Commercial Lending Sentiment Stays Strong in 2025

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Commercial lending continues to gain momentum in 2025, with brokers expressing strong optimism across multiple financing sectors. According to recent industry insights, expectations for business loans and equipment financing remain high, while demand for commercial mortgages is rebounding after a slower period.

The overall sentiment points to a steady recovery and growing confidence in the business finance landscape. Many brokers are reporting increased interest from small and medium-sized enterprises (SMEs) seeking funding to expand operations, upgrade equipment or refinance existing debt. This trend reflects broader market stability and a renewed willingness among businesses to invest in growth.

One of the key drivers of this positive outlook is the strength of equipment finance. As companies adapt to evolving economic conditions, many are turning to financing options to acquire updated tools and technology. Demand is particularly strong in manufacturing, logistics and agriculture, where equipment plays a critical role in productivity. According to Agile Market Intelligence’s Broker Pulse survey, the equipment finance index rose from +13 in mid-2024 to +48 by May 2025, showing strong broker expectations.

At the same time, commercial mortgage activity is recovering. After months of softer movement, brokers are now seeing more inquiries and approvals for property financing, particularly in sectors such as healthcare, warehousing and retail redevelopment. The commercial mortgage sentiment index reached +54 in April 2025, before moderating slightly to +42 in May still well above 2024 levels.

Industry experts note that these trends are supported by relatively stable interest rates and a solid economic backdrop. While challenges such as inflation and global supply chain pressures persist, the commercial lending environment remains resilient.

Brokers also point to an increasingly competitive lending market, where many lenders are offering tailored packages to meet the needs of specific industries. This increased flexibility is helping to drive demand, particularly among businesses that had previously been hesitant to borrow due to uncertainty or limited access to finance.

As lending conditions improve, the outlook for commercial finance remains positive. Many brokers expect business loan volumes to continue rising throughout the year, supported by steady demand for both short- and long-term funding solutions. Equipment finance is likely to remain a standout performer, while commercial property lending is expected to continue its recovery as business confidence grows.

In summary, broker sentiment for commercial lending in 2025 remains strong. Rising demand for business loans, resilience in the equipment finance sector and renewed interest in commercial mortgages all point to a healthy trajectory. The steady pace of recovery suggests that businesses are ready to invest again, boosting confidence in the future of commercial finance.