Throughout the Covid period, Mutual Finance has been active in arranging finance across all real estate sectors, completing £962m of new business during 2020.
In my opinion, financing assets will become more difficult, more expensive and more selective.
Margins will be increased, loan-to-value ratios will reduce and certain sectors such as retail, leisure and hospitality will become exceptionally difficult to find suitors for. That being said, there is no shortage of liquidity in the lending market, and we are finding more
and more new-to-market lenders, while the existing spread of banks, insurance companies, platforms and family offices are all willing to lend, albeit on slightly reduced and more cautious terms.