Bridging Lenders Surpassed £3.5bn in 2017, according to ASTL
Recent figures from the Association of Short Term Lenders demonstrate just how healthy the bridging finance market was in 2017. Lending surpassed £3.5 billion, and ASTL members conducted more than £1 billion of business in Q4 alone.
A great deal of business was completed in the latter end of the year: the final three months of 2017 saw an increase of 31.7% when compared to the exact period of the year previous.
Despite the ASTL acknowledging that bridging applications often produce variable (sometimes unreliable) findings, the numbers speak for a rapidly growing industry from which more people receive ample funding for their development projects.
Minimising the number of default loans
The industry’s efforts to reduce failed transactions has paid off: the number of default loans was down by 4.7% compared to 2016, which shows the industry to be on the right path in terms of customer satisfaction.
Speaking is Benson Hersch, Chief Executive Officer of the ASTL: “Our figures highlight that, despite ongoing concerns relating to Brexit and the property sector, the bridging finance industry remains in good shape and is ready and willing to meet the challenges that 2018 may bring.
“The bridging sector continues to provide a vital role in the economy by offering customers access to the capital they need in a responsible and sustainable way. It continues to be an important part of the alternative finance market”.
The biggest finding that the ASTL landed upon for 2017 was that bridging loan applications saw a huge increase of 42.6%, reaching a grand total of £18.93 billion for the whole year.
Realise your vision with us
It is encouraging to see such growth in a sector that seeks to help individuals realise their visions, whether that is finance for a development project or just to buy a dream home.
If you are interested in bridging finance and would like to talk through your options, give us a call on 08000 44 84 84, or alternatively speak to an individual member of our team here.