The second charge mortgage market went from strength to strength, took a tumble during the pandemic, has recovered well and is set for further growth in 2022.
According to the latest figures from Loans Warehouse, second charge lending in December was pegged at £118m, which is up 76 per cent on the same period last year. The report added that Q4 last year had the highest for the quarter on record since 2008.
It continued that overall, second charge lending in 2021 came to £1.18bn, which is the first time it has passed the £1bn mark since 2019.
Brokers and lenders have said that the second charge market is set for further growth this year, pointing to an increase in the cost of living and working from home encouraging people to make property improvements.
Other factors that could fuel second charge mortgage growth include a high number of mortgage products expiring this year, growing popularity of long-term fixed rates and changes in borrowers’ circumstances.
This week in the Mortgage Solutions’ poll we want to know whether brokers are preparing to sell more second charge mortgage loans to customers to fill the the affordability gap.
Brokers: Are you ready to sell more second charge loans direct to close any remo affordability gap?
Anna is currently the deputy editor for Mortgage Solutions and editor for Specialist Lending Solutions. She has worked as a journalist since 2019, having secured her Gold Standard NCTJ diploma from News Associates in a fast-track six-month course.
She started her career as a report at specialist publication The Insurance Insider covering a wide range of areas before joining Mortgage Solutions and Specialist Lending Solutions in 2021.
In her role, she helps put together and structure the news agenda for the day and writes up press releases, reports, interviews, analyses and exclusives across both titles. She also commissions blogs for Specialist Lending Solutions and hosts online masterclasses and in-person events across the business.
She has been shortlisted for three journalism awards, which include BIBA Journalist and Media Awards Scoop of Year Award in 2020, Headline Money Mortgage Journalist of the Year Award (B2B) in 2022 and 2023.
Prior to being a journalist, Anna worked in ecommerce across Snow + Rock, Cycle Surgery and Runners Need websites, and before that worked at specialist financial PR firm Rostrum.
In her spare time, Anna enjoys reading, seeing live music, and cooking for friends and family. When she gets a chance, she also enjoys hiking, skiing and indoor rock climbing.
