LendInvest has secured funding of up to £200 million from HSBC UK to bring further capital to its platform.
With this new funding, LendInvest will be able to enter the home loan market for the first time, marking the company’s next step towards achieving its ambition of becoming a whole-of-market mortgage provider.
Its first home loan product, which is launching in 2019, will be available to homeowners that require short-term bridging finance for terms up to 12 months.
LendInvest has lent over £2 billion to borrowers to date, having quickly taken market share in the short-term finance market and built scale in the buy-to-let market.
In addition to HSBC UK, LendInvest’s bank funding partners include global banks Citigroup and Nomura, European banks and a number of UK-listed challenger banks.
Alongside multiple institutional funding lines, LendInvest enables corporate investors and high net worth individuals to invest in the mortgages it writes via its Co-Investment Platform, discretionary fund and £500 million LSE-listed bond programme.
“This new funding from HSBC is a further important step forward in the evolution of our business,” Christian Faes, co-founder and chief executive officer of LendInvest, commented.
“We have shown to great effect how our technology-driven approach to lending can succeed in the specialist loans market,” he added. “Our sights are now firmly set on continuing to build out our platform and on ultimately disrupting the £200 billion mainstream UK mortgage market.”
David Langford, relationship director in HSBC’s non-bank financial institutions team in London, added: “The deal demonstrates our commitment to providing access to funding in an evolving UK residential property market in order to help support housing supply.”