Vida cuts rates by up to 0.25 per cent
Rates begin at 2.89 per cent for its two-year fixed rates and 3.14 per cent on its five-year fixed rates.
Special purpose vehicles are accepted across all buy-to-let ranges and the deals are available for both purchases and remortgages. The maximum loan available is £1m.
Richard Tugwell (pictured), director of mortgage distribution at Vida, said: “We have been listening to our intermediaries and despite the challenges the mortgage market has faced over recent years, the UK buy-to-let sector is very much alive, and these changes are aimed at supporting our customers in achieving portfolio growth and reinforces our commitment to offering greater opportunities for intermediaries and their customers locked out of high street lending.”
Vida runs ‘alternative marathon’ for Crisis charity
Vida’s employees at all levels will take part in a variety of activities, such as a 2.6-mile sky dive and a mixed marathon relay. Chief executive Anth Mooney will also walk his dog Walter in a half marathon.
This is the second fundraising event the lender has arranged for Crisis since partnering last year.
Vida pledged to donate at least £150,000 to Crisis over a three-year period.
Mooney said the alternative marathon was inspired by the London Marathon, which the lender wanted to replicate in “some small way with a twist”.
He added: “The aim was to bring people together after a tough 18 months in support of our charity partner Crisis in a way that is open to everyone regardless of interests, ability or location.
“At Vida we believe no-one should be forced into homelessness. I’m grateful to all my colleagues who are taking part, or supporting, our first alternative marathon. I know I speak for everyone at Vida when I say we are delighted to be partnered with Crisis to assist the fantastic work they do to change people’s lives for the better.”
Richard Lee, head of fundraising at Crisis, said: “We are so pleased to be working with Vida and support their efforts in raising vital funds with the alternative marathon.
“The past year has been incredibly tough for everyone and having somewhere safe and secure to call home has never been more important. With Vida’s help, we can support people and help them find a path out of homelessness for good.”
Vida appoints Truswell head of intermediary distribution
Truswell (pictured) has more than 30 years’ experience in the mortgage intermediary market, with previous roles at Virgin Money, Capital Home Loans and Together. John joins from Newcastle Building Society, where he was head of intermediary mortgages.
Richard Tugwell, director of mortgage distribution at Vida, said: “We are very pleased to welcome John to Vida at this exciting time in development of the business. He is a familiar face to many in the intermediary market and has a wealth of mortgage experience. Having worked with him previously I am confident he will help us further enhance our mortgage propositions and the service we provide to mortgage brokers in the intermediary market.”
Truswell said: “This is a very exciting time to be joining Vida as it continues to strengthen the support it provides brokers. I’m very much looking forward to getting started, ensuring brokers and their clients remain at the heart of all future developments.”
Ex-CEO David Tweedy and managing director mortgages Guy Batchelor left the lender in January 2020.
Louisa Sedgwick succeeded Guy as managing director but left in March 2021 and is on gardening leave, awaiting her start as managing director of Tandem Bank on 1 October.
Richard Tugwell joined the bank to replace Sedgwick in March last year.
Belmont Green completes £300m in second securitisation of the year
The product mix for Tower Bridge Funding 2021-2 consists of buy-to-let and owner-occupied mortgages and is the seventh residential mortgage backed securitisation (RMBS) transaction for the specialist lender.
According to Belmont Green, the transaction attracted “strong interest” from investors, with the five classes of notes issued oversubscribed and new investors joining the programme.
Belmont Green said that due to the strong demand that it had achieved its lowest cost funding to date with senior notes selling at 78 basis points over basis points over Sterling Overnight Index Average (SONIA).
Belmont Green’s chief executive officer Ant Mooney (pictured) said that this latest deal would allow it to help more customers and in the long term would support its growth ambitions, which include getting bank authorisation from the Prudential Regulation Authority.
Belmont Green’s chief financial officer John Rowan added: “The pricing of and strong support for our latest securitisation transaction clearly indicates that investors are recognising our strong potential for growth.
“We are continuing to broaden our investor base and it is encouraging to see strong demand across all the notes with improved pricing as more investors gain confidence in our track record.”
The lender completed an RMBS in March, its first since the start of the Covid-19 pandemic and raised £350m. The deal was led by Barclays, JP Morgan, NatWest Markets and Santander.
