Commercial Mortgage Lending Is On The Rise In 2011! Thank God!
The past two years have been some of the toughest times for small businesses in living memory, and one of the most damaging aspects of the current financial climate for businesses is the scarcity of credit from the banks.
In 2008, the market crashed and one market that was hit the hardest was the property market. Many businesses defaulted on loans as they were unable to keep up their repayments, and this left banks uneasy about lending for commercial property as well as residential property. But it would appear their faith is returning and lending is back on the rise for commercial property.
The Bank of England released figures that showed that lenders had increased their commercial mortgages being accepted by a large amount, giving businesses new hope that they will soon be able to gain acceptance for commercial mortgages to aid the recovery of their companies and sectors.
The Government has come under fire over recent months from small and medium sized businesses who feel that they are being locked out of the commercial mortgage market. So, in response to these concerns, the Government has implemented action nicknamed ‘Project Merlin’ – a plan to increase the amount of bank lending to small firms.
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March 28 2011 | Commercial Lending Seen Improving Into 2011 | Comments Off