Second charge lending was up 7% between October and November 2021 as lending topped £137m, according to the latest data collected by Loans Warehouse.
Lending was up £13.4m on October as completions increased to 3,036 for the month.
On average loans were completed within 22.6 days – that however represented a 5.6 day delay when compared to the month before which was attributed to delays associated with the Land Registry backlog.
The majority of products were provided under 85% loan-to-value (LTV) at 83.35%.
Matt Tristram (pictured), managing director of Loans Warehouse, said: “The figures reported directly to Loans Warehouse from second charge lenders confirm lending totalled £137.8m in November 2021.
“This figure represents an 11.49% increase on the previous month, which itself was a post-credit crunch record.
“In fact, it’s accurate to say that second charge lending is witnessing its highest period of lending (Q4) since 2008.
“We can also confirm a year-on-year increase of 71.67% on figures recorded in November 2020’s Secured Loan Index.
“November also saw the number of loans written break the 3,000 barrier for the first time since 2008, with the 1,000 year-on-year increase proving to be another post-credit crunch record.
“Six lenders reported their best figures since the start of the pandemic in March 2020.
“As predicted last month, annual second charge lending has passed the £1bn mark for the first time since 2019 and now stands at £1.062bn.
“The average completion time increased slightly in December but considering the growth in the last two months, it’s widely considered that lenders’ service levels are being met and the increase is more reflective of delays caused by the Land Registry backlog.”
