The Intermediary – May 2025 - Flipbook - Page 53
SPECIALIST FINANCE
Opinion
scratch or risk facing penalties under
new MEES rules. With the clock
ticking, advisers may see an uptick
in commercial borrowers needing
finance to upgrade their stock.
new agreements in total, an 18% rise
compared to the previous year.
The consistent rise in both value and
volume highlights steady borrower
demand. With debt consolidation,
home improvements and capital
raising for tax or investment purposes
being the key drivers.
Across the [specialist]
sectors, demand remains
evident as a growing
number of borrowers
look for alternative
funding options”
Bridging loan searches rose by
44.2% in Q1 2025.
BTL changes loom
March saw record levels of buy-tolet (BTL) mortgage search activity.
According to Twenty7tec, 18th March
2025 saw the platform log its busiest
ever day for BTL searches.
This surge was part of one of
the busiest weeks ever recorded,
as landlords rushed to act ahead of
key regulatory changes.
These include the upcoming
Renters’ Rights Bill – set to end fixedterm tenancies and scrap Section 21 ‘no
fault’ evictions, and changes to Stamp
Duty thresholds.
Across the bridging, development
finance, commercial, second charge
and BTL sectors, demand remains
evident as a growing number of
JAN
Commercial mortgage volumes
rose by 23.8% in Q1 2025.
DEC
Moving onto the second charge
lending arena, the latest Finance &
Leasing Association (FLA) figures
revealed robust growth in both the
value and volume of second charge
agreements in the UK, with doubledigit year-on-year increases recorded
across the board.
In February alone, the value of
new business reached £156m, up 20%
compared to the same month last year.
Over the three months to February
2025, the total value rose to £431m,
marking a 27% year-on-year increase.
For the 12-month period to February
2025, the value of new business
stood at £1.78bn, up 26% from the
previous year.
The number of new agreements
also showed solid growth. In February
2025, 3,071 new agreements were
recorded, an increase of 9% year-onyear. Over the latest three-month
period, the number rose to 8,483
agreements, up 16%. For the 12
months to February, there were 36,519
NOV
Seconds climbing
Over the three months to
February 2025, the total value
of second charge loans rose to
£431m, marking a 27% year-onyear increase.
borrowers look for alternative
funding options.
With economic uncertainty and
regulatory change still shaping
the landscape, specialist lenders,
intermediaries and trusted specialist
packaging partners will all continue to
play a key role in helping borrowers to
secure the right solutions quickly and
with confidence. ●
May 2025 | The Intermediary
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