Frequently asked questions

Are you thinking about becoming a lender or borrower?
Select on the tabs to access our most frequently asked questions For anything else, you are always welcome to contact us.

For investors

Who can invest?
Anyone can apply to invest, including individuals, companies, trusts and Self-Managed Super Funds (SMSFs).
What is a first mortgage?
All of our loans are registered as mortgages on Australian real estate. A first mortgage is the first loan over the property and has priority over any other claims in respect of the property.
What is a second mortgage?
All of our loans are registered as mortgages on Australian real estate. A second mortgage is the second loan that has been issued over the property and gets second priority after the first mortgage.

What type of real estate security is provided?
The security property can be either residential, commercial, industrial or vacant land in Melbourne and its surrounding suburbs. The Borrower can also provide multiple security properties as collateral security for the one loan.

What type of borrowers do we lend to?
Borrowers must own Australian real estate which will be provided as security under the loan. They must also be able to meet all interest payments and have an exit strategy for the loan. Borrowers can be individuals, companies, trusts, or Super Funds and must use the funds for business or investment purposes.

What is the process for th loans/ how does Avano work?
If you are interested in our various investment options, we shall provide you with a list of the loans we have available. Once you have selected the loans that interest you, we shall then provide you with further details of the loan and the Borrower. You are then able to select the loan that best suits you and confirm the amount that you are able to invest.
Should you not have all the funds required for a particular loan, we will be able to source the balance required from other lenders To contribute to the loan amount required for the loan

What is the LVR on loans?
The loan to value ratio (LVR) is the amount that the amount that is being lent, represented as a percentage of the value of the property being used as security for the loan. For example, if the value of the property is $1,000,000, we shall lend at a maximum of 66% of the value of the land for a first mortgage. Therefore, the loan cannot exceed $660,000. We provide loans with a maximum of 66% LVR for first mortgages and a maximum of 75% LVR for second mortgages.  

What type of interest can an investor expect?
Interest is varied depending on the type of loan the Borrower has requested and the relative risk to the investors.

How are the loans repaid?
The Borrowers repay their loans in many different ways. Most refinance their loan with another institution (ex. a bank). Others will use the proceeds of a sale to repay their loan.
What happens if the borrower defaults?
All of our loans are registered mortgages over the title to the relevant property and we will act on behalf of the investors to call up the loan and sell the security property if necessary. As we only lend to a maximum of 66% LVR for a first mortgage and 75% LVR for a second mortgage there is additional equity in the property to cover default interest and legal fees.

Get in touch

Give our friendly team a call or send us a message about your finance requirements.