When an investment opportunity is loaded into our Investor Portal, a lot of work has already happened behind the scenes. We make sure only good quality loans are offered to investors, and that starts with how we assess every application.
Southern Cross Partners provides peer-to-peer lending services, where investors choose the individual loan they invest in.
Before any opportunity is offered to investors, we invest our own money first. This helps keep our standards consistent and ensures we are backing the same loans we present to you.
Most applications come to us through our network of trusted mortgage advisers. Either way, each application is reviewed by an experienced member of our loans team, not an algorithm.
Borrowers typically come to SCP for specialist property lending such as refinancing, purchasing an investment, an equity release, or finance to support a development or construction project.
We take time to understand the borrower and the reason for the loan, including their circumstances and credit history, alongside the property security and whether the loan to value ratio is appropriate. This personal approach is also why we do not accept faceless loans from property investment companies or include property investment funds as part of our service offering.
We also place a lot of importance on the borrower’s exit strategy. SCP loans are short-term and are typically structured across 3 to 24 months, depending on the type of loan. So, we make sure there is a clear and realistic plan for how the loan will be repaid. Common exit pathways include:
- Bank refinance: repaying SCP once the borrower is ready to move to traditional bank lending
- Asset sale: repaying the loan following the property sale
- Refinance once consented: repaying once resource consent is obtained, which enables them to move to bank funding or restructuring into other lending.
If you have questions about how we assess loans, or you would like to talk through an opportunity you have seen in the Investor Portal, please get in touch – our team is always available for a chat.
*General information only. We recommend seeking independent advice before making investment decisions.
