Property Development finance is a type of finance which is used to fund the purchase, construction or refurbishment of buildings. It can be used to fund both commercial and residential property projects, and can also be used for land.
Interest rates will vary from lender and will depend on the amount of finance that is secured, the size of the project and the value of the property once the project has been completed.
Typically, the finance is then repaid through the sale of the properties or through a re-finance agreement.
Advantages of Property Development Finance
Navigating securing finance for a property project can be tricky and there’s many reasons why people decide to go down the property development finance route.
The main advantages of property development finance include;
- Quicker access to funds. Securing Property Development finance is typically a faster process than a mortgage application.
- Suitable for large projects. With some lenders, it’s possible to secure larger amounts of finance without having to prove income. This makes property development finance an attractive option for those who may be new to the sector.
- Low interest rates. If you have the ability to offer a larger deposit, a lender might agree a lower interest rate.
Johnston Financial Solutions new enhanced service for Property Developers
We understand that securing finance for property development can be long and challenging process, even for experienced property developers. If you are working on a property development proposal, which you will need financial support for, our enhanced service could make the process of securing finance more efficient and cost effective.
With our enhanced service, you’ll have access to 1-to-1 support from an experienced commercial finance broker, where we will help identify potential solutions for finance. We will then produce detailed reports which can be supplied to the lender for consideration. With the detailed report, it can immensely speed up the process as the lender will have all the vital information upfront that they will need to make a decision.
Throughout the month of March we will be offering free consultations ,with no further obligation for property developers. If you are interested, book a call here at a time that suits you.
About Johnston Financial Solutions Limited
Johnston Financial Solutions is an independent credit broker of commercial finance in Northern Ireland. Improving access to finance from a diverse range of alternative funders such as mainstream banks, challenger banks, pension funders, and peer-to-peer lenders. Book a call with Mark today to find out more.
