- Buy-to-let mortgage lender Landbay partnered with a broker network to distribute its products.
- And as the market picks up again, the digital-first platform could have some clear advantages over competing lenders.
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With this move, the buy-to-let mortgage lending platform is partnering with one of the largest mortgage and protection networks in the UK, dubbed Primi Mortgage Network, per AltFi.
Under the partnership, brokers that are part of Primi’s network will be able to access Landbay’s range of specialist buy-to-let mortgages to cater to clients including portfolio and first-time property owners. Additionally, brokers and their property owner clients in Primi’s network will be able to access Landpay’s products through its online portal, including its technology-enabled decision principle (DiP), which can make mortgage decisions in as little as 2 minutes. Since 2014, Landbay has lent over £625 million ($798 million) with over 2,500 mortgages.
With the partnership, Landbay significantly enhances its distribution channel, which will further help grow its business. It comes after Landbay announced a funding partnership with an unnamed UK bank in July, in which the bank will hold the former’s mortgages on its balance sheet.
This lets Landbay increase its institutional funding and launch new products. Additionally, Landbay recently upped its maximum loan sizes from £1 million ($1.3 million) to £1.5 million (1.9 million), while also reducing certain mortgage rates. By partnering with Primi Mortgage Network, Landbay gets access to the over 2,000 brokers on its platform, which will now be able to distribute Landbay’s existing and new products and services.
An efficient digital mortgage process is becoming increasingly important during the pandemic, making Landbay particularly suitable for consumers looking to buy. While the buy-to-let industry initially took a hit during the pandemic—with hundreds of buy-to-let products being removed from the market—it has since started to recover, with many products being launched.
Additionally, demand for rentals has increased over recent months, which could further boost the buy-to-let industry. The pandemic has exacerbated the need for digital mortgage processes, as in-person meetings to sign paperwork are often impossible, likely helping digital-first Landbay win over new customers via the latest partnership.
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