Kensington ramps up re-entry to mortgage market

Kensington has launched a new prime product range with lower rates, higher loan-to-value amounts and a reduced completion fee.

The new prime products are available up to 80% LTV, with two-year fixed rates from 4.99%.

Kensington has also cut the completion fee on all of its products to £999. The new products at 75% LTV include a two-year fixed-rate deal at 4.99%, a three-year fixed-rate deal at 5.39% At 80% LTV, the products include a two-year fixed rate at 5.69% and a three-year fixed rate at 6.09%.

They will be available via mortgage advisers who work for Legal & General, Openwork, Pink Home Loans and Personal Touch Financial Services.

Charles Morley, head of sales & product development at Kensington, says: “We know there are a lot of prime customers out there who want a mortgage but are excluded by the big lenders because they fail an automated decision. So we make a decision based on a customer not a credit score.

“This means we are well positioned to consider self-employed borrowers, people who receive regular bonuses or overtime and customers whose circumstances are too complex to meet the rigid criteria of an automated system.”

Ben Thompson, director, mortgages at Legal & General, said: “What we see now though is a lot more intent around the overall competitiveness of their offering, and I have no doubt there is real appetite for Kensington to make an impact in the coming months.”