"Even amidst economic uncertainty, the value of loan books reached a record level of just over £6.1bn and this is the second consecutive quarter where total books have been more than £6bn."
Bridging completions, applications and loan books all continued to grow in Q3, according to the latest data from the Association of Short Term Lenders (ASTL).
The figures, compiled by auditors from data provided by members of the ASTL, show that bridging completions were just over £1.4bn in Q3, representing an increase of 15.9% on Q2. This means that completions have now been more than £1bn for six consecutive quarters.
Bridging applications continued to rise, reaching £7.9bn, which is an increase of 5.4% on Q2. The size of loan books also rose again, growing by 1.5% to reach a new high of more than £6.1bn.
Vic Jannels, CEO of the ASTL, said: “The latest ASTL Data Survey shows another very strong set of results, with continuing growth in bridging applications, completions and loan books. In fact, even amidst economic uncertainty, the value of loan books reached a record level of just over £6.1bn and this is the second consecutive quarter where total books have been more than £6bn. At the same time, the average LTV remains less than 60%, which indicates that lending continues to be robust and responsible. The market is demonstrating its resilience and ability to serve a wide variety of customers with flexible short term lending solutions.
“However, there are clearly economic challenges ahead and so it’s important that lenders continue to take a cautious approach to underwriting. At the ASTL, we are helping the market to achieve this sustainable growth. Not only do our members commit to behaving in line with our strict Code of Conduct, but we are also working together with our colleagues at the Financial Intermediary & Broker Association (FIBA) and the London Institute of Banking & Finance (LIBF) to deliver the Certified Practitioner in Specialist Property Finance (CPSP) optional e-learning programme, which will cover different areas of specialist finance, including bridging and commercial loans, buy to let mortgages and development finance.”
