Due to good demand from senior and junior debt investors, the transaction was successfully upsized during the process from an initial size of £420m.
The loans in the securitisation pool reflect the quality of lending by Kensington Mortgages.
The average LTV at the time of the transaction was 73%, with a weighted average interest rate of 3.8%.
The pool also included 20% BTL loans.
Less than 1% of the borrowers in the portfolio securitised were more than one month in arrears at the time of closing.
There were no self-certified loans in the portfolio and only 30% of the mortgages were secured against properties in London and the South East.
NVG has now securitised £4bn of mortgages since 2015 and the deal is the second-largest transaction secured by the recent originations of the Northview Group.
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A total of 16 unique investors were involved in the transaction, with a balanced participation between funds and banks.
European investors – excluding the UK – accounted for 27% of the demand, a higher percentage than usual.
“This transaction is further evidence of Northview’s strong track record in accessing the UK securitisation market, with the pricing and the large size a reflection of continued investor confidence in our securities – which reflects the high quality of the new mortgages written under our Kensington brand name,” said Alex Maddox, capital markets and product development director at NVG.
“High-quality investors want access to the high-quality mortgage customers being sourced through Kensington’s unsurpassed underwriting.
“With the Bank of England bringing its crisis-era Term Funding Scheme to an end, an increasing number of lenders have started to access the securitisation markets again as an alternative source of funding.”