Market Financial Solutions (MFS), the specialist lender, has secured a new institutional funding line of £500m to expand its lending activity across the buy-to-let (BTL) and bridging markets.
The new funding from various leading institutional investors adds significant capacity and funding diversification to support the continued growth of MFS’s specialist lending products.
MFS’s BTL products have seen strong demand in the market since launching in January 2022. From this new funding, at least £200m will be ring-fenced to boost MFS’s BTL proposition as it continues to grow that area of the business.
With this new line of funding, MFS aims to provide funding certainty in a turbulent market, ensuring it is in a position to work effectively with the many brokers and borrowers who are seeking BTL mortgages and bridging finance in the current climate.
MFS’s BTL mortgages are suitable for clients in complex situations, as well as corporate or overseas structures, including offshore companies, trusts and foreign borrowers.
MFS also lends on a wide variety of higher yielding property types, such as large HMOs, multi-unit freehold blocks and holiday lets.
MFS is on track to achieve its goal of growing its overall loan book to £1.5bn in 2023. According to Paresh Raja (pictured), CEO of MFS, the new funding will further increase its capacity to support borrowers and brokers by providing certainty and flexibility in the current climate of high inflation and rising interest rates.
He added that, despite the turbulence that the property and specialist lending markets faced last year, MFS expects high demand for its BTL products in 2023.
The new funding underscores the confidence of institutional investors in MFS’s specialist lending proposition and the quality of its lending portfolio.
