Secured lending 43pc up on this time last year

November’s figures show the industry has already lent more in Q4 of 2013 than the whole of Q4 2012.

Matt Tristram, co-Founder & Director of Loans Warehouse & Clearly Loans, said: “In a month that, when compared to recent had very little change, there were still lots of positives for the industry to reflect on.

“The start of December saw Precise Mortgages roll out its secured loan product range to a select panel of secured loan specialists, targeting brokers who have strong relationships with the UK mortgage networks.

The lender came to market with a secured loan product range that challenged more established players.

“The headlines are now well documented with loans from £10,000 to £1,000,000 up to 85% LTV and rates from 5.45%. As full details of the product range have now been released, along with one of the most comprehensive online system of any lender, we can reveal some of the more interesting features of the product range including no restrictions for lower value properties; flats up to 15 stories; AVMs accepted on loans up to £100,000; minimum lease of 30 years at the end of the loan term and loans for business purposes and tax bills are accepted.”

Tristram said: “With the most anticipated lender of the year now launched, brokers may be thinking the next few months would be a period of consolidation, but not at all.

“Last week news leaked out that both United Trust Bank and Aldermore are looking to enter the second charge mortgage market next year.

“Harley Kagan, managing director of United Trust Bank, told press:

“We continually explore options for extending the range of products suitable for the intermediary market and one of those is the potential to offer second charge loans. It is a service which would complement our existing product range.”

“Whilst Aldermore made an even stronger statement of intent, confirming that they intend to launch their secured loan range for prime residential borrowers in quarter two next year alongside its bridging range in a bid to develop a “full” banking proposition.

Predictions for 2014

Tristram said the next year is probably going to be looked back on as the biggest year in the history of secured loans.

He added: “With FCA regulation from 1st April there will undoubtedly be some challenges but the general feeling is that it is an extremely positive move for the industry; with at least four new major lenders stating their intention to launch, along with current lenders making their intentions clear that they have aspirations to grow their lending volumes, the key word of 2014 will be awareness!

“Awareness from networks and clubs that there is another FCA regulated form of lending available to utilise instead of a further advance and awareness by consumers that a secured loan, more than ever before, is a real, fit for purpose alternative, no matter what their credit profile.”