Commercial First has taken a step towards the prime market with the launch of its near-prime commercial mortgage products, available exclusively through intermediaries.The products will come under the sub-brand of Choice, and the company is for the first time focussing on delivering a product for the conforming business customer. Stephen Johnson, sales and marketing director at Commercial First, says: “This move is the result of intermediary feedback. We have been asked to bring the Commercial First approach to the mainstream business mortgage market. This dramatically extends the scope of our market appeal.” A sub-brand has been developed to launch the product which, under the Choice banner, will be exclusively distributed via intermediaries. Explaining the sub-brand, Johnson says: “This is a significant move and we wanted to invest heavily in developing an incremental range of products with its own identity. It delivers wider choice to the intermediary and the business customer but retains the values that have made Commercial First successful – simplicity and premium service.” The product is priced in the range of 2% to 2.5% above LIBOR up to an LTV of 75% for advances of 1.5m and below. An LTV of 85% has also been made available within the criteria. To qualify a customer has to provide one year’s professionally prepared accounts and three months’ bank statements. The client is not required for an interview. Commercial First has also taken the opportunity to improve its sub-prime range of products. Johnson adds: “We’ve made some big improvements. The combination of 85% LTV, cheaper pricing, shorter early repayment charge periods and longer interest only periods is a sign of our intent.”
The small minority of brokers who moan about the concept of Treating Customers Fairly annoy me. The Arthur Daleys do not belong in our industry. But without going so far as to say there are still many Daleys around I wonder if most brokers are treating clients fairly, based on the decrease in ASU sales. […]
Bristol & West and ABC International Bank have launched a buy-to-let mortgage for the country’s two million Muslims. This is the latest in a range of home finance products offered by the two banks, designed specifically to comply with Sharia, Islamic law. While the product’s structure differs from conventional interest-based mortgages to ensure compliance with […]
West Bromwich continues to go from strength to strength in the buy-to-let sector. Lending through the intermediary channel was the highest it has been this year, and 55% of that lending was buy-to-let. The greatest increase in business has been witnessed in the West Midlands and Yorkshire and the North East, up 22% on Julys […]
Self-cert has captured the public imagination and the fact it is still performing well in a tougher economic climate is converting sceptics, says Matt Grayson
As more and more employers reach their auto-enrolment staging date, thousands of HR, pensions and finance professionals have been tasked with navigating the minefield of ongoing scheme governance and auditing with little support.
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