Once again, we can say that 2022 was unprecedented. We have seen changes in the market for property investors. Here are some of our key notes from last year.
– A challenging property investment market: The landscape changed significantly for property investors in 2022. Following on the heels of the global COVID-19 pandemic, it represents a further strain on some property investors’ business models. The rising interest rates, the war in Ukraine and the cost of living crisis have combined to make it more difficult for investors to make the profits they are used to. Many investors will need to adapt their business models and adjust their plans going forwards.
– A move to multi-let properties: In a bid to spread risk and secure stable income, we have seen a growing shift in the market to favor multi-unit lets rather than single-AST properties. This environment favours more experienced landlords and those with property portfolios.
– £110 million brokered through CPC Finance: Despite the pandemic, in 2021, we were pleased to hit our highest-ever lending amount of £110m via our panel of lenders. In 2022, we were delighted to have hit this target a month earlier, showing that despite ongoing changes there is a robust lending environment for landlords.
We are looking forward to 2023. Our lenders still want to lend to suitable investors and as interest rates level out, we anticipate having more certainty about the market.