Funding building projects. We have experience working with first time developers and experienced developers. We can arrange funding from £250k to £25m. There isn’t really an upper limit as long as the numbers stack up.
How much can I borrow?
It all comes down to your experience. If you’re a first time developer, you’ll probably be limited to borrowing around 50% of the GDV, and be expected to put in a larger contribution towards acquiring the land/ property. More experienced developers can borrow up to 65% of the GDV. This means you can tackle larger projects without having to deploy as much cash into the project.
How long can I borrow it for?
You can borrow the funds for the duration of the build plus an agreed sale period once the build is complete. The number of units and local demand for the project will dictate the post sales period. If the properties don’t sell within the agreed period, then you’ll have to look at another option to pay off the funder.
How do I get development finance?
You need to have an idea of your costs. When it comes to getting an initial quote, just the numbers and a brief bit about your previous experience will be fine. If you’re happy with the quote, the lender will then start to conduct their due diligence and start asking for more documentation.
If you’re interested in finding out more about development finance, contact us today.