RAW Capital Partners Targets 50% Growth and £500m Lending Book: What London Landlords Need to Know

RAW Capital’s Ambitious Growth Plan: What’s Changing?

RAW Capital Partners, a specialist lender known for flexible underwriting, has announced plans to grow its lending book by 50% in 2024, targeting £500 million in loans. Key changes include increasing maximum loan-to-value (LTV) ratios to 70%, entering the UK resident buy-to-let market, and rolling out technology upgrades to speed up application and decision processes.

These moves signal an expanding appetite for buy-to-let lending, especially for borrowers who may have struggled with mainstream lenders due to complexity or residency status.

Why This Matters to London Landlords

London landlords often face tough lending conditions, particularly those with complex portfolios, HMOs, or non-UK resident status. RAW Capital’s increased LTV cap to 70% can improve financing options, reducing the capital landlords need to inject upfront. Additionally, their focus on flexible, case-by-case underwriting means they are more willing to consider non-standard scenarios such as:

• Non-UK residents and two-tier visa holders
• Complex portfolio structures
• Holiday lets and short-term lets

For accidental landlords or those with smaller portfolios, the entry into the UK resident buy-to-let market means more competition but also more tailored products.

Practical Implications Across Landlord Profiles

Single-unit landlords: Higher LTVs can make refinancing or portfolio expansion more affordable. However, landlords should ensure their property and tenant profile meet RAW Capital’s flexible underwriting criteria.

HMO and complex portfolio owners: The lender’s willingness to assess complex cases individually means landlords can present detailed documentation to justify their cases, potentially unlocking finance where mainstream lenders decline.

Non-UK resident landlords: The acceptance of non-UK residents and two-tier visa holders broadens access to finance, a significant benefit given recent tightening from other lenders.

Accidental landlords: As RAW Capital enters the UK resident buy-to-let space, these landlords should consider whether their borrowing needs and property types fit the lender’s criteria.

Operational and Compliance Considerations

The enhanced technology RAW Capital is deploying promises faster loan processing times. Landlords and brokers should prepare by:

• Gathering comprehensive documentation upfront to leverage faster underwriting
• Maintaining clear communication with brokers to smooth the application process

Additionally, landlords must remain aware of compliance obligations when expanding or refinancing, especially if diversifying into HMOs or holiday lets.

What Landlords Should Do Next

1. Review updated lending criteria: Obtain the latest RAW Capital lending guidelines to identify if you or your clients fit the new borrower segments.

2. Engage your broker: Brokers remain central to RAW Capital’s business model. Discuss your plans and ask about how the new technology can speed up decisions.

3. Assess financing needs: Evaluate if increased LTVs or acceptance of complex cases open up opportunities to expand portfolios or refinance existing loans.

4. Prepare documentation: Collate tenancy agreements, financial statements, visa details (if applicable), and property information to support flexible underwriting.

5. Plan conversations with letting agents: If working with agents, align on tenant profiles and compliance requirements to ensure smooth operations post-finance.

How Rentals & Sales Can Support You

Our team specialises in portfolio reviews, compliance audits, and pricing strategy tailored for London landlords navigating evolving lending markets. We can help you:

• Understand if your portfolio fits RAW Capital’s new lending scope
• Prepare documentation to meet flexible underwriting requirements
• Coordinate with brokers for streamlined financing
• Align letting agent operations with compliance and tenant needs

Contact us for a tailored consultation to optimise your financing and compliance strategies.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Landlords should consult qualified financial advisors and mortgage brokers before making lending decisions.