Manchester Property Development Loans are available for commercial and residential property for new and experienced investors from a large selection of Commercial Lenders and Hedge Funds, Banks and Family Offices. Finance can be arranged for up to 90% of the development costs.
Typically a property development loan is arranged on an interest only basis and the term of the loan is between 4 - 36 months, though longer and shorter terms are possible. The term normally depends on whether the loan is for refurbishment or for a new build property. Two stage loans are normally involved in development finance, although they are not always required together. One stage is for the land or property purchase and the other is to fund the cost of the renovation or build costs.
The rate / margin offered by the lender will vary significantly depending on the case presented to them and whether the applicant is an experienced or new property investor / developer. All applications are assessed on a case to case basis. Rates can be based on a margin above the Bank of England Base rate or LIBOR rate, or the lender may provide the option of a fixed rate. Rates for development loans are typically from 3.5% above the Bank of England Base rate.