New loans by bridging firms reached more than £1bn in the second quarter, up by 11.8 per cent on the previous three months and by 4.1 per cent on the same time last year, according to the Association of Short-Term Lenders.
The trade body says that total outstanding loans broke a new record, climbing by 14.4 per cent year on year to £4.62bn in Q2 2019.
The total value of applications over 12 months also hit the highest level to date at £22.13bn in the year to the end of June — an increase of 9.7 per cent on the previous year.
The value of bridging applications in Q2 was 5.3 per cent higher than a year earlier, but 4 per cent down on Q1 at £5.69bn.
ASTL chief executive Benson Hersch says: “The second quarter of this year has delivered some very strong results for bridging lending, with record values both for applications over a 12-month period and total outstanding loan books.
“In fact, nearly all measures were higher than last quarter and the same period in 2018.
“The wider political and economic environment remains uncertain and the challenge for the industry now is to continue this level of activity whilst maintaining high standards of underwriting and customer focus.”