ASTL's Q3 2023 report reveals a thriving bridging loan market. A 5.8% increase in loans written and a 2.0% expansion in loan books, a new record high. These figures exemplify the sector's robust growth and resilience.
ASTL have stated "Bridging lending has again outperformed the wider market, recording strong growth in Q3 of 2023. Member loan books have impressively exceeded £7bn for the second consecutive quarter, reaching new heights."
Despite a slight dip in conversion rates, as reported by B&C earlier this month, the market has shown remarkable stability. Conversion rates in Q3 2023 maintained a steady 14%, with a slight increase from Q2’s 14.12%. This stability, even in the face of economic challenges, is a testament to the market's adaptability and strength.
Industry leaders echoed these sentiment and noted the positive shift in investor sentiment. This was driven by the Bank of England's rate pause and increased demand from BTL landlords. They observed, “Activity levels are rising in alignment with ASTL data. The flexibility and adaptability of bridging products and specialist lenders have been invaluable in navigating the complex lending landscape.”
The increase in Bridging Loan applications and the importance of choosing the right deals, has led to strong conversion rates. Using experienced brokers leads to more suitable proposals and thus, lower decline and fallout rates.
We have noted a resurgence in market confidence, buoyed by steady interest rates and resilient property prices. Increased activity from bridging finance borrowers indicates a keen interest in capitalising on current market discounts.
Bridging Ventures Group leads in this thriving sector, showcasing its potential and resilience. Focused on growth, stability, and adaptability, the group offers unmatched opportunities to investors and borrowers. Committed to flexible, fast, and reliable financial solutions plays a pivotal role in the bridging finance industry's growth and success.
