40% Loan to GDV
100% of build costs
Interest rate – 1.5% per month
Arrangement Fee – 1.5%
No Exit fees
12 month term
Our client is a first-time developer who was previously employed by a house builder, so has a good grounding in the building industry. He surrounded himself with a strong professional team and was clearly very well organised.
He had purchased a semi-detached house, with planning consent to build a new house in the garden. The project involved the refurbishment and extension of the existing house, plus the new-build.
The development finance facility we arranged allowed equity release against the unencumbered existing property to fund the refurbishment of the existing house, plus enough funds to cover the completion of the new-build property.
From the point of the valuation inspection being paid for, the facility completed within 4 weeks. The timeline was as follows:
Monday 22nd July – Valuation paid for & instructed,
Friday 26th July – Valuation inspection carried out,
Wednesday 31st July – Formal Offer letter provided,
Thursday 1st August – Solicitors & QS instructed,
Thursday 15th August – Loan completed.