JP Morgan backs LendInvest in £500m deal for BTL
LendInvest, the UK’s leading platform for property finance, has secured a new £500m investment from J.P. Morgan in future mortgage originations. This investment follows the sale of a £125m mortgage portfolio to J.P. Morgan in September 2020.
This transaction further expands LendInvest’s capacity to lend in the UK buy-to-let market. Having now lent over £3.5bn, LendInvest continues to take market share from traditional incumbent lenders by offering a tech enabled customer experience.
LendInvest was the first lender to provide an entirely online buy-to-let mortgage product for portfolio landlords in the UK, and has remained open for business throughout all three national lockdowns. LendInvest was the first non-bank prime BTL lender to introduce a desktop valuation product when valuers were unable to physically inspect properties, and was awarded the NACFB’s ‘Buy-to-Let Lender of the Year’ award in November 2020 for the second year running.
Despite the turmoil of Covid, LendInvest has continued to deliver strong growth. In December, LendInvest published its interim financial results covering the period from April to September 2020 which showed its loan book had grown 27% to £1,386m and EBITDA had climbed to £6.2m for the half year.
J.P. Morgan joins a growing roster of global financial institutions and institutional investors working with LendInvest, including HSBC, Citigroup and the National Australia Bank.
Rod Lockhart, chief executive officer at LendInvest, commented: “This transaction is yet another example of the growing interest from large global institutions in UK Fintech, and importantly, another milestone for LendInvest. “Working with J.P. Morgan puts us in a stronger position than ever to serve our customers in what will come to be a hugely important year for the industry. We look forward to collaborating with the team there as we continue to tailor our unique offering for landlords in an ever-changing environment.”
Eric Wragge, managing director in securitised products at J.P. Morgan, added: “There’s a huge amount of innovation going on in the UK fintech space, which is taking place both in spite of, and in response to, the broader context of the Covid-19 pandemic. LendInvest is an exciting business with ambitious plans for the future, and our securitised products team has been pleased to work with them to provide capacity for over half a billion pounds of new mortgage lending.”