The specialist provider of short term bridging finance also reveals it has achieved almost £120m of redemptions to date, reflecting the ongoing health of the short-term finance sector.
This comes as welcome news for the finance market, showing a strong level of demand for short-term finance products underpinned with viable and well thought through exit strategies.
The current state of the market means that many property investors faced with a lack of high street options, are re-evaluating their financial strategies and recognising a bridging loan makes real sense. This is allowing them valuable breathing space before more mainstream lending can be put in place.
This announcement follows West One Loans’ latest edition of their quarterly Bridging Index, where it revealed the bridging finance sector enjoyed continued growth during the third quarter of 2012 dispelling concerns about a slowdown from earlier in the year, with the forecast of hitting the £1.5b mark by the end of 2012 a real prospect.
Duncan Kreeger, Chairman of West One Loans comments:
“The bridging market has evolved significantly due to the limited options available on the high street and the fact we have almost reached £120M of redemptions, with 28 loans redeemed in October alone, reflects things are starting to move in the right direction for borrowers with a well thought out exit plan.
“It's really encouraging to see such a significant increase in the numbers of cases where a bridging loan continues to provide affordable options to investors looking to grow their property portfolios.”
“The industry is in excellent shape and with more and more borrowers actively seeking out alternative funding providers to fill the void left by the mainstream banks; it is evident that bridging finance is now being viewed as an integral part of the lending mix.”
