CML Spokesman Backs Bridging Loans
The Council of Mortgage Lenders is an organisation whose members include banks, building societies and other lenders.
Taking into account all members of the CML they are responsible for almost 99% of lending to consumers in the UK. Bridging loans are often thought of as an expensive form of property development finance and only to be used in extreme circumstances.
The CML spoksman said that as long as there is a clear exit path that consumer have in mind to ensure that the internet payments they make are not excessive then bridging can be extremely useful. There are many occasions where to secure the property needed and when speed is of the escence bridging is the only realistic option available.
The volume of bridging loans is set to grow through 2008 as more land become available for development and as more and more properties become available via the auction route.