Bank lending to smaller property investors drops 14%

Original Article Summary

Bank lending to small and medium-sized property firms has declined 14% over the past five years, falling from £216 billion to £186 billion, according to new research. Meanwhile, lending to large property investment businesses rose 20% to £375 billion during the same period. The post Bank lending to smaller property investors drops 14% appeared first on PropertyWire.

Investor Analysis

Bank lending to smaller property investors has fallen 14% in five years while large investor lending rose 20%, signalling a structural tightening of mainstream credit for SME investors. The specialist and bridging mortgage market is projected to fill the gap, growing 68% by 2029.

Investor Relevance

This directly affects how smaller landlords and developers finance acquisitions and refinancings. Awareness of the shift to specialist lenders — and the opportunity presented by discounted BTL assets — is essential for maintaining deal flow and managing financing cost assumptions.

Original Source:

PropertyWire
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