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12 January 2018

Predictions for 2018

What can we expect to see from the bridging market in 2018?

Flexibility will be key this year. There is no room in the market for the ‘one size fits all’ approach. Lenders need to be flexible and treat every borrower in accordance with their individual needs. I can see many new opportunities arising this year.

The prospects for lenders from developers seeking finance will increase as the government moves on its plans to get the country building. The land that has been sitting waiting for development will have to built upon, which means developers may need funding sooner than they might have initially thought. Short term finance could come into its own to give developers room to move from one project to another.

What are your predictions for the bridging market in 2018?

We saw an increase in applications at the end of 2017 for loans for renovation and refurbishment. This is a trend that I can see continuing this year as more people, especially landlords, look to improve their current position and increase the value of their existing properties.

More and more borrowers are understanding the benefits of short-term funding; be it to bridge the mortgage gap and secure a dream home, finance a self-build, improve to an existing property or a fund a commercial project. When it comes to different specialist lenders funding lines will be the vital element that sorts the men from the boys. Those that have stable funding lines, and can turn loans around quickly, will be the ones that thrive in what should be an ever-increasing market.

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