"We're seeing a shift in the use of a second charge, with the number of home improvement loans starting to fall slightly, potentially linked to the rising cost of living and materials."
Figures reported directly to Loans Warehouse from second charge lenders show that lending dropped by 5.03% compared to May, but is up by 37.41% on June 2021.
The annual growth continues to surpass all records since the financial crisis, as Q2 reports the highest quarter lending since 2007, up 7.25% on an already record-breaking Q1 and £840.2m lent year to date.
Elsewhere in second charge lending, Oplo introduced the industry's first green second charge discounted mortgage product, as it begins its migration across to Tandem Bank Group, whilst also increasing its maximum loan from £100,000 to £250,000.
Spring Finance secured funding from NatWest as well as relaunching its range with an interest only buy-to-let product.
In addition, Selina Finance revamped its residential range with enhancements for self-employed applicants as they ramp up lending leading into Q3.
Matt Tristram, managing director of Loans Warehouse, commented: "We're seeing a shift in the use of a second charge, with the number of home improvement loans starting to fall slightly, potentially linked to the rising cost of living and materials.
"Completion times are up slightly in June, but May saw a big decrease from previous months, so this wasn't unexpected."
To see the full report, visit https://www.project-insights.co.uk/securedloanindex/june-2022.
