership journey.

This allows us to identify any risks, secure them a residential loan and ensure they don’t default when given their notice to settle. 

By identifying and mitigating risks associated with pre-sales, we can help developers increase their chances of successful project completion.

Increased competition

As a buyer, not only will you face increased competition for your new property thanks to the current shortage of homes, but you’ll also find many lenders are vying for your business. This competition can work to your advantage, as lenders are more includes to offer attractive terms to secure your loan. But, navigating this process requires time and knowledge.

That’s why we’ve brought Andrew on board, to ensure you benefit from this competitive environment. We offer personalised advice and a good relationship with lenders that we can use to benefit you.

Why choose CPC Lending Solutions?

At CPC Lending Solutions we are in a unique position to offer both residential finance to buyers as well as continue our high-quality finance broking service for developers.

Our new focus on assisting developers with off-the-plan sales is a natural extension of our existing services. We will work closely with you and your buyers for off-the-plan sales. This will allow purchasers to access finance to buy your new builds. With our experience in this field, we can tailor solutions for buyers, including options like deposit bonds, so that buyers secure a property in a competitive market.

For buyers looking for finance for residential property, we have a dedicated team member with in-depth knowledge of the current property and lending environment. He will be able to offer advice, facilitate your application and guide you through the home purchasing process.

Our services are free to borrowers and our brokerage fees are fully disclosed within the loan documentation.

Learn more about our residential mortgage solutions here.

CPC Lending Solutions is a property development and residential finance specialist. Whether you’re a developer needing funding for land, construction, or residual stock, or a buyer looking for the perfect mortgage, we’re here to help. Contact us at [email protected] or fill in this form

New to Residential Lending? Download CPC’s free Residential Lending Guide Now

3 Industries Being Disrupted by Crowdfunding

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March 2017 Written By: Andrew Medal – Entreprener.com

Crowdfunding is rearranging the way that entrepreneurs finance their creative endeavors, whether they’re artists or engineers. From bringing startups a needed capital boost to getting students money to go to college, crowdfunding seems to be creating opportunity in almost everything.

More and more investors are noticing the clear-cut advantages offered by crowdfunding platforms, and it’s no surprise that they are rushing to claim their piece of the pie. In 2015, it was estimated that more than $34 billion was put into crowdfunding efforts.

At its current growth rate, the crowdfunding industry is multiplying in size every year. It’s trickling into several types of funding models (donation, equity and lending) and an array of industries (education, medical care and corporate finance). Whether willing or not, the majority of industry markets will be facing a major disruption in how capital is moved throughout the economy.

Here are the top three industries the crowdfunding sphere is set to disrupt and why:

1. Corporate finance: From software to farm equipment

Each year, U.S. companies invest in leased tools that range from software to construction equipment. As crowdfunding persists in its growth, the companies who lease utilities as a part of their businesses will have to engage with the crowdfunding sphere. The companies that embrace crowdfunding early will rake in the benefits of accessing small businesses that flock to it as a tool.

Large finance organizations can use it as a catalyst for gaining small businesses who seek to harness leased products that are tailored to them specifically. What’s more, the lower cost credit of the products they offer will appeal more to businesses that pay sky-high APRs.

For leaseholders of larger equipment, crowdfunding platforms will allow leaseholders such as farmers to finance crops and equipment from other farmers and associates. It’s in this way that their crowdfunding platforms will provide communities with better access financing.

2. Real estate: From housing to business establishments

For the real estate market, crowdfunding presents a huge solution. Before crowdfunding, closing an actual real-estate deal required back and forth passing and signing of documents among lawyers. Beyond being slow, the process often added up to thousands of dollars in legal fees. Crowdfunding allows businesses of all sizes to bypass the monotonous process and dodge expenses. What’s more, real-estate crowdfunding allows potential investors access to a wider array of deals.

Mark Suleman, the founder of real estate crowdfunding platform Macrocrowd, sees the benefits of this type of access firsthand. “I always hear from clients about how they struggled to access the right people and resources while looking for real estate investments abroad,” he explains. “But by getting on board with crowdfunding, though I can’t speak for other platforms, they’re able to access quality investments into institutional real estate — globally.”

It’s not just accessibility that’s grabbing the attention of venture capital dollars. Today’s internet-reliant consumer is well beyond acquainted with making investments online. Users are becoming more and more comfortable with putting their money into crowdfunded sites. For real estate businesses who get their hands into crowdfunding, this means access to a whole new crowd of their own.

3. Consumer lending: Cars and home appliances

While banks have backed away from lending consumer and small business with credit, peer-to-peer crowdfunding platforms are leaning in. As big banks begin to take themselves out of the equation, institutional and professional investors will begin to swoop in and sign up for them too.

For financial institutions, this means learning to leverage a crowd’s interest to inform their lending offers. As the trend continues, new crowdfunding platforms will pop up to cater to specific lending verticals. Imagine a crowdfunding space where consumers can get loans for anything related to transportation or kitchen appliances. In this way, brands will be able to save on financing costs while gaining on capital returns.

Core Logic – Monthly Housing and Economic Update Sept 16

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The monthly update on the state of the national housing market has just been released. The key findings can be summarised as

  • Residential real estate underpins Australia’s wealth and has reached $6.7 trillion
  • The annual rate of capital gain has slowed from its peak but remains quite strong
  • Values continue to fall in Perth and Darwin on an annual basis whilst rising across the remaining capital cities
  • Turnover: capital city transaction numbers have continued to trend lower
  • The decline in capital city rents continues with asking rents down 0.5% over the past 12 months
  • Lending to owner occupiers and investors has started to pick-up again

To read the full report click here 

Harnessing Potential – Alternative Lending Market in Australia

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KPMG has commissioned a report undertaken by the University of Sydney’s Business School  of over 500 alternative finance platforms in 17 Asia-Pacific countries and regions, capturing an estimated 70 percent of the visible market. As the first comprehensive study of the Asia-Pacific online alternative finance market, this research contributes to the growing body of data supporting the region’s potential.

Click here to view the full report.

Some key questions about the marketplace lending in 2016:

  • Are individual or business borrowers using marketplace/ peer-to-peer lending because they have failed to obtain nance from banks, or in fact do they prefer the speed, flexibility and services offered by the alternative finance platforms?
  • Do businesses that raise finance via an alternative finance platform perform better in terms of profitability, revenue and job creation against businesses that rely on traditional funding channels?
  • From a credit analytics perspective, how are alternative finance platforms using new forms of data to ascertain the creditworthiness of borrowers?
  • Are platform credit risk modelling and underwriting facilities sufficiently robust – particularly in comparison with traditional finance providers?

Read more