This article is an external press release originally published on the Landlord News website, which has now been migrated to the Just Landlords blog.
Over a third of property investors are not aware of sources of funding beyond high street lenders, reveals a survey by Shawbrook Bank.
Shawbrook has compiled a quarterly survey to understand commercial mortgage brokers, from the property investor market to popular product features.
Funding Options for Landlords
According to their latest study, brokers felt that their property investor clients are positive about the economic outlook, with 93% confident in the UK climate.
Despite this, brokers said that of their buy-to-let property investors, 32% were clueless of the specialist lenders out there, suggesting that they are uninformed of the wide range of funding options available to them, which will help them make the most of market conditions.
Brokers claim to be used as a last resort, after investors have been turned away by bigger banks, rather than an entrance to the whole lending market.
Brokers stated that just 20% of their property investor clients completely understand the worth of brokers in securing funding. One broker commented: “We tend to get involved when the high street route has been taken. We can when the banks can’t or won’t.”1
Director of Sales and Marketing of Commercial Mortgages at Shawbrook Bank, Karen Bennett, says: “Banking is changing. People are looking for more than the big banks’ impersonal tick-box approach and appreciate a close working relationship with their lender and financial adviser.
“Property investors need counsel from someone who really understands their sector, and brokers provide this level of expertise, as well as in-depth knowledge of the whole market. This includes specialist lenders like Shawbrook, which not only take a more tailored approach to funding, but have also proven our appetite to lend.
“We recently announces that we have lent £1bn in the UK, and are still growing,” she concludes.1
Em is the Content Marketing Manager for Just Landlords, with over five years of experience writing for insurance and property websites. Together with the knowledge and expertise of the Just Landlords underwriting team, Em aims to provide those in the property industry with helpful resources.
When she’s not at her computer researching and writing property and insurance guides, you’ll find her exploring the British countryside, searching for geocaches.
Just Landlords is a trading name of Arthur J. Gallagher Insurance Brokers Limited, which is authorised and regulated by the Financial Conduct Authority. Registered Office: Spectrum Building, 7th Floor, 55 Blythswood Street, Glasgow, G2 7AT. Registered in Scotland. Company Number: SC108909
Website by Ampology Digital