Private lending in Australia is no longer a niche option. As we move into 2026, private mortgage finance is stepping into the mainstream, especially for borrowers who need flexibility, speed and customised solutions. With banks tightening policies and borrowers becoming more financially savvy, private lenders are reshaping the lending landscape across Australia.
Here are the key trends private mortgage lenders are set to follow in 2026.
Faster Approvals Will Become the New Standard
Speed has always been a strength of private finance, but in 2026 it becomes essential. Borrowers now expect approvals in days, not weeks. Private lenders are investing in streamlined processes, digital valuations and smarter underwriting to reduce delays and improve borrower experience.
This shift is particularly noticeable among private mortgage lenders in Adelaide, where property transactions often move faster than traditional bank timelines.
Asset-Based Lending Will Dominate Decisions
In 2026, credit scores matter less than property equity. More private lenders are focusing on asset strength rather than financial history. This trend supports self-employed borrowers, developers and investors who may not fit bank models but have strong security.
For many borrowers working with private lenders in Adelaide, equity-based assessment is becoming the key to unlocking funding when banks say no.
Short-Term Loans Will Continue to Rise
Private mortgage lenders are leaning heavily into short-term finance, especially bridging loans and 6–24 month facilities. These products help borrowers act quickly, manage transitions or complete developments before refinancing to cheaper options.
This trend reflects the growing need for flexibility in Australia’s fast-moving property market, where timing often matters more than interest rates.
Custom Loan Structures Will Replace One-Size-Fits-All
Private lending in 2026 is all about customisation. Expect more interest-only options, staged repayments and tailored exit strategies. Lenders are designing loans around borrower goals rather than rigid templates.
Borrowers using private mortgage brokers in Adelaide are seeing more personalised deals as brokers negotiate structures that align with specific property or business plans.
Private Lending for Construction and Development Will Expand
With banks pulling back from construction risk, private lenders are stepping in to fill the gap. In 2026, expect more private finance for townhouses, small developments and renovation projects.
This growth is driven by demand from builders and investors who need certainty of funding and faster drawdowns without excessive red tape.
Transparency and Education Will Build Trust
Private lending used to be misunderstood. That’s changing fast. Lenders are focusing on clearer communication, upfront costs and stronger borrower education. This trend builds confidence and attracts borrowers who previously hesitated to explore private finance.
As competition grows, trust becomes a key differentiator.
Brokers Will Play a Bigger Role Than Ever
The private lending market is expanding, and borrowers need guidance. Brokers are becoming essential connectors, helping clients navigate lender options, structure deals and plan exits.
In 2026, broker-led private lending will dominate the market as borrowers demand clarity, strategy and expert negotiation.
FAQs
What is a private mortgage lender?
Private mortgage lenders are non-bank entities or individuals who provide loans. They specialise in flexible solutions for borrowers who may not meet the strict criteria of traditional banks, such as those with poor credit or self-employed income.
When should I consider a private mortgage lender?
Consider a private lender if banks have declined your application, you need very fast funding (e.g., to prevent foreclosure), you have a poor credit history, or you are self-employed and cannot provide standard income documentation (lo-doc or no-doc loans).
How fast can I get a loan approved and settled?
We come up with same-day approvals and the ability to settle loans within 7 days provided you are eligible. This is a key advantage for urgent financial situations.
Can I get a loan with bad credit?
Yes. A core specialty of us as private lenders is our network that helps us to provide bad credit home loans. They often do not check traditional credit scores and focus instead on the property’s equity as security.
What types of loans do you offer?
Based on the source, we primarily offer:
- Home Loans
- Lo Doc loans
- Commercial loans
- Credit Impaired loans
- Construction loans
What documents are required?
Requirements are flexible. For self-employed or complex situations, private lenders offer lo-doc (low documentation) or even no-doc (no documentation) loan options, unlike traditional banks.
What can I use a private mortgage loan for?
Common uses include: preventing foreclosure or paying arrears, accessing cash out from property equity, paying pressing creditors, funding construction projects, or addressing urgent business needs.
How do you work with clients?
We act as a specialist broker or intermediary. We assess your situation and then use their network of over 200 private and non-bank lenders to find a tailored loan solution that matches your needs.
Who can apply through you?
We work directly with borrowers and also welcome enquiries from:
- Finance Brokers with clients needing urgent funding.
- Introducers (e.g., accountants, lawyers) with clients unsuitable for mainstream banks.
- Private Lenders with funds looking for investment opportunities.
The Big Picture for 2026
Private mortgage lending in Australia is evolving into a sophisticated, borrower-focused sector. Speed, flexibility, transparency and smart structuring are shaping the future. For investors, developers and everyday Australians alike, private lending is no longer a last resort. It’s a strategic choice. If you are to make the most of it, you must turn to Gryphon Financial. Call us now to discuss your funding needs or write to us. You can also fill out the contact form on our website and submit. One of our qualified lending managers will get in touch with you quickly.
When should I consider a private mortgage lender?
Consider a private lender if banks have declined your application, you need very fast funding (e.g., to prevent foreclosure), you have a poor credit history, or you are self-employed and cannot provide standard income documentation (lo-doc or no-doc loans).
How fast can I get a loan approved and settled?
We come up with same-day approvals and the ability to settle loans within 7 days provided you are eligible. This is a key advantage for urgent financial situations.
Can I get a loan with bad credit?
Yes. A core specialty of us as private lenders is our network that helps us to provide bad credit home loans. They often do not check traditional credit scores and focus instead on the property's equity as security.
What types of loans do you offer?
Based on the source, we primarily offer:
- Home Loans
- Lo Doc loans
- Commercial loans
- Credit Impaired loans
- Construction loans
What documents are required?
Requirements are flexible. For self-employed or complex situations, private lenders offer lo-doc (low documentation) or even no-doc (no documentation) loan options, unlike traditional banks.
What can I use a private mortgage loan for?
Common uses include: preventing foreclosure or paying arrears, accessing cash out from property equity, paying pressing creditors, funding construction projects, or addressing urgent business needs.
How do you work with clients?
We act as a specialist broker or intermediary. We assess your situation and then use their network of over 200 private and non-bank lenders to find a tailored loan solution that matches your needs.
Who can apply through you?
We work directly with borrowers and also welcome enquiries from:
- Finance Brokers with clients needing urgent funding.
- Introducers (e.g., accountants, lawyers) with clients unsuitable for mainstream banks.
- Private Lenders with funds looking for investment opportunities.
