Index Reveals Increase In Bridging Finance
It is interesting to hear that, according to the West One Loans Index, there has been a significant increase in the amount of bridging finance for the year to the 1st September 2014 in comparison to the same period last year.
According to the index, the amount lent in the former period was £2.23 billion with that being an increase of £0.4 billion when compared to the year ending 1st September 2013 when it stood at £1.83 billion.
There was some other interesting statistics revealed such as the fact that the average amount lent in the 12 months to 1st September 2014 was £497,000 compared to £429,000 for the 12 months to 1st September 2013. Interest rates for the former period were at an average of 1.17% pm – a slight drop on the same period last year when they were 1.25% pm.
This is indeed positive news for the bridging loan sector and let us hope that it continues going forward for the rest of 2014 and into 2015. Perhaps it is an indication that things are looking up in the market.
For anyone looking for a bridging loan, it is important that they shop around as they would likely do if they were seeking a residential or commercial mortgage. When doing so it is not just about trying to find the lender offering the lowest interest rate as there are other factors to consider such as the fees being charged. For instance, you need to take into account the likes of any legal and valuation fees as well as any administration fee and of course an arrangement fee. These will all affect the overall cost of the bridging finance.
In this respect, why not approach ourselves so that we can find you the best deal available from the extensive panel of lenders at our disposal.
We look forward to hearing from you.