10 ways to speed up your property development finance application
Time can be very important for some property development projects and delays in approval of your property development finance, or bridging loan, can be detrimental.
Here are 10 things you can do to speed up the process:
Share as much important information as you have with the lender. Finding out later merely delays the lenders underwriting.
Include any negatives. Pro-active lenders will help you to find ways around the obstacles to funding your development.
Include a summary of your experience and previous developments. Explain how any shortfalls relevant to the new project are being supported by your building contractor and other professionals.
Provide information on where the equity is coming from. A lender will want to know where other funds are being sourced.
Provide an asset and liability schedule on day one, so that lenders can make an accurate assessment of what terms to offer for your development finance.
Tell the lender what the completed development will sell for. Back this up with details of a comparable sold property for lenders to share with the valuer.
Show how build insurance warranty, or certification, will be achieved so that potential buyers can raise mortgage finance. Retrospective insurance is expensive.
Provide details of your contractors/building insurance early on to avoid last minute delays, as sites and completed homes must be insured.
Lenders solicitors will look at the title, so please provide a full address and if possible an accurate plan. Ensure you include details of any split of an existing title, this will help avoid repeated searches and enquiries.
To ensure monitoring of stage drawdowns is as simple as possible, provide a comprehensive development budget, detailing estimated amount and timing of works.
At RQ Capital we are specialists in property development finance with a personal touch. When you make an inquiry, you will be speaking directly to a member of the underwriting team. They will manage your application and the financing process from start to finish. This means you can benefit from quick decision-making and work with someone who connects with your project. Call us today to talk about how we can help you.