Take a look at the latest infographic to discover the general trends that shaped the UK bridging finance market during Q1 2025.
Key Points:
Faster completion times – historic best performance ever recorded
Gross contributor lending remains stable in Q1 2025
Investment purchase was the most popular use of bridging loans
Demand for first charge bridging loans increased in Q1 2025
Director’s comments
Raphael Benggio, Head of Lending – Bridging Finance at MT Finance comments:“The Bridging Trends Q1 2025 data shows remarkable market stability. The uptick in investment purchases, from 13% to 23%, suggests a strong link to stamp duty considerations, demonstrating borrowers’ keen awareness of these opportunities. The resultant decrease in completion time, where a surge in activity could have potentially strained processing times, represents the sector’s enhanced efficiency, showing how quickly lenders can support the market. We expect continued sector stability and favourable market conditions throughout 2025.”
Benjamin Peace, Bridging & Development Finance Specialist at Brightstar Financial comments:
“Bridging finance continued to evolve in Q1 2025, setting a new benchmark for speed and responsiveness. Despite an increase in applications, average completion times dropped by a full week – from 39 to 32 days – the fastest since Bridging Trends began tracking the data in 2015. This progress reflects sharper underwriting, greater lender agility, and a broader shift toward a more efficient, borrower-focused market.”
Shane Chawatama, Sales Director at Knowledge Bank comments:
“The significant rise in interest for ‘lend against land property’ climbing to 7th in Q1 2025 from 22nd in Q4 2024, alongside development bridging entering the top 10, suggests increasing appetite for early-stage and land-based development. Similarly, interest in ‘new build flats/apartments’ surged upwards, jumping to 38th from 99th. With the race towards the stamp duty Q1 deadline, this may point to brokers fast-tracking certain cases to capitalize on potential savings, which highlights the versatility of the bridging market.”