The purchase is the second arising from an agreement announced in December 2003 to acquire from GMAC-RFC a minimum of £400 million, and up to £1.4billion, of loans in 2004 in four tranches. The total amount acquired by Mortgage Express so far in 2004 is £594 million.
All lending in the portfolio is secured on UK residential property and has a similar credit risk profile to previous portfolio acquisitions.
The acquired mortgages are expected to be, by value, approximately 30% buy-to-let, approximately 46% self-certified, with the remainder standard mortgages.
The book is expected to have an average loan size of approximately £120,000 and an average loan to value of approximately 72%.
Tim Dawson, Managing Director at Mortgage Express says: ‘‘This purchase is consistent with Mortgage Express’ strategy to grow the business, both organically and through acquisition. We are pleased to have once again worked with GMAC-RFC so successfully’’.
