Mortgages

Development Finance

Development finance is a type of funding that is designed to help property developers finance construction, conversion, or heavy refurbishment projects. Typically, this form of financing is short-term and designed to cover the development project’s costs before the property is sold or refinanced.

Why Choose Development Finance?

Development finance is designed for property development projects and can provide funds for acquisition, build costs, or both. The loan is split into two key stages: initially, funds are released for purchasing a development opportunity, and subsequently, payments are made thereafter to cover construction costs, released according to the project’s build schedule. Our long expertise in development finance ensures you secure a loan structured to support your project’s individual timeline and budget.

Unlock Your Project's Potential: Development Finance Explained

Development finance is a fantastic tool for property developers, offering several key benefits:

Project Viability

Provides the necessary funds to bring property development projects to life, from small single-unit renovations to large-scale multi-unit projects.

Flexible Terms

Tailored to suit your project's specific needs and timeline, with flexibility in repayment structures and loan terms.

Variety In Cash Contribution

We have access to lenders who provide funds for acquisition, funds to cover build costs, or funds to cover both, reducing your cash contribution.

Increase Profit Potential

Development finance can enable larger or more ambitious projects to be undertaken which can increase the potential for higher returns upon completion.

Testimonials

Frequently Asked Questions

Financing Growth: The Benefits of Development Finance

In most cases, no monthly payments are required; instead, the interest is added to the loan and repaid when the loan is redeemed. It is also possible to service the interest monthly, provided it is affordable.

Yes, although the majority of lenders will not be able to help, working with an expert broker will increase your chances of getting approved.

Even if you have a less than perfect credit history, you can still secure development finance, but you’re less likely to qualify for the best deals.

The maximum loan amount available varies from project to project and is determined by the site cost or value, the build costs, and the gross development value.

Lenders will not approve development finance without a clear exit strategy showing how the loan will be repaid. Most loans are repaid through the sale of the development or by refinancing.

Ready to take the next step?

Our team of experts is ready to guide you through the entire mortgage process. If you have any questions about our services or would like to make an enquiry, please get in touch with us today for a no-obligation chat.