Boom time for commercial property buyers?

Martyn Roberts from Accredit doesn’t necessarily think that the credit crunch of the kind now facing homeowners, will happen in the commercial property market in Manchester. 

“Much of the lending can be justified by rising property values and improved earnings from commercial property, thanks to rising rents” states Martin. “Despite calls for banks to be more cautious, most Manchester lenders still feel fairly upbeat thanks to lending policies which have remained quite strict”.

Impacts following rate rises

Over the past 12 months, interest rates have increased which will impact on the ability of banks to fund investment deals. These changes are reflected in the returns on commercial property returns, down to around 9.9%, according to the IPD.

Despite this, certain areas of the country are still confident about the future.

Confident Manchester markets

“Manchester’s property market remains vibrant and there are no signs of anything other than continued growth, according to our major lenders” Martin continues. “We still have a relatively stable market environment across the North West and this is reflected by the attitudes of bankers throughout the region”.

If you are considering to buy commercial property, call us now or click here...