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Welcome to Advocate Finance, your trusted mortgage broker for securing Property Development Loans.
Whether you’re planning a new build, converting an existing property, or undertaking a large-scale renovation, our tailored financing solutions are designed to support your project.
From initial consultation to securing funds and managing drawdowns, we provide expert guidance to ensure the success of your property development venture.
Securing a property development loan can be more challenging than a standard buy-to-let mortgage due to the complexity of development projects.
Lenders assess factors such as the feasibility of your plans, the property’s potential value post-development, and your experience in similar projects. Detailed project proposals, cost estimates, and a solid exit strategy are typically required.
At Advocate Finance, we simplify the process by connecting you with lenders who understand the unique needs of property developers.
While bridging loans can be used for certain stages of property development, they are typically designed for short-term needs, such as purchasing land or properties quickly. Bridging loans lack the tailored features of property development loans, which are structured to fund comprehensive projects, including construction and large-scale renovations.
Property development loans offer staged drawdowns, allowing funds to be released as the project progresses, and interest-only payments during the build phase to manage costs. For extensive development projects requiring continuous funding, a property development loan is a more suitable option. At Advocate Finance, we help determine the best financial solution based on your project’s scale and timeline.
We can source Property Development Loans for:
Before applying for a property development loan, conducting a feasibility study and securing the necessary planning permissions are critical steps. Lenders rely on these to assess the viability of your project and your ability to meet timelines and budgets. Feasibility studies detail the projected costs, potential profits, and market demand, while planning permissions ensure compliance with local regulations. Advocate Finance helps you navigate these processes, increasing your chances of securing funding.
Advantages | Disadvantages |
Tailored for Development Projects: Specifically designed for large-scale projects, including new builds, conversions, and refurbishments. | Complex Application Requirements: Applications often require detailed plans, feasibility studies, and planning permissions, which can take time to prepare. |
Staged Drawdowns: Funds are released incrementally as project milestones are achieved, reducing interest costs and ensuring smooth cash flow. | Market Risks: The success of a development depends on market conditions and post-completion valuations, which may fluctuate. |
High Loan-to-GDV Ratios: Up to 70% of the Gross Development Value, enabling access to substantial funding for ambitious projects. | High Initial Investment: Development projects typically involve significant upfront costs for land acquisition and construction. |
Increased Property Value: Development projects significantly enhance the market value of the property, offering higher resale or rental potential. | Regulatory Challenges: Ensuring compliance with planning permissions and building regulations can add complexity and potential delays. |
Flexible Exit Strategies: Choose to refinance with a long-term mortgage or sell the completed property to release profits. | |
Wide Eligibility: Suitable for various property types, including residential, commercial, and mixed-use developments. | |
Expert Support: Lenders familiar with development projects provide tailored financial products to meet your needs. |
Expertise and Experience
How Can YOU Benefit from Our Advice?
Competitive Fee Structure
Comprehensive Range of Services
Yes, most property development loans require planning permission to be approved. This ensures the project complies with local regulations and provides lenders with confidence in the project’s viability.
The timeline varies depending on the project’s complexity but generally ranges from 6 to 24 months. Financing options with staged drawdowns can help manage cash flow throughout this period.
Property development loans can be used for various projects, including new builds, residential or commercial conversions, and mixed-use developments. Projects must demonstrate strong feasibility and market potential to qualify.
Staged drawdowns release funds incrementally as key project milestones are reached. This reduces overall interest costs and ensures funds are available as the project progresses.
Our expert team of mortgage brokers are here to guide you through every stage of the process.
Important Information
ANY PROPERTY USED AS SECURITY, WHICH MAY INCLUDE YOUR HOME, MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
We are a credit broker not a lender.
Advocate Finance Ltd, registered at 55 Crown Street Brentwood, Essex CM14 4BD. Company Register number is 05579380. Authorised and Regulated by the Financial Conduct Authority. Our FCA registration number is 592830.
You can check via www.fca.org
We are registered with the ICO, Z1654205 and you can check via www.ico.org.uk.
We conduct both regulated and unregulated business and therefore not all products provided through us are regulated by the Financial Conduct Authority. We source mortgages and loans from a panel of lenders.
We may receive a commission that will vary depending on the lender, product, the amount borrowed or other permissible factors.
Advocate Finance is a mortgage and finance brokerage firm that specializes in securing loans and mortgages for various types of properties, including single properties, large portfolios, commercial sites, and development projects. They assist clients regardless of credit history, circumstances, or legal ownership, aiming to provide tailored financing solutions