It will be funded by investors looking for a route into the UK mortgage market.
Using the lender-in-a-box concept, Computershare will be responsible for all aspects of the regulatory risk of the mortgage, while its investor client take on the credit risk of the loan.
Computershare will underwrite the mortgages in accordance with lending criteria agreed with its clients. It will distribute the mortgages on behalf of its clients specifically through intermediaries.
HML was bought by Computershare in 2014 and received investment from the company for two years before changing its name in November 2016. Topaz Finance, a specialist mortgage lender, was acquired by HML from RBS in 2015.
Looking to invest
A spokesperson from Computershare said: “Computershare is currently developing a flexible service that will offer a route to market for those looking to invest in the growing UK mortgage market.
“As well as benefiting from Computershare’s experience and expertise as the UK’s largest servicer of mortgages, clients using this lender-in-a-box will benefit from a regulatory compliant service that covers every stage of mortgage provision. This ranges from sourcing customers to the day-to-day administration of their mortgages and the last payment of their loans.”
Computershare will be the lender of record for any mortgages originated, but the loan would be owned by either its client or a securitisation vehicle.
In June 2016, Computershare Loan Services won the contract to administer mortgages on behalf of UK Asset Resolution (UKAR).
Computershare’s plans to launch its lender-in-a-box service later this year.