Appetite for Investment deals- thin on ground

We have been monitoring carefully the lenders appetite for investment lending- for both residential and commercial. Now whilst many lenders say they are still interested ( with a focus on owner occupied businesses….) the reality is different and no sooner have you got used to one set of stress tests than it changes and of course never does the  stress test improve the ltv available.  Indeed its so difficult now to get any investment deals away – and lenders seem to be coming in at c 50% rather than the somewhat higher ltvs clients have been used to.

As a result most of the potential deals fall away. Current rent isn’t enough to support any higher level of debt and refinance is almost impossible given differences between new margins sought and fees etc and stress tests.

Will things get better? not in the short term.