Boomer Home Loans collapses just months after launch

One of the country’s first fintech lenders specialising in over 55s has collapsed just months after being launched.

Perth-based Boomer Home Loans said it would specialise in refinancing and servicing customers who wanted to obtain new loans – including reverse mortgages – close to and after retirement.

One of the country’s first fintech lenders specialising in over 55s has collapsed just months after being launched.

Perth-based Boomer Home Loans raised $13m in capital earlier this year and said it would specialise in refinancing and servicing customers who wanted to obtain new loans – including reverse mortgages – close to and after retirement.

On Monday, KordaMentha were appointed voluntary administrators of the company.

“The appointment followed withdrawal of planned financing from an institutional funder which had been in very advanced negotiations with Boomer for the past eight months,” KordaMentha said in a statement.

Richard Tucker, one of the administrators, said their immediate focus was on finding an alternative capital partner.

“There are excellent growth prospects for Boomer, given the demographic trends in Australia. The company has received significant interest in its products since launching them to market in May,” Mr Tucker said.

“Boomer is a distinctive brand that offers a niche service other lenders are unable to bring.

“Given the amount of capital in the global markets, we believe Boomer will provide an attractive platform for capital to find a home in a tier 1 jurisdiction with tier 1 capital,” he added.

KordaMentha will seek expressions of interest shortly.