db to expand packager distribution
The mortgage lender has been in contact with a number of packager firms regarding the extension of its product portfolio and is set to send out official letters notifying companies of its intentions and product offering.
Its pilot scheme started at the end of April 2006 via Pinnacle Mortgage Funding, The Mortgage Service and The Select Partnership.
Matthew Russell, communications and sales support manager at db mortgages, said the initial phase of its launch had proved successful and the second stage was imminent.
“We are preparing for the next phase of the launch, which will take place over the Summer months. This will entail expanding the number of packagers on our panel from the current three companies by adding up to 200 extra firms,” he said.
Russell added that db mortgages would confirm details of the second phase of its business within the next two weeks, but he refused to confirm whether new products would be added to the lender’s portfolio during this stage.
David Wylie, chairman of C2-financial, welcomed the news, but said the deluge of new providers into the market meant db mortgages would have to be competitive. He said: “We would certainly be interested in looking at db mortgages product range, and if it adds any value to what we already have then that is even better. However, given the level of competition and the number of high profile market entrants over the last year, it is extremely difficult for a new entrant to be innovative enough to steal a significant market share.”
Russell confirmed that db mortgages will roll out its services to the broker community at a later date but refused to be drawn on an exact timescale.