BDLA data confirms continued growth in bridging and development lending
Bridging loan books reached record levels in the second quarter of 2024, climbing to nearly £8.4 billion, according to the Bridging & Development Lenders Association (BDLA).
Data from the BDLA, audited and compiled from its members, revealed that bridging completions hit £1.74 billion in Q2, a 15.4% increase from the first quarter. This growth contributed to a 2.9% rise in the total loan book size, which increased from £8.1 billion to just under £8.4 billion.
Despite a 9.9% decline in applications compared to the previous quarter, the total value of applications remained substantial at £10.2 billion.
Included in the Q2 bridging completions were £108.2 million in development loans. Members of the BDLA – formerly the ASTL – also reported £335.5 million in non-bridging development loans, bringing the total development lending for the quarter to £443.7 million, a slight decrease from £445.1 million in Q1.
“The latest lending data from members of the BDLA shows record completions and overall loan book values in the second quarter of 2024, providing further evidence of the continued growth of the bridging and development lending sector,” said Vic Jannels (pictured), chief executive of the Bridging & Development Lenders Association.
“Despite the challenges faced in the broader economic landscape, the significant increase in bridging completions, ongoing growth in loan books and the sustained demand for development loans highlight the vital role our members play in driving property market activity. The future for our sector looks incredibly positive as the continued success of the Certified Practitioner in Specialist Property Finance (CPSP) demonstrates a growing number of professionals who are committed to demonstrating their expertise through this accreditation.
“The more we can build on this momentum, the greater awareness we can bring to the versatile benefits of short-term property lending and the more opportunities we can deliver to intermediaries to help their clients finance their property objectives.”
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