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The more widespread growth in house prices since mid-2013 has prompted a further step up in interest in funding residential development schemes among lenders. There are now many types of funding on offer, with those offering senior debt now competing against those offering mezzanine finance and equity finance. The increased competition in the market goes some way to explaining how, after several years of rising, the cost of finance is now expected to level off in the short-term, as shown by Knight Frank’s annual survey of lenders.
Source : Knight Frank
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