On the contrary, lenders have been the landlords best friend. Until recently, you could borrow money at 1-1.5%, buy a property and rent it for 5%+ return, banking the difference.
This was basically free money and the optimal thing to do was to borrow as much as you can for as long as you can.
You could put a small deposit down, and by the time you add the margin on the borrowed piece then you were yielding 10-20% on your cash in. Much better than just the 5% on unemcumbered property.
This model has completely collapsed as interest rates of normalised.
> Until recently, you could borrow money at 1-1.5%
Please share more details. Because even during the pandemic, when rates were at their minimum, the lowest conventional 30 year mortgage rate that I saw was over 2.7%.
This was basically free money and the optimal thing to do was to borrow as much as you can for as long as you can.
You could put a small deposit down, and by the time you add the margin on the borrowed piece then you were yielding 10-20% on your cash in. Much better than just the 5% on unemcumbered property.
This model has completely collapsed as interest rates of normalised.