Second charge mortgage volumes grow 36% in April, finds FLA

Second charge mortgage new business volumes grew by 36% in April 2024, the Finance & Leasing Association (FLA) has revealed.

The total value of new business throughout the month stood at £138m, marking a 40% increase on the previous year.

The number of new agreements was recorded at 2,967, a 36% increase when compared to April 2023.

Fiona Hoyle, director of consumer and mortgage finance and inclusion at the FLA, said: “The second charge mortgage market has seen new business grow in each month of 2024 so far after a subdued performance throughout much of 2023. 

“In the 12 months to April 2024, new business by both value and volume remained 3% lower than in the same period in 2023.

“The distribution of new business by purpose of loan in April 2024 showed that the proportion of new agreements which were for the consolidation of existing loans was 58.0%; for home improvements and the consolidation of existing loans was 23.9% and for home improvements only was 13.1%.

“As always, customers who are concerned about meeting payments should speak to their lender as soon as possible to find a solution.”