The figures, compiled by auditors from data provided by members of the association, also show that the value of completions in Q4 2021 rose by 19% on Q3 to a new record of £1.2bn, leading to an increase in bridging loan books to £5.08bn.

Meanwhile, average LTVs were up slightly from 59.8% in Q3 to 61.2% in Q4.

In addition, the value of loans in default continued to fall for the fourth consecutive quarter, showing a decrease of 7.6% over September 2021. 

The number of repossessions also fell slightly, which, according to the ASTL, indicates a continued robust approach to underwriting.

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Vic Jannels, CEO at the ASTL (pictured above), said: “I am often asked to provide my thoughts on the health of the current bridging market, but these statistics are more powerful than my words ever could be. 

“We are in a position where loan books are at a record level, completions are higher than they ever have been and there is a strong pipeline with record and rising application numbers. 

“Even more positive, however, is the indication that this lending is being delivered without any significant advance up the risk curve. 

“LTVs have crept up, but remain modest and falling values of loans in default and numbers of repossessions indicate that risk is being well-managed.
 
“These lending figures are a clear sign that bridging is becoming more established as an invaluable piece of a broker’s toolbox for a range of purposes. 

“As more brokers engage with this fantastic market, we would always recommend that they seek out ASTL lenders as a benchmark of quality and customer focus.”