At MT Finance we care passionately about the service our clients receive. Whether they apply directly to us or through a broker, we believe they should always be treated fairly and with respect. While there are multiple factors that make up good service, a large part is ensuring that the professionals they deal with are experts in their field and can guide borrowers through the loan process while presenting them with relevant and up to date information.
This is why we’re so pleased to have supported the Financial Intermediary and Broker Association (FIBA) and the Association of Short Term Lenders (ASTL) in the creation of a new qualification; LIBF Level 3 Certified Practitioner in Specialist Property Finance (CPSP). Designed to raise standards and awareness across the sector, CPSP will both consolidate and increase the individual’s specialist lending skills and knowledge, allowing for smoother processes with their industry counterparts. The course will cover a variety of different areas including bridging loans, commercial mortgages, buy-to-let mortgages, lending structures and regulations.
The rise in regulated transactions
In our opinion this recent qualification has come at the perfect time as bridging continues to grow in popularity and scope. Using recent Bridging Trends data as a marker, there are definite signs that borrowers are becoming increasingly savvy about the potential of bridging finance. Once seen as a tool primarily for landlords and investors, homeowners are becoming more and more aware of how a bridging loan can enable them to prevent a chain break, purchase a property quickly or unlock equity from their main residence. In fact, regulated bridging loans accounted for 46.2% of those transacted by Bridging Trends contributors in Q1 2023, up from 43.8% in Q4 2022. This rise was likely due to homeowners wanting to avoid post-mini-Budget disruption and take advantage of bridging’s rates and flexibility. However, it is worth noting that a regulated bridging loan can only be applied for via a broker.
Bridging Trends data also revealed that a record-breaking £278.8million of bridging loans was transacted by contributors in Q1, up from £166.3million in Q4 2020. With such a jump in lending, it feels more imperative than ever that borrowers are getting the support they need. This is where CPSP comes in.
Guiding landlords and investors
CPSP will also help brokers to offer guidance to landlords and investors who are looking for an unregulated bridging loan. While the Office for National Statistics recently reported that inflation fell to 7.9% in June, we remain in a high interest rate environment with the base rate expected to continue to rise throughout 2023. This makes a bridging loan an attractive proposition for clients who are either considering purchasing an investment property or are looking to unlock equity but are reluctant to commit to high interest rates. At MT Finance, some things are for certain – we don’t charge any exit fees or early repayment charges which gives borrowers increased flexibility to exit onto longer-term finance when rates are more favourable.
Find out more
More details about the CPSP can be found here, including how to register for the qualification.
If you’d like to find out more about our bridging loans, regulated bridging loans or buy-to-let mortgages then we’d love to hear from you. We can be contacted online, via email or on 0203 051 2331.