Homeloans Ltd has smartened up its self-managed superannuation fund mortgage offering in the face of increasing competition in the SMSF lending market.Yesterday, the lender launched Classic SMSF, a loan with a maximum loan-to-valuation ratio of 80 per cent, a maximum loan size of A$500,000 and a variable interest rate of 5.99 per cent.Homeloans' general manager of sales, Greg Mitchell, said the group's existing ProSmart SMSF loan was losing momentum.Mitchell said: "When we first got into the SMSF market a 70 per cent maximum LVR was in the ballpark, but over the past six to nine months a number of lenders have come out with loans offering higher LVRs."Our volumes were starting to ease."Mitchell said a growing number of brokers were writing SMSF loans, which now account for about five per cent of Homeloans' business. He said part of the appeal of SMSF loans for lenders and brokers was that they tended to be "sticky".The new loan is being funded through Homeloans' warehouse facility, the Residential Mortgage Trust, which has been dormant since the financial crisis.