Specialist lender, Fleet Mortgages, has announced that it will be moving into the commercial mortgage market in 2016.
The lender, which launched less than 12 months ago, plans to enter underserved niche areas of the mortgage sector, including larger portfolio lending, and is currently developing the systems and processes to deal with the new launches.
The news follows the publication of Fleet’s trading update for the nine months to September, in which the lender reported that intermediaries have passed £800m worth of buy to let business through its system.
As a result, the lender is guaranteed to hit lending targets for the year.
Fleet Mortgages has already passed its yearly run rate of £450m of lending and has set a renewed target of £750m for 2016.
Bob Young, CEO, Fleet Mortgages, said:
“We now look forward to the next year where we will continue to focus on maintaining our commitment to the intermediary sector and ensuring we continue to deliver the buy-to-let products clients want and need.”
“It nearly goes without saying but, we are incredibly pleased with the way the business has progressed throughout 2015.
“Indeed, to have a new lender up and running, and breaking even in less than 12 months, is quite frankly astonishing.
“The intermediary interest, the placed applications, and our lending volumes are right on line with our expectations, but nonetheless, we feel they are impressive from a standing start, and show that with the right proposition, experience, service and products you are able to gain traction in this market quickly.”
Fleet Mortgages will now kick start a comprehensive recruitment drive, in readiness for next year’s activity.
The company has grown from 18 to 40 employees since its launch and it hopes to be 50 strong by Christmas.
“Recruitment remains a key focus for us as we add quality individuals to the team in order to maintain our service levels,” said Young.
“We aim for a 24-hour turnaround in terms of DIPS, applications, valuations received and issuing the offer, and therefore we are bringing on board dedicated individuals like our existing staff in order to continue operating in this fashion.
“In a sense we are operating as a David in a world of Goliaths, and I think we all know how this turned out.”