We have a wide range of lenders for developers whether it be a small scale refurbishment up to major residential developments. Finance is arranged over the short term to allow you to do the build and comfortably exit the loan. The maximum loan is agreed at the beginning and is based on the overall costs and end value.
A comprehensive list of information is needed and a helpful guide is located here.
POINTS TO CONSIDER WHEN COMPARING DEVELOPMENT FINANCE LENDERS
- How much do you have as a contribution and for contingency;
- Your contribution goes in first;
- Is interest included or excluded from the % the lender provides;
- How is interest calculated;
- Ensure term is sufficient for build;
- Will the lender need a Monitoring Surveyor;
- Are Collateral warranties needed;
- Provide a detailed breakdown of costs including all professional fees;
- Ensure your professional team has the right qualifications for the lender;
- Satisfactory exit strategy in place.
- Up to 100% of build costs;
- Up to 75% of all costs;
- Up to 65% of GDV (Gross Development Value;
- Rates variable or fixed;
- Fees based on debt or GDV;
- Term up to 24 months but usually 12;
- Rate and lender dependent on experience of doing similar projects.