Market Financial Solutions (MFS) has secured £500 million of new institutional funding which will allow the business to expand its lending activity across both the buy-to-let and bridging markets.

The new funding from various institutional investors adds significant capacity and funding diversification to support the continued growth of MFS’s specialist lending products.

From this new funding, at least £200 million will be ring-fenced to boost MFS’s buy-to-let proposition.

The specialist lender says it is on track to achieve its goal of growing its overall loan book to £1.5 billion in 2023.

Paresh Raja (pictured), CEO of MFS, said: “Following the success of our buy-to-let product since the launch last year, this additional funding will further increase our capacity. We continue to support borrowers and brokers by providing certainty and flexibility in the current climate of high inflation and rising interest rates.

“Despite the turbulence that the property and specialist lending markets faced last year, we expect high demand for our buy-to-let products in 2023. Even in challenging times, MFS has continued to lend, and our strong relationships with our funding partners gives us the confidence and ability to provide funding certainty to brokers and borrowers.

“As such, when we say yes to a buy-to-let mortgage or bridging loan, we mean it, and we look forward to helping even more borrowers with their requirements moving forwards”.