Fleet Mortgages completed more than £1.2bn of new lending in 2022, with originations up by 58% compared to the previous year.
Throughout the 12-month period up to 31st December 2022, the specialist lender’s origination figure reached £1.237bn, compared to £782m in 2021.
All funding in 2022 came from Starling Bank, which acquired Fleet in 2021.
Fleet’s overall lending activity was strong throughout the year despite market turmoil, with its busiest completions months taking place between August and November.
The average loan amount over the course of the year was just under £215,000, the lender said.
According to Fleet, the proportion of mortgage applications received for buying investment properties increased during the second half of 2022, with significant demand coming from portfolio landlords buying investment properties through SPV limited companies — particularly in areas outside Greater London.
The quality of Fleet’s mortgage book remained high, with landlord borrowers continuing to manage their financial affairs in a way that resulted in just 11 arrears across the lender’s 13,000 mortgages outstanding in 2022.
This is marginally up from the seven arrears reported in the previous year.
In 2022, the lender also expanded its team to 170 — from 112 at the start of the year — and introduced a new satellite office in Cardiff with a specific focus on underwriting.
Fleet currently offers products across three core BTL mortgage ranges: standard, limited company, and HMO and MUFBs.
Five- and seven-year fixes and trackers, as well as green fixes and trackers are available.
Steve Cox, chief commercial officer at Fleet (pictured above), said: “2022 was undoubtedly a rollercoaster year for the entire mortgage market, so we are very pleased to be able to announce a significant increase in our lending completions.
“The support we have received from Starling remains top-class and it allows us to enter the new year full of ambition to continue lending to a part of the market we believe will continue to thrive, namely professional and portfolio landlords who are invested in the private rental sector for the long term.
“It’s been positive to see pricing coming off its most recent highs, and we fully anticipate this trend will continue into the year ahead, offering advisers and their landlord clients access to competitive rates and products which will allow them to maintain their profitability and hopefully add to their portfolios.
“Fleet remains absolutely committed to this market, and we believe the fundamentals of the private rental sector remain strong particularly the high level of tenant demand that continues to exist against a backdrop of low supply.”
Nicola Richardson, chief financial officer at Fleet, added: “For the 2022 calendar year — Fleet’s first full calendar year as a subsidiary of Starling Bank — we are delighted to have achieved more than £1.2bn in new lending completions.
“To reach this level while also growing a more sustainable, scalable business given the macroeconomic conditions is something the executive team are very proud of.
“2023 will undoubtedly be a challenging year, but with the support of Starling Bank, we look forward to continuing to serve this market.”