At the time it said that the transaction would quicken the return of Vida Homeloans to the market after it had to cease lending during the pandemic.
Vida launches 15 minute product transfer portal for brokers
The lender said product transfers had been a lifeline for brokers over the past 15 months, with expectations for business in this area to rise.
However, it said usual legacy systems were not built for broker-led transfers and often took a lot of time.
Using the portal, Vida aims to arrange a product transfer in less than 15 minutes. The system is being rolled out to all brokers after a trial period.
It is accessible on a desktop, tablet or mobile phone. It requires a one-time registration, and the broker will enter their client’s details while the portal conducts an eligibility check and displays available product options.
The system also emails the client a copy of the offer and other supporting documents. Fees can be added to the loan, or they can be paid by the client on a secure system.
Richard Tugwell, director of mortgage distribution at Vida, said: “The increase in product transfers is set to continue so launching our product switch portal means brokers will be able to complete the product transfer journey in less than 15 minutes with everything completed online.
“We have worked very closely with our intermediary partners to design a bespoke process based on the insight and experience they have gained from using existing lender systems and therefore we have been able to create a simple process that gives them exactly what they need.”
HSBC cuts rates up to 95 per cent LTV; The Nottingham and Vida add high LTV deals
This includes its two-year fixed mortgage at 95 per cent LTV with a £999 fee. This has been cut from 3.99 to 3.74 per cent and the fee-free equivalent has been reduced from 4.29 to 3.99 per cent.
The 90 per cent LTV two-year fixed with a £999 is now priced at 2.99 per cent after a 10 bps reduction.
Two and five-year fixed mortgages at 80 per cent LTV have been reduced by 0.10 per cent.
A five-year fixed product at 75 per cent LTV with a £999 has been cut to 1.54 per cent. Meanwhile, at 60 per cent LTV, the five-year fix with a £999 fee has been reduced to 1.24 per cent while the fee-free option has been cut to 1.54 per cent.
The bank continued on its drive to roll out to the whole broker market with the addition of more than 100 firms in the last eight weeks.
HSBC also said it completed more mortgages in March than in any previous month it had offered home loans, including 3,000 mortgages for first-time buyers.
Michelle Andrews, HSBC UK’s head of Buying A Home, said: “It has been an incredibly busy time for us, and we have seen all of this with lockdown measures still in place. I am extremely proud of my teams who are delivering customer-focused service on a daily basis.
“This gives me great hope for HSBC UK providing a greater share of mortgages, and hope and excitement for the mortgage and housing markets post-lockdown.”
The Nottingham returns to 95 per cent LTV lending
The Nottingham has added a 95 per cent LTV product to its range as part of its re-entry into low deposit lending.
The mutual withdrew from the mortgage market completely in September before slowly returning earlier this year, with its most recent launch being 90 per cent LTV mortgages.
The 95 per cent LTV is a five-year fix with a rate of 4.1 per cent. It offers a free valuation and free legals for remortgages.
Nikki Warren-Dean, The Nottingham’s head of intermediary sales, said: “A year on from last lending at 95 per cent LTV we are pleased to have this product available, and hope it appeals to first-time buyers with a lower deposit looking to get on the property ladder.”
Warren-Dean also warned on the product’s availability and cautioned it may pulled at short notice.
She added: “We’re expecting this product to be popular so our message to brokers is to submit well-packaged cases to us as soon as possible.
“No matter who the lender is, product ranges can change at relatively short notice, particularly in the current climate, so we would encourage brokers who have an accepted decision in principle to submit a full application at their earliest convenience.”
Vida launches limited edition mortgages
Vida has released limited edition residential mortgages at 85 per cent LTV.
The mortgages are eligible within its Vida 1 range for borrowers with minor credit impairments.
There’s a two-year fixed set to 4.09 per cent and a five-year fixed priced at 4.24 per cent. The products are available for purchase and remortgage with a maximum loan size of £500,000.
The lender is also launching fee saver products to the Vida 1 range up to 70 per cent LTV, including a two-year fixed with a rate of 3.59 per cent and a five-year fixed at 3.74 per cent.
These mortgages are fee-free and have a £49 assessment fee. The maximum loan sized offered is £350,000 and the lender will carry out a free valuation on properties worth up to £500,000.
