Expertise in arranging
Development
Finance
We can help arrange development finance for every type of developer or small builder
We provide development finance for a wide variety of residential development projects. These range from large scale residential developments, where currently there is a piece of land, to smaller scale renovation projects on existing properties. We offer quick decisions, flexibility and unbeatable personal service. With our expertise, contacts and resources, we will play our part in ensuring that your development runs smoothly and to an agreed timescale.
Unlike standard mortgages, there are no set rates for development finance and there are no off the shelf products we can offer you. Instead, we’ll negotiate with a panel of lenders to get you the best rate possible. Standard terms would be based on borrowing 35 – 50% of the land costs and 100% of the property development costs, released in stages as the build progresses. However, in certain circumstances, we are able to facilitate lending of up to 100% of the land costs and 100% of property development costs by using mezzanine finance or additional property as security.
Our development finance advice process
Step 1: We listen
It’s important for us (and you) to take the time to get to know each other and to make sure we understand what you would like to achieve. It’s a cliche, but no two people are the same. And we want to make sure our advice and service is tailored to you.
Step 2: Our initial thoughts
After that, we’ll provide you with some details. Things like how much we think you can borrow and what kind of loan to value a private bank will be prepared to offer you.
Step 3: We search the market
We’ll then move on to search the market for you. In addition to negotiating you the best rate, we’ll take into account other things like lender service levels. As well as using our unique knowledge of the development finance market to ensure we place you with the most appropriate lender. It’s all part of having an expert on your side. We can even arrange an Agreement in Principal for you with a lender so you know exactly how much you can borrow.
Step 4: Completion
We finalise your development finance and you can be confident that we’ve arranged the most suitable funding for you.
Making it easy
Our mortgage advice process
Step 1: We listen
It’s important for us (and you) to take the time to get to know each other and to make sure we understand what you would like to achieve. It’s a cliche, but no two people are the same. And we want to make sure our advice and service is tailored to you.
Step 2: We provide our initial thoughts
After that, we’ll provide you with some details. Things like how much we think you can borrow and what kind of a mortgage deposit you’ll need to buy that dream home. We’ll also suggest the best type of mortgage for you, looking at fixed and variable rates.
Step 3: We search the market for you
We’ll then move on to search the market for you. In addition to finding you the best rate, we’ll take into account other things like lender service levels and affordability calculations. It’s all part of having an expert on your side. We can even arrange an Agreement in Principal for you with a lender so you know exactly how much you can borrow.
Step 4: Completion
We finalise your mortgage and you move in. Alas, we can’t guarantee the moving experience will be easy, but at least you are safe in the knowledge that you have the most appropriate finance for you.
Please note that Development Mortgages are Non-Regulated products and not regulated by the Financial Conduct Authority. Therefore the protection afforded to Regulated products does not apply. If you unsure what this means, we can tell you.
Development Mortgage
Case Study
Case Summary
Our client had worked in the building trade for a number of years but was a first time developer. He had secured land and planning for 6 detached houses and was looking for finance to fund the build. Despite his experience in construction, he was having problems obtaining finance at competitive terms, due to the fact that this was his first development.
Our Solution
We were able to find a lender that was willing to work with him, despite his inexperience. The lender was happy to lend 100% of the build costs and in addition allowed him to raise funds against the land. The development was successfully completed and sold, and the applicant is now developing the plot next door.
The numbers
Mortgage Calculators
Our useful mortgage calculators can help you work out the key numbers without any hard questions.
