Glenhawk has launched its first regulated bridging product.
According to the firm, it has entered the regulated bridging market as a result of increasing borrower demand.
Key features of the product include a maximum loan size of £1.5m, a 12-month term, and an interest rate set at 0.55% per month, and no administration or exit fees.
According to August’s Bridging Trends report from MT Finance, regulated bridging lending reached a record high in Q2, representing 55.6% of the bridging marker, up from 37.5% in the same quarter in 2019; this also represented the first time regulated bridging lending had outperformed unregulated transactions.
Guy Harrington, chief executive of Glenhawk, said: “Having experienced an exponential growth in enquires for a regulated product, this launch is the culmination of nearly 18 months of hard work, which started with FCA regulation, and is a significant milestone for the business.
“The UK homeowner loan market has been one of the more resilient since the outbreak of COVID-19, underpinned by government stimulus and changing consumer trends.
“It is also hugely underserved and we are confident our market-differentiating ethos of fairness and transparency will be particularly appealing.
“We expect strong demand due to the simple nature of the product, and with the support of J.P. Morgan look forward to scaling our regulated bridging book before launching other revolutionising products.”
Nick Hilton, director of lending, at Glenhawk, added: “The regulated bridging market is ripe for disruption and we believe we have the team in place to replicate the success we have enjoyed in the unregulated space, whilst remaining highly disciplined in our underwriting processes.”