Borro sees loan applications surge
Borro has seen a 661% rise in property related loan applications from customers using personal assets to raise cash quickly.
One in seven enquires to the business now relate to a property issue, Borro said.
The company expected this to rise by around 40% in the next 12 months.
The main property related reasons for consumers approaching Borro were to fund property developments and redecoration, covering the costs of owning a rental/second property while unoccupied/before sale, and bridging purposes.
Paul Aitken, chief executive officer and founder of Borro, said: “The rise in property related applications in the last year suggests that some people out there are finding it hard to secure loans in this area from traditional sources of finance such as the banks.
“Others may be finding that the slow property market is working against them.
“They need a solution over a short period and many are turning to their existing assets to help with that.
“For example one of our customers borrowed £6,000 against valuable jewellery and a watch collection to cover the costs of a property that she was struggling to sell after development.
“Another took out a £21,000 loan against a boat for work on a listed building.”
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