Mortgage Express acquires GMAC-RFC portfolio

Mortgage Express has completed the purchase of a mortgage loan portfolio from GMAC-RFC for a consideration of around 407m.

The purchase is the final one arising from an agreement announced in December 2003 to acquire from GMAC-RFC a minimum of 400m and up to 1.4bn of loans in 2004 in four tranches.

All lending in the portfolio is secured on UK residential property and has a similar credit risk profile to previous portfolio acquisitions.

The acquired mortgages are expected to be, by value, approximately 15% buy-to-let, 51% self-certified, with the remainder standard mortgages.

The book is expected to have an average loan size of approximately 133,000 and an average LTV of approximately 67%.

Tim Dawson, managing director of Mortgage Express, says: ”This acquisition is the final one for 2004, and consolidates our strategy of growing our business both organically and through acquisition.”