Bridging applications hit record high in Q3




Bridging applications reached a record high of £7.72bn in Q3 2021, an increase of 4.9% compared to the previous quarter, revealed the latest ASTL data.

In addition, the value of loan books rose by 6.8% on the previous quarter and 11.1% on the same quarter last year, surpassing the £5bn mark for the first time — despite the 6.1% drop in the value of completions compared to Q2 2021.

Average LTVs continued to hold at 59.8% in Q2 and the value of loans in default fell for the third consecutive quarter, showing a decrease of 4.1% over Q1 and a fall of 3.6% on the same quarter last year.

Vic Jannels, CEO at the ASTL (pictured above), said: “The Q3 2021 lending figures continue to paint a picture of a market that is enjoying strong growth, while maintaining a robust approach to risk.

“From experience, we know that more brokers are engaging with the bridging market and analysis of our data shows growth across different elements of short-term lending, including development finance and second-charge bridging. 

“It’s clear that bridging is becoming more established as an invaluable piece of a broker’s toolbox for a range of purposes. 

“We would always recommend that ASTL lenders continue to represent a benchmark of quality and customer focus, for those brokers.”

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