To promote the volume of qualified mortgage and a strong primary market, SMF is allowed to give lending using funds that is obtained from bond issuance. The goal is to increase qualified mortgage volume so by 2018 there will be sufficient volume to ensure securitization transaction. A sustainable securitization transaction will form a market mechanism that support the decline of mortgage rate.
MORTGAGE REFINANCING PROGRAM
SMF offers liquidity facilitation in the form of loans channeled to mortgage brokers by refinancing (mortgaging) the mortgage portfolio already owned by the mortgage dealer. For the financing disbursed, SMF receives collateral for mortgage bills, including collateral rights attached to them, on condition of recourse. This means that if there is a mortgage that does not meet the requirements, including the substandard, then the dealer replace the mortgage with a smooth mortgage.
LOAN - REPO KPR OR TERM PURCHASE
Called conditional purchase because the purchase is only for a certain time and there is a recourse requirement, meaning that if there is an unqualified mortgage bill, it must be replaced with a qualified bill. This new product is accounted for as a 'conditional' loan so that it does not qualify 'true sale' but is legally classified as a sale because the transaction document is a cessie deed. With this new program, SMF offers 2 programs to encourage the parties to transactions, namely Purchase without recourse, namely securitization and Repo KPR.
COMMERCIAL HOME LOANS
Home Ownership Financing (PPR) for the purchase of ready-to-live/under-construction houses, purchase/renovation of business properties, and construction on own land.
Working capital financing for housing construction for developers (individuals/companies) for the construction of landed houses or apartment buildings, including government projects (FLPP) or commercial projects.
MULTIFUNCTIONAL HOUSING FINANCING (KMG HOUSING)
Multifunctional Housing Financing distributed by Financial Institutions with the aim of purchasing new/second-hand homes, takeovers with non-cash out, and building homes on owned land. Multifunctional Housing Financing requires collateral such as payroll (salary/pension), property assets, or movable assets (motor vehicles).
LEASE-PURCHASE FINANCING / RENT TO OWN (RTO)
Lease-purchase financing for residences issued by Financial Institutions in partnership with companies, with the goal of leasing and completing the tenure with a purchase transaction.
PLATINUM PARTNER FINANCING
Financing is intended for Financial Institutions that are partners with the company and have a AAA rating, without requiring collateral. Platinum partner financing only requires the presence of underlying assets in the form of a housing and settlement financing portfolio that will be pledged if a trigger event occurs (such as a 3-notch rating downgrade).
GRIYA NUSANTARA HOME LOANS
A product initiated by the company to provide liquidity for Financial Institutions distributing Home Ownership Loans (KPR). Financial Institutions must adhere to the terms and features set by the company when disbursing Home Ownership Loans.