Ground-up builds - These projects require property development financing. Development exit financing may be a more affordable option once the project is complete, but it cannot be used before the scheme has become wind- and watertight.
Property refurbishment Ð Here property refurbishment financing would be the best option. These loans can be used to finance any type of project, including light renovations, extensions, structural changes, and re-roofing.
You'll only have one contact from project start to completion, even if your loan is transferred to another type. Borrowing through a lender means that borrowers have to enter into a mortgage contract against their property. If you fail to make your mortgage payments, your property could be taken away. After the project is completed, the loan can be repaid by the sale of the property or refinance to a residential mortgage or buy-to-let mortgage.
To avoid any delays, you should submit your application as soon as possible. This process can be complicated and can lead to delays if new information is discovered. While you wait for planning permission, our advisers will arrange your application. The type of scheme and level of work involved will determine the best product. Contact our team today to discuss.
Check out our complete development finance lending criteria to speed up your application. To get an instant quote, use our online calculator Send us an inquiry and we'll get back to you within 3 hours.
Conversions of large-scale properties - These projects are typically funded with property refurbishment finance. However, development finance is available for large or complex schemes.
Fixed price contracts are a contract you have with your builder. They set the cost of the work and do not allow for any changes. This is a win-win situation for both the developer and builder. The builder can charge higher fees while the investor will know the exact costs, giving them total peace of mind. Fixed term contracts are more attractive to lenders.