More than a quarter, or 26%, of brokers believe the bridging market is best positioned to benefit from the booming property market, according to a poll by Shawbrook Bank.

The semi-commercial market was the second most area favoured by brokers, with 24% of them forecasting strong growth, followed in third place by the buy-to-Let market at 23%.

Shawbrook Bank’s July Broker Barometer questioned 187 brokers last month.

It found that 67% of advisors have seen an increase in business volumes since the start of the year with half reporting a 20% increase or more in current business levels. 

The data pointed out that 71% of brokers expect to see landlords increase the number of properties in their portfolios this year, “indicating a real confidence in the market”.

House prices rose 8.9% in the year to April, according to the latest figures from the Office for National Statistics, lifting the average house price in the UK to £256,000. 

Shawbrook Bank data found that 74% of commercial brokers said in June they were “confident about the prospect of business growth until the end of the year”, this compares with 60% of advisors who said this at the end of 2020.

It added that 44% of brokers noticed “a shift in investor’s buying patterns” for residential properties in the first half of the year, with 42% pointing out that a drive for “stronger rental yields” was behind this growth.

The housing market was kick-started last July, when chancellor Rishi Sunak launched the stamp duty holiday, which waived tax on properties valued up to £500,000.

This came after house sales almost ground to a halt following the first March lockdown sparked by the pandemic.

Earlier this month, the nil-rate threshold will be reduced from £500,000 to £250,000 until the end of September.

From 1 October, the threshold will return to £125,000 – or £300,000 for first-time buyers purchasing a property worth up to £500,000.

Shawbrook Bank head of sales Gavin Seaholme says: “In what could have been a really difficult period for the market, a sense of urgency from buyers and sellers has instead created a perfect storm of increased activity levels and higher property values. 

“Even as the stamp duty holiday has come to a close, our research highlights a continued confidence and commitment to the market from landlords and investors. 

“Those in a position to diversify or expand their portfolios are not shying away from current opportunities.

Seaholme adds: “In recent years the bridging market has evolved significantly, now viewed as an effective financial solution for the longer term. 

“Bridging allows investors to access capital at a much faster rate than through more traditional finance options. 

“The popularity and opportunity for growth in this area shows no signs of slowing down, even as we enter a quieter period for the market. 

“For brokers, it’s important that they are making clients aware of all possible finance options that work for them both in the short and long-term.”