You are here: Home - News -

New entrants expand high LTV market

by:
  • 21/10/2002
  • 0
The availability of high loan to value (LTV) products is set to rise sharply with news that three le...

The availability of high loan to value (LTV) products is set to rise sharply with news that three lenders are either entering or re-entering the market.

Bristol & West (B&W) is to launch 100+% LTV mortgages in the prime sector, Future Mortgages is entering the sub-prime high LTV market with a 95% LTV product, and Preferred Mortgages has relaunched its 95% non-conforming product.

The B&W 100+% range is to be finalised during the next month. Dominic Toller, head of marketing at B&W Mortgages, explained: ‘We may trial these high LTV mortgages to ensure it works before going live, so it could be December or January before we open it up to the market.’

Future Mortgages’ entry into the 95% LTV sub-prime market comes after it highlighted growing affordability issues faced by its brokers.

Brian Pitt, sales and marketing director of Future, said: ‘Rising house prices have meant the value of a deposit has fallen, resulting in many clients requiring a high LTV loan. This situation is borne out by feedback from our introducers and we have added this 95% product to our range.’

B&W is also to enter the through lending market, with an expected launch date early in the new year. Toller added: ‘We have been in the adverse credit market for a few years and want to grow our share of the market. We are looking at various means to shift risk on our balance sheet. This may include securitisation, whole loan sales and through lending.’


Tags

There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
Buy to let a risk for borrowers

Speculative borrowers run the risk of substantial financial loss if they move investments out of the...

Close