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Product transfers in the specialist space

Journalist: Anna Sagar, Mortgage Solutions / Specialist Lending Solutions

ended 09. March 2023

Looking to speak to brokers about product transfers with specialist lenders, especially non-bank lenders with securitised funds or warehouse funds. 

  • What is the process like for doing a product transfer with a specialist/non-bank lender? 
  • Is it widely offered or becoming more popular? 
  • Do you think this should improve? 

4 responses from the Newspage community

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Emma Jones
Managing Director at Whenthebanksaysno.co.uk
Kensington launched their PT system I believe sometime last year and it's pretty good! I would even go as far as saying it's easier than some of the high-street lenders! It would be good to see more of the specialist lenders following suit!
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Riz Malik
Independent Financial Adviser at R3 Wealth
The recent interest rate increase has highlighted this as a major issue, particularly for maturing limited company buy-to-let deals. Many landlords' deals have expired, and they are now stuck with high-standard variable rates from specialist lenders, some of whom do not offer product transfers. Furthermore, they may be unable to refinance elsewhere due to the current stress test calculations meaning they are prisoners. Although higher-rate borrowers are profitable for lenders, the lack of consistency in product transfers does not help the image of the expanding specialist lending sector.
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Luke Thompson
Director at PAB Wealth Management
The product transfer process with specialist lenders can be very frustrating. Some lenders just won't do them at all, some lenders only offer Product Transfers to some borrowers and there seems to be no rhyme nor reason as to why they will do them for some clients and not others.

I think the process needs to be improved and lenders should have to offer Product Transfers to all borrowers as there is a good chance that a borrower who has taken a mortgage with a specialist lender will be a vulnerable customer.
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Joe Stallard
Director and Advisor at House and Holiday Home Mortgages
We're seeing loads more smaller, specialist lenders in the space right now. And as technology and systems improve, we're excited to see this is an area that's opening up more and more.