A boom in buy-to-let and self-cert is changing Platform's traditional reputation as a sub-prime lender.
Following Platform Home Loans's merger with buy-to-let and self-cert lender Verso in Febuary last year, applications have boomed from £800m to £3bn completions a year.
Although 45% of the total business is still sub-prime, buy-to-let and self-cert now form 30% and 25% of volumes respectively. The lender is now looking at sectors including equity release.
Guy Batchelor, sales and marketing director at Platform, says: “The biggest growth this year has been in buy-to-let. We are increasingly seen as an allstatus player.”
Robert Clifford, managing director at mortgageforce, says that moving gradually out of sub-prime is sensible.
He says: “As a lender you have to make the margins according to risk so although buy-to-let pricing is cheaper than sub-prime, the risk is less too.”