The second charge sector saw a strong start to 2018 with an 8% increase in lending value and 13% uplift in transaction numbers.
According to data from the Finance and Leasing Association (FLA) £76m of new business was completed through 1,645 transactions.
The results continue the pattern of growth seen in the market last year, although it tailed off somewhat in the fourth quarter.
Finance and Leasing Association head of consumer and mortgage finance Fiona Hoyle said: “The second charge mortgage market reported growth in January, with new business up 8% by value and 13% by volume compared with the same period in 2017.”
She also acknowledged the regulator had targeted the sector to improve its lending practices with a workshop and a Dear CEO letter.
“The sector is continuing its work in ensuring that the new regulatory regime is fully implemented,” she added.
Owain Thomas is Features and Contributing Editor at Mortgage Solutions. He has previously covered the protection and mortgage industry, more recently he edited Workplace Savings and Benefits, and HRD Connect.
Owain won the Financial Healthcare Journalist of the Year (B2B) at the Headline Money Awards in 2014 and 2016. He also won the Protection Review's Journalist of the Year award in 2012.