Top ten Mortgage Lenders 2016The ten most important mortgage lenders 2016
Despite all kinds of lenders recording overall credit expansion, UK Finance said it was the specialised lenders and challengers who were leading with an almost 20 per cent rise in business activities. In comparison, there was no change in the top ten ranking of the chart, and although Lloyds' credit grew by seven per cent in 2016, the Nationwide Building Society, Royal Bank of Scotland and Santander recorded lower GDP credit than in 2016.
In spite of fiercer rivalry in the markets, where 65 lenders were on the board versus 60 last year, several lenders ranked 11-20 had risen. Paragon, the specialized creditor, rose from 21 to 19 percent with a 78 percent rise in credit, while Legal and General rose from 27 to 23 percent with a 67 percent rise in credit.
Specialists, providers of alternate financial services such as bridge credits and sophisticated purchase offerings as well as challengers are relatively new by definition and are therefore in a growing category that is more in the 21-30 class of the chart, which classifies them by their size. In 2017, lenders came in at 21-30, £3 billion more than in the prior year, with the highest increase in new business of 40 per cent. However, the increase in new business was also driven by the increase in the volume of new business.
UK Finance Callum Bilbe, an UK Finance researcher, said 2017 was a good year for the mortgage markets, with GDP growth still on the rise. The latest UK Finance estimates for 2018 are GBP 260 billion in terms of GDP, an improvement which the industry federation attributes to higher -than-expected foreign mortgage growth.
Legal & General Home Finance Chief Executive Officer Steve Ellis said it was interesting to see challenging financial institutions and specialized lenders continuing to win shares. "Our rise in the mortgage credit chart shows a significant change in attitude towards later borrowings in our lives and the use of home ownership to help us achieve a good pension.
"Loans in later life seem to be part of the broader mortgage broadsheet, and although we may not be there yet, we are getting close." As Danny Belton, director of lenders relations at the Legal & General Mortgage Club, said, while high-street lenders still predominate the top ranks, more and more lenders are beginning to move outside the classic "vanilla" form - and that's why specialized lenders and challengers are enjoying the greatest expansion.