The digital buy-to-let mortgages start-up, Property Master uses advanced algorithms to match the requirements of individual private landlords against the entire buy-to-let mortgage market, is planning further expansion.
This announcement comes as the company begins a new round of fundraising to support its continued growth. Launched in May of last year with the stated aim of “shaking up the current buy-to-let mortgage market” currently served by around 12,000 mortgage brokers.
The company has attracted financial backing from a broad range of investors including a minority stake being taken by LSL Property Services, whose estate and letting agency brands include Your Move and Reeds Rains. PM has now commence a new round of crowdfunding through the Seedrs website.
Angus Stewart, Chief Executive, Property Master, said:
“Our vision is to become the destination site for private landlords looking for the products and services needed to support their business. With an estimated two million private landlords in the UK this is an attractive market to be in.
“It’s also a market ripe for the kind of disruption we have already seen new technology bring to other areas of the property market with online estate and lettings agencies as well as digital residential mortgage brokers.”
Mr Stewart added:
“Our first step is to continue to revolutionise the way private landlords look for mortgage finance which we do by matching individual landlords with the best deals available to them at that moment in time.
“Essentially, we have completely automated what was a manual, complex process so we can provide individual landlords with an easy to access and free mortgage advisory service with the added bonus at the end of it of actual pre-approved mortgage offers. Over 10,000 landlords have already tried us out and a typical remortgage saving is around £1,800.”
The bid for expansion by Property Master comes as recent figures from UK Finance show remortgaging to be at record levels as borrowers seek to lock in low interest rates ahead of base rate moves.
“Now that we are in an environment of both rising interest rates and an increasing tax burden, we are finding private landlords becoming much more discerning about their funding costs.
“We offer them the assurance that the deals our digital tools find for them really are the best available and as those deals have already been pre-screened landlords know they can quickly move to completion.”
Mr Stewart continued:
“Our business is now moving into a new phase and we are on track to develop a uniquely comprehensive range of online landlord services enabling the convenient management of properties at lower cost, including sophisticated portfolio finance tools of interest to landlords with multiple properties. We are excited to be talking to new potential backers and would urge anyone interested in joining this fundraising round to visit the Seedrs site.”