02921 303 888 / 01172 033 200

Development finance is used to support the development/construction New builds projects;

  • Existing homes and flats

  • Refurbishment development

  • Redevelopments

  • Renovations

  • Conversions

  • Residential and commercial properties

Lenders will look at experience as well as a detailed plan of the project. You can borrow up to 100% of the build costs and professional fees if you already own the land. If you don’t own the land we can structure the borrowing so that it contributes to the land purchase. This type of finance is to be used for properties that are either commercial or residential that will be sold or let out. Loans typically have a maximum term of 18 months and are drawn on a phased basis across key stages. An example of a standard construction plan for a new build would be;

  • New builds projects
  • Existing homes and flats
  • Refurbishment development
  • Redevelopments
  • Renovations
  • Conversions
  • Residential and commercial properties

Rates and Fees


Interest rates for Property Development Finance loans are usually dependent on the experience of the borrower and the LTV of the GDV. The lower the LTV, typically the lower the interest rate.

Rates can start from as little as 0.25% per month for very strong proposals with arrangement fees starting from 0.75%. There can sometimes be exit fees associated to this type of borrowing which start at 0.75%.We will always communicate with you regarding the likely cost of borrowing and we will always provide, in writing, a breakdown once we have received borrowing terms.

You can elect for the interest to be rolled in to the loan in some instances.


Typically, Property Development Finance loans are subject to the following fees;

Lender arrangement fee

This is a fee the lender charges for arranging the loan. This starts at 0.75% but will be dependent on the proposal.

Legal fees

Legal fees vary considerably depending on the complexity and findings of the conveyancing. Whilst these fees can mount up it is important to remember that the lawyers are acting on yours and the banks behalf to ensure that there are no nasty surprises when you finally purchase your property. Lender will often assign law firms from their panel. The lender will pay particular attention to this element as they will have a legal charge over the property. It is therefore to work with a commercial property lawyer wherever possible.

Valuation fee

This is the cost associated with having the property valued. Where appropriate a lender will use their in house valuer. Where the transaction is larger they will become more reliant on external panel valuers

Broker fees

As the broker in the transaction we will apply. We charge 1% of the loan amount. Where this is the first time we have acted for you we will apply an appraisal fee of £495, which is non-refundable and payable upon agreeing to our terms and conditions

We are very transparent about our fees and will always detail these in any written quote for funding

To discuss our fees in more detail, please contact one of our mortgage brokers. We are very transparent about our fees and remuneration and will include these in any quotes that are provided.

How to Apply

As a whole of market broker, we understand how best to present your proposal to the lender and which lender would be most favourable for your circumstances.

Fact Find

We will always engage with you to fully understand you lending requirements. This will often involve understanding your wider business and commitments. Once we have an understanding of the proposal we will give you a steer on the likely appetite for your application.

What information do you need to provide?

As with all lending application we need to gather information to present to the lender. Here’s a general list of the information that will be required;

  1. Proof of identity, address (this can be done quickly and effectively via our mobile onboarding app)

  2. Comprehensive details of the project to include;
    1. Development costs and cash flow
    2. Planning Permissions
    3. Floor and site plans
    4. Details of professional team

  3. Details regarding your experience

  4. Financial Accounts

  5. Details of an company adverse credit

We will also identify any other relevant information required when we discuss your requirements at the fact find stage.

What next?

Call us on 02921 303 888 to speak with one of our team.

You can also download our Interactive Property Development Finance Loan Application. This will allow you to share the relevant information with us to act upon your requirements as quickly as possible.