Development Loans from a Principal Lender Development Finance Ltd

You might require a development loan to fund the construction of buy-to-let properties. You may have purchased the property at auction or undervalue and the property requires refurbishment prior to let out. Short term development finance is usually required from a specialist because:

• • Most Banks and Building Societies will not provide buy-to-let mortgages until the property has been owned for at least 6 months.
• • Most Banks and Building Societies will only provide a buy-to-let mortgage if the net rentals cover the interest payments by a factor of at least 125%.
• • Most Banks and Building Societies will not lend on unoccupied rental properties or properties that require renovation work prior to being put on the rental market.

Development Finance Ltd can provide development loans in any of the above circumstances. We will consider financing 100% of the refurbishment costs. Once the property development has been completed, you should be able to obtain a long term loan to replace the development finance, or you might simply want to repay us out of the sale proceeds.

You may have purchased a shop to convert into residential and require funding to cover the cost of the conversion works. Or you may own land with planning permission to build a small block of flats to be let out. In both these cases we would be able to fund 100% of the build costs.

To enquire about a development finance on a buy-to-let property please call us on 0141 332 8884 and we can discuss your requirements.