It is offering products in the self-cert, mainstream and buy-to-let markets.
Initially the products will be available only via selected packagers and brokers, so that Kensington may test market the propositions and ensure that its service levels are maintained. Teams at Kensington’s business development unit in Reading will support the venture, which is expected to appeal to brokers in the prime mortgage market who may not have used Kensington extensively in the past. Kensington remains committed to packagers as it extends into new markets and is pleased to accept cases via packagers or directly from brokers – giving intermediaries the choice of how they wish to engage with Kensington.
The range of specialist prime mortgages will be available on a number of deals, including a two-year tracker, a three-year tracker and a two-year fixed rate. They will boast unique features and be supported by a fast online application facility and dedicated service teams.
Alison Hutchinson, managing director of Kensington Mortgages, commented: “We know there is a market out there for these products amongst borrowers. Packagers, networks, mortgage clubs and brokers have all told us that these are the type of mortgages they want to be able to offer their clients, alongside the traditional specialist mortgages for which we are known.
“These are specialist solutions for prime customers with specialist needs who are not necessarily being well catered for elsewhere. When you take into account the higher lending charges (HLCs) and extra fees that many of our competitors load on to their headline rates, Kensington’s mortgages are extremely competitive and totally transparent. Plus borrowers get our dedicated, award winning customer service. As always Kensington is keen to get this product range and servicing correct and we have therefore decided to launch on a pilot basis to inform our extension of the range in the future.”
The product line-up included:
• Prime self-cert with no proof of income required from day one of self-employment, available for up to £500k at 90 per cent loan to value (LTV) and £750k for 85 per cent LTV.
• Prime buy-to-let (BTL) with 90 per cent LTV available for up to 125 per cent of monthly rental income validated by a letting agent. This product is also available with no rental income verification required on remortgage business, up to 75 per centt LTV.
• Mainstream lending up to 95 per cent LTV with no HLCs and increased income multiples of 4+1 makes this product more attractive for many.
