What is development exit finance and how does it work?
Property development exit finance and loans are specialised financial solutions aimed at supporting property developers during the final phase of their projects.
These loans typically come into play when development is near completion, but the developer needs additional funding to finalise the project, or bridge the gap until sales are completed.
Development exit finance helps developers manage cash flow, pay off construction debts, or invest in new projects while awaiting the sale or refinancing of their current development. It is a crucial tool for maintaining financial stability and ensuring the timely completion and transition of property development projects.
Types of properties that are eligible for developer exit finance
Development exit loans and financing are available for various property types, including residential and mixed-use developments.
For example, a residential development might consist of multiple townhouses or apartments nearing completion. Mixed-use properties often combine residential and commercial elements, such as apartments above a cafe.
These loans help developers in refinancing existing debts, covering final construction costs, or funding new projects, leveraging the almost completed properties as collateral. This financing plays a pivotal role in property development investments, ensuring liquidity and project continuity.
Why trust CrowdProperty with development financing and loans?
CrowdProperty’s value proposition in development exit finance and loans lies in our expertise and tailored solutions. As property people ourselves, we offer a unique blend of simplicity and expert guidance, ensuring we thoroughly understand you, your project, and your team..
Our exit finance services are made for developers needing timely financial support at project completion stages, emphasising stability, investor confidence, and project success.
Features and benefits of development exit finance
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Continuity and Liquidity
Development Exit Finance and Loans offer builders and developers a strategic financial cushion at project completion.This financing solution allows for the repayment of existing development loans, providing more favourable terms and breathing space as sales progress.
It can be an essential tool for managing cash flow efficiently, reducing interest costs, and securing the liquidity needed for future projects or to tackle unforeseen delays in sales.
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Expert support and advice
CrowdProperty offers dedicated expert support, providing guidance and advice throughout the financing process. This helps us ensure you are well-informed and supported at all times, making your projects more likely to succeed. -
Fast and efficient processes
With indicative answers provided within 72 hours of application, CrowdProperty emphasises speed and efficiency. This quick turnaround is essential for developers needing timely funding to seize opportunities. -
Tailored financing solutions
CrowdProperty prides itself on offering flexible financing options that are customised to meet the specific needs of each project. This adaptability allows for more targeted support and a better fit for various property development ventures. -
Security and peace of mind
All loans are secured by a first mortgage, providing a layer of financial safety and peace of mind. This security measure underscores CrowdProperty’s commitment to mitigate risks.
How it works and things to know
CrowdProperty streamlines the financing process for builders and project developers, offering a straightforward, efficient approach to securing funds for property development projects. Here’s a concise overview of the CrowdProperty financing process:
1. Application, evaluation
Developers submit project details online. CrowdProperty’s expert property team assess each project’s feasibility.
2. Funding
Once a project loan is approved, it’s listed on the CrowdProperty platform. Investors pledge funds to the project loan.
3. Project completion
Once the loan is issued, CrowdProperty monitors progress and manages draw downs. On completion, the loan and interest is repaid.
How to apply
The application process with CrowdProperty is straightforward and user-friendly.
Developers submit their project details online, which are then evaluated by property experts for viability. The vetting includes thorough due diligence, ensuring the project meets stringent standards. Once approved, the project is listed on the CrowdProperty platform for funding.
The process emphasises simplicity, expert oversight, and a focus on quality investments.
