According to research from Black & White Bridging, 37% of brokers were positive about the market’s sector over the next year, while 35% were more upbeat and said they were ‘very positive’.
Altogether, 72% of those polled were optimistic about short-term lending.
Just 7% of respondents were negative about the growth of short-term lending, but none said they were ‘very negative’. The remaining 14% said they felt neutral about the market’s future.
When asked if they expected to see a rise in demand for bridging loans over the next 12 months, 74% of brokers said they did. Some 24% predicted there would be no change in business volumes and only 2% expected to see a drop in demand.
Black & White Bridging’s survey also found that brokers expected to see 16% more deals this year than they did last year, and 14% believed demand would rise by more than 20%.
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Demand driven by refurbishment
A rise in demand for bridging finance could be driven by refurbishments, brokers said, with 33% expected this to drive activity. A further 21% said commercial products would be more in demand, followed by 19% who cited development exit or residential products.
Some 7% of respondents said auction products would have the most demand in the future.
Damien Druce, chief operating officer of Black & White Bridging, said: “The overwhelming optimism of brokers highlights not only the resilience of the short-term lending market but also its potential.
“With 74% of brokers anticipating a rise in bridging loan demand – and refurbishment products leading the charge – it’s clear brokers see significant opportunities ahead. We’re committed to supporting this growth with innovative products and tailored solutions to meet the diverse needs of borrowers in 2025 and beyond.”
A positive market
The survey suggested the positivity among brokers was due to already strong business levels.
More than half of the respondents – 53% – said enquiries were higher than last year. A third reported no change in enquiry levels and 14% said there had been a decline.
Overall, brokers said they had seen bridging enquiries increase by 19% over the last year.
Druce said: “Current robust business volumes confirm the market is thriving and suggest these forecasts are not pie-in-the-sky stuff.
“The surge in current trading – with 53% of brokers reporting higher enquiries over the course of the last 12 months and, overall, a 19% rise in bridging loan volumes over the past year – offers a solid bedrock for optimism about the future. Brokers have every reason to be confident in the opportunities ahead.”
A desire for transparency in criteria
When asked what was important when choosing a bridging lender, the most common response from brokers was “transparency and certainty of outcome”, as stated by 58% of those polled.
This was closely followed by the 56% who sought “direct access to lending managers and underwriters”, while 53% said speed was a key factor.
Some 44% said an efficient process was key, 37% said the strength of the relationship they had with a provider and 30% said reputation.
