Real Estate Information

Luxury Real Estate Information


Rancho Palos Verdes, California Homes
Palos Verdes, California Homes
South Bay, California Homes
Luxury Mexican Beachfront Homes

Featured Properties


Oceanfront Estate Near Trump National

Related Information


Loan Information
Real Estate Information
Mortgage Refinance Information

Raising Money For Property Development


In addition to finding the right property, one of the most difficult aspects of property development is being able to fund the purchase and re-development of the property before putting it back on the market.

Many would-be property developers have the skills and flair for property development, but lack the financial clout to put these into practice. So what are the options for funding a property development?

Property development mortgage

A good place to begin is to talk to your bank or building society about taking out a mortgage to fund the development, however most high street mortgage providers are not fully equipped to service the needs of property developers and are more likely to refuse finance.

A better bet would be to try one of the niche mortgage providers who specialise in providing finance to property investors and developers.

Mortgages provided by these companies are often repayable on an interest-only basis and in some cases it is possible to borrow up to 100% of the development cost, however the developer is often required to own the land on an unencumbered basis.

It is also worth noting, that as the risk increases to the lender, the interest rate on repayments will also increase.

Using other people's money

A cheaper way of raising money may be to borrow from other people, such as friends, family or colleagues at work.

The core advantage is that you are less likely to be saddled with expensive interest rates, but it is important to keep all business dealings above board and well documented, as it is all too easy for relationships to go sour if problems occur with the development.

Seek private investors

Another approach that the savvy property developer might take is to ask people to invest in the development, so that they can enjoy a profitable return on the sale.

This removes much of the financial risk from the developer and means that money can be spent on business expenses and not repaying high-interest loans.

Whilst selling a stake in the development is an attractive idea, it does require a good level of marketing skills by the developer to find and convince potential investors to part with their money.

Start small

It is still possible to find low cost properties around the UK, which are much easier to finance, before working your way up to larger, more profitable developments. Growing your property development business in stages allows you to gain valuable experience, reduce your risks and helps you to build up cash reserves to invest in future developments.

Don Suter is Managing Editor of the UK Property Portal (http://www.ukpropertyportal.co.uk), an online directory and magazine for UK property sales, rental, surveyors, mortgages, conveyancing, property insurance, removals, news, investment and development

For more information, please visit our property investment and property development pages.


MORE RESOURCES:
This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news


Forbes

The Blockchain For Real Estate, Explained
Forbes
There is a lot being written about blockchains, bitcoin and related technologies, and for many real estate professionals, this is part of a brave, new, confusing world of technology. Like the original internet, the blockchain is a revolution in ...



Los Angeles Times

Fox News host Sean Hannity's real estate holdings draw scrutiny
Los Angeles Times
On Feb. 6, conservative media personality Sean Hannity brought his longtime financial advisor, William Lako, on his popular radio show to talk about money. "For 25 years, you've watched me start with nothing, right, pretty much?" Hannity asked Lako ...
Sean Hannity Faces Conservative Criticism Over Real Estate DealsTIME
Sean Hannity's Real Estate Empire Includes Okemo CondoSeven Days
Will Sean Hannity's Secret Real-Estate Empire Get Him in Trouble at Fox?Vanity Fair
HuffPost -Politico -Slate Magazine
all 156 news articles »


Forbes

Real Estate Market For Spring 2018 Is A Good News/Bad News Story
Forbes
The Spring 2018 real estate market is a good news/bad news story. A recently released report from Arch Mortgage Insurance points to affordability slipping, inventory declining while interest rates and housing prices rise. Key findings from Arch ...



Bloomberg

Sears Soars After Lampert Floats Buying Kenmore, Real Estate
Bloomberg
As part of the proposal announced Monday, ESL also made an offer for Sears real estate which includes the assumption of the $1.2 billion of debt obligations secured by the holdings. Regardless of whether ESL becomes the ultimate buyer of Sears assets ...
Sears soars as Lampert floats buying Kenmore, real estateChicago Daily Herald
Sears CEO Eddie Lampert offers tentative deal for real estate, KenmoreUSA TODAY
Sears stock soars as Lampert offers to buy Kenmore brand, real estateIndianapolis Business Journal
Peoria Journal Star -Chicago Business Journal
all 85 news articles »


Chicago Tribune

'A Home on the Lake': Real estate and racism surface from Evanston's past
Chicago Tribune
The American dream of home ownership is indelibly entwined with our shameful history of racial discrimination. That's particularly true in Chicago, which has served as a laboratory for segregation for decades. On stage, we've seen that history come to ...



The MReport

Global Real Estate Market to Reach $4.2B by 2025
The MReport
Real estate spaces for commercial, retail, industrial and healthcare infrastructure are in high demand with increasing urbanization,” Grand View reported. The report indicated that the American and Middle Eastern Africa markets especially are set to ...



Updated presentation for investors of INVL Baltic Real Estate
GlobeNewswire (press release)
INVL Baltic Real Estate announces an updated presentation that will be used for the meetings with investors. Compared to the presentation, which was published on 21th December 2017, the Company informs that the information related to the terms of the ...

and more »


Fortune

Climate Change Is Already Depressing the Price of Flood-Prone Real Estate
Fortune
New research shows that real estate properties in areas affected by extreme weather and sea level rise are losing value relative to less exposed properties. The effects are already substantial, but they may point to a looming collapse as climate change ...



DeSoto Times-Tribune

Real estate agency set for new location
DeSoto Times-Tribune
Last year, we issued 1,392 new permits for new houses, so you can see the trend. We're looking for about 1,500 permits for new houses in DeSoto County. That's 1,500 new houses that didn't exist at the beginning of the year.” “Realtors are the front ...



Ahval

Turks eye-up Greek real estate despite tensions
Ahval
It is no longer rare to hear Turkish spoken on the streets of Greek cities such as Athens and Thessaloniki as the numbers of Turks in such places has skyrocket by more 1,000 percent since 2015. But unlike the hundreds of thousands of Turks who holiday ...

and more »

Google News

home | site map
© 2006 TIGER MEDIA