What is Important to a Client Seeking Development Finance?
When a property developer identifies a site to build on, it is quite likely that it has taken some time to find and there is a fair chance that there will be other competitors interested in the same piece of land. The developer is probably going to require finance towards purchasing the land as well as the construction work etc.
So, let’s have a look at some of the things that are important to the client when seeking development finance: –
Quick lending decision
The developer is likely to need to act quickly once a site has been located so they need to know that the funding is available. They may have already obtained an agreement in principle from a lender to a hypothetical proposition but would need to obtain a definite agreement once a specific site has been found.
Therefore, the speed at which a lender makes a decision whether they are prepared to lend or not is of vital importance as the client would not wish to miss out on the business opportunity.
Processing the application
Once the lender has agreed to provide finance towards the funding of the project it is important that the rest of the application is processed as quickly as possible so that the funds are available as and when required by the developer. Any delays in this respect could lead to increased costs for the client.
A client will feel reassured if they believe that those involved in processing their development finance application i.e. broker and lender are experienced in this complex finance sector.
Interest rate and charges
Obviously, a client will be looking for the best deal that they can find as far as interest rates and charges are concerned. This sort of finance often involves high-value loans so a ½% variance in the interest rate can make a considerable difference to the developer’s profit.
Well, we understand that all the above things are important to a client looking to fund a development project. We have an extensive panel of lenders so have access to very competitive interest rates and charges. They are renowned for their expertise as are we and they will make a quick decision once a lending proposition has been received and process the application rapidly.
So, if you are looking for development finance, why not get in touch with us to discuss your requirements.