Building finance refers to borrowing up to £2 million towards renovating or refurbishing an existing property. This type of short term finance is commonly used by property developers until the completion of the property and it is rented out to the public (buy to let) or sold on the open market at a higher price.
As an established building finance provider, Regentsmead can help property investors and developers borrow money for the following purposes:
This type of finance can help pay for the contractors and materials required for your build including plumbing, electrics, flooring, insulation, windows and more.
We appreciate how hard it can be for big and small developers to get the finance they need to build a property and getting access to finance from local banks is not easy. The Government has also acknowledged this as the Builders Finance Fund was set up to help small developers get back on their feet after thousands of properties in the UK were stopped during development during to the housing crash.
At Regentsmead, we are here to help. We offer a more personal approach to development finance and by treating every client as an individual, we have built long-lasting relationships. We encourage you to get in touch with us by email or phone and one of our dedicated staff members will be able available to discuss your individual project with you.
We start by getting a better idea of your project, your future plans with it and your financial position. This can be achieved by completing a decision in principle which tells us more about the property, security and finance you require.
With our building loans ranging from £150,000 to £2 million, we can lend up to 50% of the Gross Development Value (GDV). Whether it is a new build or refurbishment of an existing property, we can usually pay up to 100% of the construction costs and 50% of the purchase price. If you meet our criteria, we are able to provide the funds to your within a few working days, allowing you to get your project moving quickly.
The money can be provided in stages, which is an ideal way to manage the cashflow of your project. So if you have to pay contractors such as architects or builders at different stages of the process, you can do so in an efficient way.
You will only be charged interest when the money has been released, so you are only paying interest for money that is being used. For instance, if you are borrowing £500,000 and releasing £100,000 every 3 months, you only pay interest as soon as it has been released and not for the entire £500,000 in one go. We are pleased to offer other repayment options to suit our customers such as rolling the interest until the end of the project, so you can repay when it is completed and you have made a profit on its sale.
We helped develop two new builds in Shrewsbury consisting of 4 bedroom detached homes. The customer borrowed £200,000 towards the building and constructions costs of the two new homes.
Our client commented: "From our first meeting at Regentsmead’s office we knew this was the company that was right for us. All the legal work was very straight forward between our solicitor and Regentsmead. The build was straight forward and stress free as most builders our size know how stressful it is with cash flow on projects like this, from the independent surveyor coming out to check works completed at agreed stages. Within 24 hours our money was in our account hassle free, we have more projects like this and would recommend Regentsmead over any high street bank. "