Charter Court Financial Services Prepares For Second Securitisation
16 June 2014
Having successfully completed its inaugural securitisation in December 2013, Charter Court Financial Services Limited (CCFS) is making preparations for its second securitisation. All loans in the first securitisation PMF No.1 were originated by the CCFS trading brand Precise Mortgages; a leading specialist lender in the UK mortgage market, originating both residential and buy to let mortgage loans.
PMF No.1 closed in December 2013 and is rated by both Fitch Ratings Agency and Standard & Poors. The average borrower within the transaction put down a deposit of 28% of the property value and had a household income of £42,000 and an average age of 44. The average income multiple for the owner occupier loans was under three and each borrower passed an affordability test which was also stressed for future interest rate rises.
To date, of the 1257 loans in PMF No.1, not a single one is in arrears. Latest Council of Mortgage Lenders’ statistics show 1.59% of UK mortgages are three months or more in arrears and are at their lowest level in seven years.
Simon Allsop, Head of Securitisation for CCFS says: "PMF No.1 was heavily oversubscribed and we are very confident that the quality of the underlying mortgage loans will continue to impress investors."