Kensington Mortgages announces £1.3bn in additional funding

The non-bank specialist mortgage lender said the increased capacity would help it lift under-served borrowers onto the property ladder while bolstering originations for owner-occupied and buy-to-let (BTL) mortgages. 

The boost, up from £1.3bn, includes £800m in extra capacity for Kensington’s existing Sloane Square warehouse facility for residential mortgage originations (now valued at £2.1bn), and a new £500m warehouse facility to fund the call of two earlier securitisations (Finsbury Square 18-2 and Finsbury Square 19-1).  

Alex Maddox (pictured), capital markets and digital director for Kensington Mortgages, said the lines would “provide funding capacity for new loans and allow Kensington to grow even faster, despite volatile market conditions. We’ve raised just over £16bn of funding through warehouse lines and securitisations since 2015.”

 “Our aim is always to help underserved borrowers,” he added. “We look beneath the surface and consider complex and multiple income sources and help those who otherwise may struggle to own a home. The business is seeing strong growth accompanied by stable returns and this is reflected in the strong appetite amongst investors for our securitisations.”