Our full list of development finance lending criteria will help you get your application moving as fast as possible.
You will need to have professional inspections at every stage of your development. This is to make sure that all building regulations and work have been done to an acceptable standard. This is usually done by your architect or the NHBC.
Lenders can lend to borrowers by entering into a mortgage agreement that is secured against the property. If you don't make the mortgage repayments, your property can be taken back. Once the project is complete, the loan is typically repaid via the sale or refinance of a residential or buy-to let mortgage.
It is important to submit your application in time to avoid delays. This is a complex process and there may be delays when new information becomes available. Our advisors can help you arrange your application while waiting for planning permission. The type of scheme you are planning and the amount of work involved will affect the product that is most appropriate. Talk to our team to start a conversation today.
Fixed price contracts refer to a contract that your builder has agreed to that will set out the costs you will pay. This contract will not be affected by any unexpected or additional costs. This can be advantageous for both the developer or the builder. While the builder may charge more, the investor will have a clear understanding of the cost and will feel secure. Fixed-term contracts are also more appealing to lenders.
Respecting building regulations is essential. You should also get the necessary planning permissions. Building Regulation Approval may be obtained through the Local Authority Building Control Service. If you are building your own home, you will be responsible for complying. If you employ a building contractor, however, responsibility will fall on them. In the end, however the owner can be served with enforcement notices if regulations are not adhered too.
For an instant quote, you can use our online calculator We'll contact you within three hours of receiving your inquiry. You will have one contact, regardless of whether you switch loan types or project completion.
