A new lender planning a “game changing” range of residential and lifetime mortgage products aimed at underserved older borrowers, has received full regulatory approval from the Financial Conduct Authority.
Peterborough-based Mortgages4Life claimed to be close to launch and almost ready to deliver more choice and flexibility to those aged over 55 than ever before.
Its equity release mortgage products - for which it has yet to release any details - will be available through financial advisers and mortgage brokers only.
The firm’s website is nearing completion and will feature a prize draw for brokers when it launches over the coming weeks.
The business is headed by chief executive Simon Little, who has worked in the UK financial services industry for nearly 30 years, including spells at GE Life and Canada Life. He was also a director of Equity Release Council precursor SHIP.
“We are delighted to have received regulatory approval, which is a major milestone for the business,” he said. “Clearly there is a significant amount for us still to achieve and the team is working extremely hard to ready Mortgages4Life for launch.”
The board also includes Simon Whitehead - previously of MGM Advantage and Partnership Assurance - as chief financial officer, Sue Burgess - from Linear Mortgage Network and Home & Capital - as chief operating officer, and Phil Regan - who has worked for Principality Building Society and Hodge Lifetime - as head of underwriting.
Mr Little said he was assembling a “credible team who understand the broker market” in order to deliver the range of products.
“Older borrowers have been underserved for far too long, with few real options available to those who wish to borrow money against their property or indeed move house in later life,” he added.
Ray Boulger, senior technical manager at John Charcol, said it was pleasing to see a new lender entering the mortgage market, especially on the older borrower side, which he described as a low risk sector “very badly served” by major lenders.
“We have been working with Mortgages4Life as they refine their product offering and are excited about the innovation they are seeking to bring to the market, including out of the box thinking on assessing affordability,” he stated.
peter.walker@ft.com
