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The valuation game: are lenders relying too much on bricks-and-mortar, not investment reality?

ended 12. September 2025

Should lenders use investment valuations more widely? How much difference does it make to landlord lending? Are valuers keeping up with the market?

2 responses from the Newspage community

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Omer Mehmet
Managing Director at Trinity Finance
Too many landlords are losing out because lenders stick rigidly to bricks-and-mortar valuations. For HMOs and specialist properties, investment value tells the real story. Unless lenders modernise their approach, investors will keep hitting a valuation wall that stifles growth.
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Michelle Lawson
Director at Lawson Financial
Investment valuations have their place but caution should be taken to ensure the funding isn't overexposed. If the property has to be sold, it will only have a value portentially to another investor and could place the vendor in a negative equity situation if they are spread too thin. It is a fine balance and there are more things needing to be done to improve valuations rather than this.