Bridging finance lender United Trust Bank has launched an online system that produces offers and decisions in principle for residential bridging loans.
The system speeds up the online application process as well as providing brokers with Key Facts Illustrations and other documentation, along with decisions in principle, within minutes.
It also allows funds to be released within 10 working days of an application being made.
The bank says that its portal is aimed at the increasing number of mortgage brokers and IFAs seeking residential short-term bridging loans for their clients.
Roger Tidyman, managing director of United Trust Bank, says: “The bridging loan market moves quickly and brokers need fast, reliable decisions and cost-effective solutions so as not to let their customers down or lose them to other intermediaries.
“Given that the bridging loan market is estimated to be worth 2.5bn and growing at about 25% a year, there are significant opportunities for brokers to gain business.”
He adds: “While there are plenty of lenders in the market, not all specialise in residential property so decisions take longer, as underlying security has to be assessed closely. UTB’s extensive experience in the residential market sets us apart and the portal we have launched addresses this significant gap in the market.”
Andy Young, managing director of The Business Mortgage Company says the online system is a good idea. But he adds that it cannot be known how effective it will be until it is up and running.
He says: “I think this is a good idea and anything that can speed up the application process for residential bridging loans will be welcome.
“It will be interesting to see it in operation so we can judge how efficient it is.”