Spring Finance raises the second charge and releases an interest-only BTL product
Specialist lender Spring Finance has relaunched its second mortgage proposal and launched an interest-only buy-to-let (BTL) product.
The lender released its “prestige range”, to complement its existing products, focused on mid-prime borrowers.
Prestige product rates start from 60% loan-to-value (LTV) and go up to 80% LTV, available on three and five year fixed rates.
Rates start at 7.65% for one demerit and 8.05% for two demerits.
Demerits include things like missed payments, county court judgments and defaults, unsecured credit, and payday loans.
Second BTL load
The second BTL charge is for homeowners who want to benefit from the equity in their property, and all come with an interest-only option up to 75% LTV.
It varies from 60 to 75% LTV with rates without demerit from 8.25% and 8.55% for a demerit.
Graeme Wade (photo)Sales Manager for Secured Loans at Spring Finance, said the second fee market is increasing month by month and processing times are at the “front line of service levels.”
He added that the lender had made several “positive improvements” to its underwriting system, including its demerit-based points system.
“These changes will significantly reduce the time it takes to complete each loan. Our goal has always been to improve the product offering to our introducers and this new product launch does just that,” he said.
Andrew Bloom, owner of Spring Finance, said: “Spring has a reputation for providing an excellent product offering to applicants from different backgrounds. These new products, supported by the simplification of our underwriting process, will further increase the value we can add to our brokers.
“This product relaunch, along with our recently launched transition proposal, demonstrates our continued commitment to the specialty finance market.”
Spring Finance was launched in 2011 as a long-term second lien lender, then entered the bridge and development finance market earlier this year to offer first and second lien loans on a regulated and unregulated basis. .