Advisor SVR comparison solution launched by Perenna

September 26, 2024 by Heidi

Lenders

Mortgage lender Perenna has introduced a new solution to help advisors compare and calculate its standard variable rates in comparison to those of the mainstream lenders.

The comparison tool is available via the intermediary page of the Perenna website. Mortgage advisors will be able to use it to work out what size of loan the specialist lender can offer their clients compared with traditional SVR loans. The big difference between the SVR mortgage deals provided by Perenna and those of high street lenders is the length of the repayment terms.

Because those terms are longer, the lender does not have to subject the loans to stress testing. That means it is able to provide borrowers with larger mortgages, which gives them more options in the housing market. Repayment terms for Perenna SVR deals can be anything from 10 years to 40 years.

Using the new tool to calculate the maximum SVR loan Perenna can offer a borrower on a 30-year, 90% loan-to-value product shows the difference. If the monthly budget of that borrower is £1,500, they can get a loan that is £44,441 higher than those offered by high street lenders.

Colin Bell from Perenna told Mortgage Solutions that:

“This calculator is an important next step in our ongoing efforts to educate the industry on the impact different types of mortgage products have on affordability.”

This will be a useful tool for advisors with the CeMAP qualification, as the larger loans it can identify could help clients get their first choice properties.