Property development finance to support you from the ground up.
The UK urgently needs homes and commercial property. We can give you the financial head start you need to build them. With access to an extensive network of property development finance providers, we can source the very best terms for your projects.
What is property development finance?
Often used by experienced property developers, property development finance can be used for a vast range of projects, anything from a single residential unit to a large-scale development site. When it comes to property development, you need to invest significant sums upfront in order to get started. That’s where our property development finance services can help.
Whether you’re looking to create large-scale developments such as residential housing projects, office block construction or extensive renovation works, Prydis can assist with sourcing the funding you need.
How does property development finance work?
Property development finance can provide funding towards the purchase of the land as well as the actual development. The amount of funding will vary based on the project and the experience of the developer. The finance provider will generally agree to provide a % of the project’s gross development value. Funds are then provided throughout the development on a drawdown basis following sign off from the lenders monitoring surveyor. Most development loans will be for a period of up to 24 months.
The approach from lenders will vary as they will each assess factors such as developer history, the build type, valuations, and the strength of the project differently. Lenders will often want to see the previous experience of the developer before committing to any lending, therefore you will need to be prepared to demonstrate the success of your previous projects.
How to repay a development loan?
There are several ways in which you can repay your development loan, however most commonly a developer will often use the sale proceeds from the finished properties/development to repay the borrowing. It is also common for developers to refinance their development loan onto a long-term loan. This is typically the route developers take when they want to keep the finished development for themselves or intend on renting out the property/properties.
What can you expect from Prydis?
The terms of your property development finance are incredibly important. Fractions of a percent on the payable interest can make a huge difference to your eventual profits.
Because we are totally independent here at Prydis, we have access to a large number of development providers and can work to ensure we put you with the provider that meets with your needs and is competitively priced.
If you are looking to apply for a property development finance – please fill in the form to give us as much information as possible – one of our team will then be in touch.