Richard Tugwell, director of mortgage distribution at Vida, said: “Although there are reasons for optimism, the Covid-19 pandemic has had a huge impact on the financial circumstances of millions of people across the UK.
“The long-term implications of the crisis mean there is a new generation of borrowers with impaired access to credit who will need the support of specialist lenders to help them despite their complex situations.”
He added: “Our new product launches today are another step in achieving this, and we’re confident that these offerings are a great solution to help borrowers who have smaller deposits or who find that the costs associated with home buying restrict their home ownership plans.”
Vida Homeloans completes £350m securitisation
The Tower Bridge Funding 2021-1 batch of owner occupied and buy-to-let mortgages is the sixth residential mortgage-backed securitisation (RMBS) listed by the firm.
Belmont Green said the transaction was oversubscribed by between 1.5 times and 3.8 times across the tranches, with several investors new to the programme.
“This strong market demand helped Belmont Green to achieve its lowest cost of funding to date, with the senior notes pricing at 90 basis points over Sterling Overnight Index Average (SONIA),” it said.
The deal was supported by Barclays, J.P. Morgan and Santander.
Anth Mooney, CEO of Belmont Green, (pictured) noted the Covid-19 crisis had dramatically altered the financial lives of families and individuals across the UK and there were now many more borrowers finding their circumstances do not fit traditional credit-scoring models.
“This latest RMBS deal will allow us to help many more customers as the UK looks to get back to some sort of normality in the months ahead,” he said.
John Rowan, CFO, added the transaction provided clear evidence that investors were recognising the potential for the specialist lending sector to grow in the months ahead.
“We knew there was strong investor support after our securitisation last summer and have been delighted with the reception for this deal. Our investor base continues to grow, and we appreciate that support,” he added.
Louisa Sedgwick to join Tandem Bank
Sedgwick is currently on gardening leave until late September and starts at Tandem Bank as MD of mortgages on the 1 October.
The first female chairman of the Intermediary Mortgage Lenders Association (IMLA) has stepped down from the trade body role and Jeremy Duncombe, managing director at Accord will move into the role immediately from his current deputy position.
Sedgwick worked to ensure the association’s regular executive committee meetings were able to continue remotely, hosting these sessions alongside a range of virtual member events throughout 2020.
Her leadership has helped IMLA navigate the challenges presented by the COVID-19 crisis, and Sedgwick has been key in lobbying for government support for non-bank lenders throughout this period, the trade body said.
Since accepting her new role, the bank has submitted an application to join IMLA.
Kate Davies, executive director of IMLA, added: “I am very grateful to Louisa for all the hard work she has done during her time as chairman – some of which is not directly visible to all members, but which is nonetheless extremely important in representing members’ views to those who need to hear them.
“She has been pivotal in adding value to our membership throughout an extremely challenging 14-month period, and it’s disappointing that she’s unable to continue in this role for the remainder of her term. We wish her every success in her new role and look forward to welcoming her back into our ranks later this year.
“In the meantime, we’re delighted that Jeremy, who has long been a trusted member of IMLA’s management committee, is to take over as chair.”
Louisa Sedgwick, former chairman of IMLA added: “IMLA plays a fundamental role in supporting intermediary lenders by providing them with a unified voice, as well as a forum to discuss and debate key industry issues.
“I would have loved to have finished my full term as IMLA’s first female chair, however, I know the association is in safe hands with Jeremy.”
Jeremy Duncombe, chairman of IMLA said: “We’re all sad to see Louisa step down and we look forward to welcoming her back as soon as possible. She has made great strides in her time as chairman, and I look forward to picking up where she left off, working hard to support IMLA’s membership over the coming months.”
Clydesdale adds 90 per cent LTV exclusives and Vida slashes rates up to 95bps
The 90 per cent LTV exclusives are applied to two and five-year fixes with rates starting from 2.99 per cent. The deals have a £1,999 fee and come with a free valuation.
Clydesdale has also reduced rates on its professional and newly-qualified professional range at 85 per cent and 90 per cent LTV by up to 0.12 per cent, with these products now starting from 2.76 per cent.
For mainstream borrowing, the 85 per cent LTV two and five-year fixed rates have been reduced by up to 0.14 per cent, the 80 per cent LTV full capital and interest five-year fixes trimmed by up to 0.10 per cent and the 75 per cent LTV two and five-year fixes reduced by up to 0.12 per cent.
