Assetz Capital is working through “hundreds of millions of pounds” of loan applications, the peer-to-peer lender’s chief executive Stuart Law claims.
Law (pictured) said the housebuilding sector is being boosted by more demand for property and planning reforms, which should eventually push house prices down.
It comes as the Halifax house price index showed property values rose 9.5 per cent annually last month to a record high of £261,743 as buyers rushed to beat the stamp duty deadline before the end of June.
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Law predicted that house prices will continue to grow by up to 10 per cent for 2021 and 2022 but could stabilise once there is more supply.
“Strength of demand is reigniting the housebuilding sector, while confidence is growing on the back of proposed planning reforms, particularly amongst the small – and medium-sized enterprise (SME) housebuilding community which is uniquely placed to harness its local knowledge to build the housing stock required in the locations where it is most needed,” Law said.
“We’re currently receiving hundreds of millions of pounds worth of loan applications from housebuilders who are gearing up to capitalise on these market dynamics and take on the challenge of boosting our national housing supply to meet demand, which could ultimately be a stabiliser for pricing over the long-term.”