Investec Private Bank has increased its mortgage lending by 45 per cent in the last year despite the credit crunch.
The high-net-worth lender says it is seeing an upturn in business as many high-street lenders retreat from the market. Business through introducers, including brokers, IFAs, accountants and solicitors, accounts for around half of its private-client lending business.
Head of mortgage lending Wayne Preston says: “For us, the current market conditions are something of a blessing in disguise.” He says since the credit crisis hit last year, there has been a significant reduction in high-street lenders in the £1m-plus mortgage market.
Preston says: “High-income and high-net-worth clients were able to go to the high-street lenders for their mortgage requirements but now it is a lot more difficult and these clients are turning to private banks for their lending needs.”
Mortgage broker OFM Group chairman Rob Jupp says: “I am not surprised that Investec has seen such growth as high-net-worth mortgages are one of the genuine growth areas at the moment.”