Vida slashes rates
Vida Homeloans has cut interest rates on its residential mortgage products by up to 95 basis points (bps), with cuts to rates on its specialist buy-to-let offering as well.
Reductions apply to the Vida 1, 2 and 3 core residential purchase and remortgage ranges and the lender said the cuts made its “prices some of the most competitive in the specialist market”.
The biggest cut of 95bps has been made to its Vida 1 five-year fix at 80 per cent loan to value (LTV) which now has a rate of 3.94 per cent.
The Vida 1 residential range also saw several other significant rate cuts, including the 75 per cent LTV two-year and five-year deals cut by 74bps and 65bps respectively to 3.18 per cent and 3.54 per cent.
Other changes to Vida’s residential offering include rates on all products in the Vida 2 range cut by up to 40bps and rates on all products in the Vida 3 range cut by up to 25bps.
Its Vida 1 buy-to-let houses in multiple occupation and multi-unit freehold block (HMO/MUB) range has also seen rates trimmed by 20bps at both 70 per cent LTV and 75 per cent LTV.
Earlier this week, Vida announced the managing director of mortgages Louisa Sedgwick was leaving with Richard Tugwell appointed as director of mortgage distribution.
Commenting on the rate cuts, Tugwell said: “A strong specialist lending sector that offers competitive rates and innovative solutions has never been more important and these rate cuts are just one step towards achieving this.
“Vida is wholly committed to making continuous refinements to its products and services, so that intermediaries and customers have access to the financial solutions they need to achieve home ownership.”
Vida CEO Anth Mooney added that Vida had learned a lot over the past 12 months.
“We now have the opportunity to improve our competitive position and focus on supporting those underserved borrowers whose circumstances have been exacerbated by the Covid-19 pandemic,” he said.
“We have invested in new processes, streamlined the way we underwrite, reduced the documentation requirements for intermediaries and recruited new experienced underwriting resources to ensure that our new business capacity is significantly expanded.”
Newcastle Building Society
Meanwhile, Newcastle Building Society has added a pair of 85 per cent LTV products for first-time buyers, re-mortgagers and home movers.
The £999 fee version is available at 2.7 per cent with the fee-free deal at 2.8 per cent – both have free valuation and include two years early repayment charges.
John Truswell, head of intermediary mortgages at Newcastle Building Society, said: “We’re always looking at the changing needs of the market and have evolved our proposition to suit brokers and their clients.
“These new 85 per cent products will support a variety of borrowers including first-time buyers, home movers and existing home owners looking to remortgage.”
Louisa Sedgwick leaves Vida as Richard Tugwell joins lender
Richard Tugwell will be taking up the position of director of mortgage distribution, Vida added.
Sedgwick (pictured) has been at the lender for almost five years, initially joining as director of sales – mortgages in the summer of 2016.
She was promoted to managing director of mortgages at the start of last year and has seen the lender through the Covid-19 pandemic.
At the same time she became the first woman to be elected as chairman of the Intermediary Mortgage Lenders Association (IMLA).
Sedgwick previously spent two and a half years at Leeds Building Society after nearly two decades with Bradford and Bingley.
Tugwell joins Vida from Together where he spent almost four years as group intermediary relationship director.
He has more than 30 years’ experience in the UK intermediary market and was formerly director of intermediaries at Virgin Money and an ex-director of IMLA.
Vida said Tugwell would be joining as it looks to accelerate growth plans with a series of significant product and service improvements over the next few months.
Vida CEO Anth Mooney said: “I’m thrilled to announce that Richard will be joining us for the next phase of Vida’s journey.
“We are investing to improve our products, pricing and service levels to take advantage of the growing specialist market post-Covid and, having worked closely with Richard for over 20 years, I know that there is no-one better equipped to help us deliver our growth ambitions.
“I would like to take this opportunity to thank Louisa for her contribution to Vida. She has been an important part of the Vida story and we wish her well for the future.”
Tugwell added: “The specialist lending sector is an important and growing part of the wider mortgage market.
“Vida has ambitious plans for the future, and I am delighted to be coming on board for the next exciting stage in its journey. I look forward to working with Anth again and with Vida’s highly experienced leadership team and can’t wait to get involved.”
Mortgage Solutions has contacted Sedgwick.