According to comments made last week, a lender is set to offer new FSA regulated bridging products by next January.
When B&C joined Precise Mortgages in Birmingham on the fifth stop of their nation-wide bus tour, we overheard that the company is on track to offer FSA regulated bridging products by mid-January 2012. An official announcement is expected in the New Year.
Alongside their regulated mortgage products, Precise currently offer light refurbishment, heavy refurbishment and standard bridging.
Although it is not yet compulsory for bridging lenders, there is speculation that FSA regulation could become mandatory in the future; as such, some lenders are choosing to go through the process of bringing their bridging procedures up to FSA standards now, in order to avoid the bottle neck that could occur further down the line as lenders rush to become regulated before the deadline.
1 Comments
Richard
More fool them! In a few months time you will have savvy clients and their solicitors starting to take legal action to save their skins when they cannot redeem. Any slip up in procedure will do the trick to trigger an FSA investigation, followed by a nice juicy fine. Those lenders who are trying to enhance their credibility by becoming regulated will regret their decision to their dying day, once they are drowning in red tape and fines! Only a very small number of bridging cases warrant regulation, with the vast majority being quirky, sophisticated matters that are a million miles from any regulated structure.