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Lender bosses back Private Label mortgage ‘innovation’

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Lender bosses have voiced support for the relaunched packager Private Label, saying the firm will plug gaps in the market with much-needed product innovation.

Earlier this month, Mortgage Strategy revealed that Brightstar had bought the rights to the packager, which was well-known in the 1990s and early 2000s.

Private Label relaunched this week with a Day One Remortgage product for landlords wanting short-term lets, the cheapest self-build mortgage on the market and a specialist lending portal for building societies.

The remortgage is available up to 75 per cent LTV with a £200,000 minimum loan size.

OneSavings Bank sales director Adrian Moloney says the lender will market the product exclusively with the packager.

He says: “We’ll be supporting the market challenger with our Day One Remortgage product which will allow customers the facility to quickly move recent purchases onto standard buy-to-let rates.”

Private Label has also signed up Castle Trust to back a product for landlords wanting to let their properties on a short-term basis through websites like AirBnB.

The Temporary Letter deal will be available up to 75 per cent LTV on properties up to £1m with higher values on referral. Borrowers need six months of track record or proof that they can service loans from personal income.

Castle Trust executive director Matthew Wyles says: “Many traditional buy-to-let mortgages do not accommodate short term rentals as they require an AST to be in place, so this product provides a fresh opportunity for landlords to invest in an attractive, high-yield market niche.”

Saffron Building Society will underwrite the new self-build product, The Self Builder, aimed at high-net worth clients building bespoke properties.

Saffron chief executive Colin Field says: “As well as offering a really competitive rate to help self-builders keep their cashflow under control during their build programmes, we also have an expert underwriter who is dedicated to assessing all self-build mortgage applications.”

Private Label is also set to launch The Mortgage Tailor, which sees a panel of building societies including Family, Mansfield, Bath and Penrith set up to respond to residential enquiries within 48 hours.

More products will follow later this year.

Private Label was founded by mortgage market veteran Stephen Knight in 1990.

Brightstar chief executive Rob Jupp says: “Private Label is a tribute to Stephen Knight and his legendary former team, many of which are still involved in senior positions in the mortgage market.

“Private Label by Brightstar gives the trailblazing concept a modern, post-MMR feel, whilst remaining as innovative and product challenging as its predecessor.”

Products will also be available through 27Tec, Mortgage Brain and IRESS sourcing systems  by requesting an enquiry form. Brokers can also use Brightstar’s EasySource system.

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