Second Charge Lending
Second charge mortgage market value grows 17 per cent yearly
The second charge mortgage market grew by 17 per cent to £1.21bn during the 12 months to end of September 2019, compared to the year ending September 2018.
Data from the Finance & Leasing Association (FLA) showed that the yearly increase by volume of new second charge mortgage agreements was 20 per cent to 27,092.
Quarterly, the value of new agreements rose 15 per cent to £321m during the three months to end of September, as against the same quarter in 2018. Quarterly growth in number of agreements was 18 per cent to 7,354.
On a monthly basis, value was up 18 per cent to £105m in September 2019 compared to the same month 2018. Number of new agreements rose by 20 per cent to 2,355.
Fiona Hoyle (pictured), interim director general of the FLA, said: “The second charge mortgage market reported another month of double-digit growth, with the latest annual new business volumes reaching more than 27,000, a decade high.
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“Second charge mortgages are proving to be a popular product with consumers. While the market has returned a strong performance so far in 2019, new business volumes remain well below pre-crisis levels.”