Exact has set up a new intermediary-only buy-to-let lender called Precise Mortgages.
The lender is funded entirely through the wholesale markets and will initially distribute through a controlled panel including Legal & General mortgage club, Mortgage Intelligence and Mortgage Next. The firm says it will not dual-price.
Its products include a lifetime tracker mortgage at Libor plus 5.25 per cent, with an initial rate of 5.89 per cent and a 3 per cent fee as well as two-year Libor trackers. Maximum loan is £300,000 and maximum loan to value is 75 per cent. Applicants must have a minimum income of £50,000.
Managing director Alan Cleary says: “We are not chasing volume, we have got hundreds of million, not billions. We are going to be cautious.
We will lend within the confines of our funding. There are fewer lenders in buy to let so we can get the margins we want at the credit risk we want to take.”