Regulated bridging continues to dominate broker searches

‘Regulated bridging’ remains the biggest focus for brokers, with the term topping Knowledge Bank’s criteria activity tracker results in January for the third consecutive month.

The term has been consistently in the top two for 18 months, potentially due to borrowers turning to bridging loans for quick purchases, or if chains have collapsed due to buyers pulling out.

‘Minimum loan amount’ was the second most popular term, followed by ‘maximum LTV’ and ‘heavy refurbishment’.

Brokers with bridging clients were also looking for ‘minimum property value’ in January, which suggests that borrowers are using bridging loans for smaller projects or purchases, potentially looking to buy a property in need of renovation.

Searches in the commercial sector remained similar to the previous month, with ‘semi-commercial properties’ taking the top spot again.

According to Knowledge Bank, this may be an effect of mixed-use properties possibly becoming more common, as shopping continues to shift online and businesses adopt hybrid working practices. 

‘Minimum loan amount’ and ‘maximum LTV’ also continued to be popular searches in the commercial sector, placing second and third, respectively.

The BTL market is attracting new investors, with both ‘first-time landlord’ and ‘first-time buyer’ both featuring in the most-searched terms in January. 

First-time buyers looking for a foothold on the ladder may be turning to BTL properties as demand for rental properties is still high, which is driving a sustained period of rents increasing.

Matthew Corker, operations director at Knowledge Bank (pictured above), said: “Regulated bridging remains a popular search by brokers, as some property owners use bridging loans to make improvements to their own homes. 

“The searches for minimum property values suggests borrowers are looking at properties in cheaper parts of the UK, or considering a property in need of renovation.”

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