Data from ASTL bridging lender members for the second quarter of 2018 are slightly down on the figures for Q4 2017 and Q1 2018, but annual completions continue to rise and are now £3.87 billion.
The value of loans written for the quarter ending 30 June 2018 revealed a decrease of 6.6% compared to the previous quarter. However, annual completions rose by 27.2% compared to the year ended 30 June 2017. In comparison to the same quarter last year, the value of loans written in the quarter has increased by 10.3%.
Total loan books are continuing to climb, with a rise of 13.1% compared to Q4 2017. Compared to the end of Q2 2017, the value of loan books has decreased slightly, but is still over £4.2 billion.
The pace of increases in applications reversed the large jump in Q1 and decreased by 2.9% (compared to an increase of 28.9% in Q4 2017) compared to Q1 2018. On an annualised basis applications are up by 16.3% on the year ended June 2017; making up a total of £20.2 billion.
The ASTL said that although applications do tend to be unreliable indicators and are dependent on how many lenders are offered the same deals, this trend shows how large the sector has become.
Benson Hersch (pictured), CEO of the ASTL said: “Although figures for Q2 2018 are down on the two previous quarters, they remain high. Our members continue to provide flexible and useful services to customers who require finance.
“The property market may be difficult at the moment, but responsible bridging lenders continue to prosper.”
