Frequently Asked Questions
FAQ For Investors
At RELI Capital, we welcome a diverse range of investors who are looking to participate in our first mortgage investment opportunities. Our investment product is open to individual investors, self-managed super funds (SMSFs), corporate entities, and institutional investors. Whether you are an experienced investor or new to the market, we provide an accessible and reliable avenue for you to explore investment options backed by Australian property security, subject to your risk appetite and investment strategy.
The minimum investment amount to participate in our first mortgage investments is $5,000.
We understand the importance of prompt fund allocation and transparency in the investment process. When you invest with RELI Capital, your funds will be held securely in a designated trust account with a bank and paid the “at call” deposit rate until they are allocated to specific investment opportunities. We strive to allocate funds to suitable investments in a timely manner, enabling you to benefit from potential returns.
At RELI Capital, we offer a range of investment opportunities backed by Australian property security. By investing in our first mortgage investments, you can diversify your portfolio across various properties, locations, and borrower profiles.
A first mortgage is a first charge over real estate owned by a borrower. Our investments are secured by a registered first mortgage in the name of RELI Capital on behalf of the investors against Australian real property. If there is a default in repayment of the loan, the terms of the mortgage provide RELI Capital the right to take possession of and sell the property to recover the loan amount and repay investors.
The security property varies from loan to loan and can be residential (houses, townhouses, apartments, units), commercial (retail, office & light industrial) or rural properties as well as vacant land.
RELI Capital provides lending solutions to a diverse range of borrowers seeking non-bank finance for credible purposes. Our borrowers typically include sophisticated individuals, self-employed business owners, property developers, and special purpose corporate entities who are often bank worthy but may not, for example, currently conform to strict bank lending criteria or who require fast settlement turnaround times, are disenchanted with the banks or desire flexible loan covenants. We thoroughly assess each borrower’s financial position, creditworthiness, and exit strategy to repay the loan as well as the property offered as security for the loan.
RELI Capital takes pride in offering investments with no entry, ongoing, or exit fees. This means that investors will be paid without deduction from the pre-determined interest rate as all fees are paid by the borrowers.
Loan to Valuation (LVR) is a financial term used to assess the ratio between the loan amount and the appraised value of the property securing the loan. It helps gauge the level of risk associated with the loan. At RELI Capital, we evaluate the LVR for each first mortgage investment opportunity to ensure that the loan advance does not exceed 66.66% of the ‘as is’ value of the security property on all properties. This conservative LVR approach helps mitigate potential risk of capital loss and provides our investors with comfort as there is a considerable margin for error in the event that the borrower defaults and RELI Capital has to sell the security property to recover the loan.
RELI Capital is a registered and licensed boutique fund manager in compliance with the regulatory requirements of the Australian financial industry. We hold an Australian Financial Services License (AFSL) issued by the Australian Securities and Investments Commission (ASIC). This license allows us to operate a registered mortgage investment scheme and offer first mortgage investment opportunities to our valued investors. Our commitment to regulatory compliance ensures transparency, professionalism, and investor protection throughout our operations.
The interest rate for our first mortgage investment opportunities is determined based on various factors. These factors include the type of security property, the loan-to-value ratio (LVR), the creditworthiness of the borrower, the term of the loan, prevailing market conditions, and the overall risk profile associated with the investment opportunity. Our experienced team conducts comprehensive assessments to ensure that the interest rates offered provide our investors with competitive returns adjusted for the associated risks involved.
A contributory mortgage fund is a type of investment vehicle whereby one or many investors can contribute to a loan that is made to a particular borrower and is secured by a first mortgaged registered against a specific property. Each loan is separate from any other loan and is therefore not a ‘pooled’ fund.
As with any investment, there are inherent risks associated with first mortgage investments. These risks include property market fluctuations, borrower default, interest rate changes, and general economic conditions. At RELI Capital, we mitigate these risks through rigorous due diligence, careful assessment of investment opportunities, and diversification of our portfolio. While we strive to minimise risks, it’s important to note that past performance is not indicative of future results. For full details of the investment risks applicable please refer to our PDS and seek independent financial advice before making any investment decisions.
FAQ For Borrowers
RELI Capital offers very competitive interest rates and fees in the private lending market. If you would like us to provide indicative terms for your loan scenario please call us.
Typically RELI Capital considers loans in the range of $250,000 – $5,000,000, subject to the security property type and maximum loan to value ratios.
Residential, commercial, rural lifestyle and vacant land.
Individuals, companies or trusts borrowing for business purposes or for personal bridging loan purposes that meet certain criteria. Our borrowers commonly include sophisticated individuals, self-employed business owners, property developers, and special purpose corporate entities. Borrowers must have good quality real estate security, the ability to meet their loan obligations and a sound exit strategy to repay the loan at or prior to maturity.
Yes, in most cases we will require an independent valuation report from one of our panel valuers. In certain circumstances we may be able to consider lending against a Council Rates valuation for a residential security property with a low LVR.
In as little as 7 working days.
Victoria, Sydney, Brisbane, Adelaide and Canberra.
FAQ For Brokers
RELI Capital offers very competitive interest rates and fees in the private lending market. If you would like us to provide indicative terms for your loan scenario please call us.
Residential, commercial, rural lifestyle and vacant land.
We can issue our Expression of Interest within 24 hours of receiving an Application.
We offer commercial loans as well as consumer bridging loans that meet certain criteria.
We obtain an independent valuation report from one of our panel valuers. In certain circumstances we may be able to consider lending against a Council Rates valuation for a residential security property with a low LVR.
In as little as 7 working days.
No, we do not clawback any commission paid to you.
For consumer loans you must be an Australian credit licence holder or an authorised representative of an Australian credit licence holder.
