LendInvest has announced a fresh round of rate cuts across its residential mortgage range, reducing pricing by up to 15 basis points in a bid to address growing affordability challenges among prospective homeowners.
The London-listed fintech lender confirmed that 2-year fixed rates up to 75% loan-to-value will fall by 15bps, while those above 75% LTV will be reduced by 10bps.
All 5-year fixed rates are being lowered by 5bps, with the lender’s most competitive 2-year fixed product now starting at 5.14%.
The change is accompanied by a cashback incentive of up to £400, designed to ease the administrative burden for borrowers during the application process.
The rate changes come as LendInvest continues to broaden its appeal beyond prime borrowers. Having overhauled its credit criteria last spring, the lender now caters to a wider pool of customers including those with historic adverse credit, key workers, and the self-employed.
Under its current policy, the business does not factor in credit scores, instead reviewing each application on a case-by-case basis and permitting the presence of County Court Judgments and defaults.
AFFORDABILITY FOCUS
Hugo Davies, chief capital officer and managing director for mortgages at LendInvest, said the decision to cut rates was driven by a desire to improve affordability for a wider group of buyers.
“We know that when it comes to buying a home, affordability is always the biggest roadblock for the borrower, broker and lender,” he said.
“That’s why we’re delighted to be able to cut all of our residential mortgage products by up to 15bps and continue to offer a cashback incentive of up to £400.”
He added that credit scores should not be a barrier to homeownership. “At LendInvest, we’ve always believed that someone’s credit score and history shouldn’t be an immediate impediment to achieving their dream of owning a home.
“We don’t factor in credit scores, our credit criteria has been specifically designed to allow for various types of adverse credit.”
The announcement follows a strong showing for the firm in the most recent Mortgage Lender Benchmark Survey by Smart Money People, where it was named top digital-first lender and received a 5-star rating for its Mortgages Portal, the platform through which intermediaries manage the full mortgage journey.
