With bankers being among the most loathed business professionals, Inside Housing has taken the trouble to hear their side of the story. It makes for some enlightening reading.
Their predictions for the future are revealed below. The penultimate point is the most interesting, for it’s perfectly in line with our research that there’s money available for residential property investment. And Buy To Help is the perfect vehicle.
Here are the bankers’ predictions…
- Most banks will lend on a shorter five to 10-year basis rather than 25 to 30 year
- Debt costs will increase, but despite the increased risk brought about by the affordable rent regime, social landlords are still considered especially creditworthy and can expect to receive preferential treatment relative to most other sectors
- There will be more consolidation between associations over the next year because grant will be focused on larger organisations
- The sector will polarise in terms of commercial aspirations
- However, creditworthiness will be more heavily scrutinised
- Bonds to be preferred over loans for long-term funding
- Institutional appetite could lead to equity investment in the housing sector this year
- New players will enter the lending market
Here is the full article… Inside Housing: Meet the Bankers »