Bridging lender Hope Capital received a spike of enquiries in June, up a staggering 189% compared to the same month last year.
The surge — which the lender believes is fuelling growing optimism that the market is bouncing back — included enquiries from brokers that the business had never previously worked with.
Almost 90% of the new enquiries Hope got in June were for residential property, up from 50% in 2019.
The lender attributed the performance to the enhanced residential offering in its new custom collection product range, such as its mini, midi and maxi loans all aimed specifically at residential investors.
Almost half were for loans of less than £150,000, which was catered for by the mini product, which starts at £50,000.
“These figures are evidence that demand for short-term finance is strong, and growing,” said Jonathan Sealey, CEO of Hope Capital.
“With lockdown easing, there is a pent-up demand for borrowing as projects that were put on hold in spring are put back in motion.
“The strong demand we have seen also reflects the range of products we have made available to meet borrowers’ diverse needs in the post-lockdown world.
“Our new Hope Capital custom collection gives borrowers all the flexibility they need to cope with the new circumstances in which they find themselves as a result of Covid-19.”
The number of formal loan offers from the lender also increased by 20% compared to June 2019.
Hope stated that its application and underwriting were three times faster in Q2 than in Q1 2020.
In the first six months of this year, it saw a 14% increase in loans accepted by underwriting and a 31% rise in loans accepted by clients.
“Hope Capital is putting borrowers and brokers in control,” Jonathan added.
“Combined with our well-earned reputation for fast, flexible service, this should make Hope Capital their first port of call when looking for short-term finance.”
Source: Bridging & Commercial, July 02 2020.