Christian Faes

UK-based marketplace for finance, LendInvest has claimed to be the first UK platform to securitise its own assets. The securitization is part of a strategy being executed by LendInvest to continue to drive down its cost of capital and continue its move towards the mainstream mortgage market.

It has securitised GBP259 million of UK prime Buy-to-Let mortgage loans in an oversubscribed RMBS transaction. The process is expected to free up LendInvest’s capacity to fund future Buy-To-Let mortgage loans.

Christian Faes, Co-Founder, and CEO of LendInvest, says: “This is a significant milestone for LendInvest. This securitisation provides us with funding that is cheaper than if we were a small deposit-taking bank, and proves out our business model and its scalability. We are building a new type of financial services business that can properly take on and challenge the banks in this market. The securitisation received strong support from the market, with new institutions coming into the fold, and buying loans originated through the LendInvest platform.”

The news comes after LendInvest raised GBP 200 million from HSBC to launch its first homeowner loan product.

by Megha Bhattacharya
Market Analyst at IBS Intelligence