Packager Advantage Mortgage Services (AMS) is to become a sub-prime correspondent lender through its new lending division Advance Home Loans (AHL) ‘ offering mortgage deals funded by Platform Home Loans.
AMS is one of the largest introducers of Platform Loans and arranges around £12m of sub-prime business each month. With its move into correspondent lending, it is aiming to become a one-stop-shop for intermediaries and it has received full backing from Platform for its new venture.
Peter Beaumont, sales director at Platform, said: ‘We have been working with AMS for the past four years. The quality of its packaging has always been of the highest order. Its IT and support staff are of the highest calibre and this has made the complicated process of setting up a correspondent relationship that much easier. We have found that by working with such a customer-focused company we can help both our businesses grow profitably. ‘
AHL plans to lend £60m in its first year and is aiming to provide a range of MIG-free products for the sub-prime market, with high commissions for intermediaries.
Keith Dearling, marketing director of Advance Home Loans, said the initiative has been welcomed by advisers. ‘We have had a great start to the traditionally slow beginning to the year. Many calls from brokers have been taken, who are not only interested in the products we are offering, but also the quality of our offering.’