Top Ten Tips for development finance: Tip 7

Top Ten Tips for development finance: Tip 7




.

With Regentsmead
 
 

 

Each week we will provide a top tip for development finance. This week it’s tip number 7...

 

 

Tip 7: Once you have identified a prospective client, make sure you have the basic details of the project:

 

a. What is the site/property purchase?
b. What are the construction costs?
c. What is the borrower looking to borrow based on purchase/construction.
d. What is there planning for?
e. What is the exit strategy?
f. How much working capital is available?
g. What experience does the borrower have?

All you need is these basic details, there is no point spending hours on packaging if the basic details do not meet the current lending criteria in the market. Get the basic details across to an active lender and ask for an in principle approval before you start to investigate further details and spend time.

 

Ideally find a lender who will take the deal over from you at this point to limit the time you have to spend and very importantly try to ensure the lender collects your fee for you at offer stage so you do not have to chase for your fee or wait to receive it until funds are drawn down.

 

 

 

Contact Regentsmead on 020 8952 1414 for further details or visit

www.regentsmead.com

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Leave a comment