Bridgebank Award for Harvey Bowes

Bridgebank Capital bridginging loan award to harvey bowes

Bridgebank Capital, a principle bridging finance lender awarded Howard Bowes of Harvey Bowes Limited their deal of the month award. Bridgebanks panel consider the dynamics of the proposal and the way in which is packaged in addition to the financial aspects of the deal.

“We are delighted to be recognised by Bridgebank in this way and have another accolade for the Harvey Bowes cabinet. The team here work hard to deliver high quality propositions to lenders.” Acknowledged Howard Bowes, Managing Director of Harvey Bowes Limited.

There has been a significant rise in demand for bridging finance, with mainstream lenders demonstrating they do not have the appetite to lend unless the property is ready to live in. Although some lenders, such as Paragon have launched light refurbishment products, there is still a large sector of the market fed by the innovative and flexible approach offered by many of the Bridging Finance Companies operating the in UK. In the past few months, Harvey Bowes has seen an increase in bridging finance deals, with the top 3 lenders by number of submissions being Bridgebank Capital, Heritage Commercial Finance and Auction Finance which is a division of Blemain.

To find out more about how Harvey Bowes can help you with your Bridging Finance proposal, contact one of the team today on 029 2067 6716


RICS report continued house price rises

Chartered surveyors’ expectations for future house price growth were at their highest level in over 14 years during November, according to the Royal Institution of Chartered Surveyors.

RICS says 59 per cent more surveyors predict prices to continue upwards rather than fall back over the coming three months – the highest reading since September 1999.

In recent times we have witnessed increases some areas, particularly London, however many regions remained flat. However, these recent reports show that each region of the UK saw price rises for the second successive month, a sign that the regional markets are responding to Government incentives such as Funding for Lending and the Help to Buy scheme, according to RICS.

During the three months to November, the average number of homes sold per surveyor hit 20.6, a significant improvement on the same period last year when respondents were selling just 15.9. A record 76 per cent of surveyors expect sales to increase in the New Year.


Bridging Finance – 40% increase in lending year on year

Bridging LoansThe Association of Short Term Lenders (ASTL) has reported a large increase in both the numbers of loans approved and the total amount lent. ASTL members lent £390 million worth of loans in the last quarter, an increase from £292 million in the previous quarter. Short term finance continues to grow for a number of reasons, most noticeable to Harvey Bowes is the continued need for flexible and short term lending to property investors. This is because confidence is returning to the market and investors are looking at innovative ways to make planning gains or undertake refurbishments and title splits. Meanwhile the main stream lenders, although increasing lending volumes, demonstrate no appetite for the funding needs of these investors.

At Harvey Bowes, we have experienced a three fold increase in the amount of Bridging Loans placed with the Bridging Lenders along with seeing greater competition between the main players, which in turn has lead to more competitive deals being negotiated. “Our most recent bridging finance deals have been placed with Bridgebank Capital, Heritage, Precise and Auction Finance” comments Howard Bowes, Managing Director of Harvey Bowes Limited. He continues “we have seen an increase in demand, but also a willingness to meet this demand from the Bridging Lenders. From relatively simple Bridging requirements, such as refurbishment deals, right through to complicated title-splits and unusual property types, Bridging Lenders are offering funding to wide range of proposals and the rates being offered are becoming more competitive. What the Lender wants to see is a robust plan to exit the loan – provided the proposal has a clear exit route and offers reasonable security there are excellent solutions out there. It is down to using the right broker to secure those deals. While bridging is increasing in demand, it is not something every mortgage or finance broker is fully conversant with. At Harvey Bowes, the team is totally confident in what we can deliver. The right proposal, written in the right way will help to negotiate the most favourable terms.”

To find out more how the team at Harvey Bowes can help with your bridging requirements, contact us today on 029 2067 6716


House prices continue to rise #landlords

new build on the increaseHouse prices in the three months to November were up 7.7 per cent year-on-year, according to the latest house price index from Halifax.

The average price of a home in the UK hit £174,910 in November, after prices increased 1.1 per cent between October and November.

Prices have now risen for 10 consecutive months, although the average price is still 12 per cent below the August 2007 peak.

This is a good sign that the economy is showing evidence of recovery. There is no doubt that schemes such as New Buy, Funding for Lending and Help to Buy have played a part in this market progression, however, with the amount of new-build properties being on the increase, the dynamics driving demand may change in the coming months. The Bank of England have also announced the withdrawal of Funding for Lending (FLS) at the end of the year and some industry professionals have indicated that they expect this to result in an increase in the ‘deal’ rates offered by lenders for new mortgages.

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