Poll
Blemain Finance launches historic changes
This week, Blemain Finance unveiled historic changes to its buy-to-let plans - which include unlimited adverse criteria and overhauled bypass schemes - to widespread praise from brokers.
Changes to rules around adverse credit histories
In response to feedback from its broker customers, Blemain Finance has changed rules around its secured loans and buy-to-let products to allow brokers to offer them to more customers. From today, those property investors that have had no CCJs or defaults in the last two years will not be subject to demerit points. Previously all those with adverse credit histories were subject to these. This change will allow brokers to provide cheaper lending to more property investors.
Drive-by valuations
Changes to Blemain Finance’s underwriting process will mean fewer applications require a drive-by valuation, improving the speed of lending decisions, and reducing costs for brokers. Blemain Finance has upped the maximum qualifying loan limits for its valuation bypass scheme, where drive-by valuations are not required. For secured, buy-to-let and semi-commercial loans up to 65 per cent LTV, Blemain Finance has increased the limit to £50,000 from £40,000, and for loans up to 50 per cent LTV the limit is now £75,000 from £50,000.
New buy to let and semi-commercial lending plans
Blemain Finance has introduced new plans for its buy-to-let and semi-commercial customers (prime, medium, heavy and light), with reduced rates from 9.9 per cent. This will allow brokers to offer cheaper plans at better rates. Blemain has increased certain limits with its maximum LTVs now at:
• Purchases up to 75 per cent LTV (Prime and Light), 70 per cent LTV (Medium) and 60 per cent LTV (Heavy);
• Remortgages available up to 70 per cent LTV (Prime and Light), 60 per cent LTV (Medium) and 55 per cent LTV (Heavy);
• Second charges up to 70 per cent LTV (Prime and Light), 60 per cent LTV (Medium) and 55 per cent LTV (Heavy).
In addition, Blemain Finance has changed the percentages of early repayment charges for these kinds of loans, to better meet the needs of buy to let investors.
Commenting on the announcement, Gary Bailey, Director of Blemain Finance, said: “The changes to our products are in direct response to feedback from the brokers we work with across mainland UK. These changes will allow them to offer customers more options, better rates, and faster lending decisions. Blemain Finance has been established for over 35 years and was one of the first specialist lenders in the UK, so we pride ourselves on being able to innovate and update our products to the benefit ofbrokers and customers.”
Beech Financial Management’s BDM, David Spruce, is very familiar with the lender’s ability to tailor products to an ever-changing industry.
He told Loan Talk: “Blemain Finance’s new criteria for single BTLs and secured loans are its biggest improvement since the credit crunch, in my view.
“The reduction of rates and redemptions are a very welcome change as it’s often a reason to look elsewhere, but by ignoring unlimited adverse over two years old puts them amongst the top lenders in the country.”
He added that the changes had changed even his opinion of the lender: “I know everyone has been working extremely hard at Blemain to make changes and to improve their broker service - and we have noticed this - but unfortunately we have placed a lot of our business elsewhere due to criteria and cut offs for historic adverse.
“These changes, however, will now enable everybody to keep the rates low on customers who maybe have had credit troubles in the past and simply want a fresh start. Bravo Blemain!”
Ben Gillespie, owner of Wales-based master broker Chaseblue Loans, echoed similar sentiments.
He said: “We already have a really solid relationship with Blemain, which has become stronger than ever before of late. Although other lenders threatened toput them on the back foot with so many recent innovations, these latest changes have made them true contenders once again.
“The change means that more applications will be able to have a drive-by valuation. It used to be the case that even for an unencumbered property for a simple deal you would have to get a full, personal valuation. The change will save a lot of time and means that you don’t have to rely on your homeowner or tenant’s schedule.”
Ben then outlined a case in which Blemain’s update had already proved useful in providing a customer with a far better-suited deal.
He told Loan Talk: “A deal which came through just a few days ago had a default in her recent history despite having an otherwise clean mortgage history. Previously, we had recommended that she should get Blemain’s one-unit solution, which charged a rate of 11.39 per cent.
“However, with these recent changes, Blemain was able to ignore the default and, as the loan was of a low LTV, could offer our client a far better and cheaperdeal.”
Scott Thorpe, Director of UK-wide specialist brokerage Access 4 Finance, said that access to the product was indicative of the strong relationship he enjoyed with the lender.
He said: “We are absolutely delighted with the new schemes that Blemain have outlined as, fundamentally, they make the lender’s range of secured products accessible to ever more borrowers.
“The most attractive part of the revised products is that even clients who may have had adverse credit in past, or even arrears, can be considered across Blemain’s range.”
Scott added: “Blemain has always worked closely with us since we launched and has helped us grow from strength to strength. We look forward to building this relationship further as we approach a landmark year since our launch.”
“The firm has made great strides in making more suitable borrowers qualify for secured loans who may have been refused them in the past.”
Ben concluded: “Blemain has really indicated that it’s a force to be reckoned with after these changes, and has provided borrowers with a truly affordable and accessible alternative.”
By Jason McGee-Abe
Related Articles:
I well omega replica watches removed them, in I below. Those companions call fake rolex watches sounded like a bird chirp. Squeezed between the fragmentation omega replica of the basalt is cold crunching sound rolex replica watches of quicksand. Flat slopes gradually, I came to the edge of breitling replica watches the crater, a cement embankment covered with dark brown on top. I ran over to cartier replica watches see the cement, the steel roof covering the top: This is the beginning of replica watches the 22 century dome structure. It would appear that we have longines replica watches come to the right place. From my u boat replica watches current position.