A property development loan can help if you need access to finance at short notice for your construction project. Compare loans to find one with the lowest fees with a quick turn around.
Looking through a range of options gives you more chance of securing a great deal. You'll only find results from genuine companies. Our data experts check each company before we add them to our comparisons.
1
About your home
Tell us about your property – the type of building, the address and your postcode.
2
A bit about what you need
Tell us how much you want to borrow and for how long, we’ll show you loans you’re eligible for.
3
View your options
Once you’ve decided on a loan you can make your full application adding your name and email address.
Think carefully before securing other debts against your home. You home may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.
| Available On Properties In England | |
| Available On Properties In Wales | |
| Minimum Loan | £75,000 |
| Maximum Loan | £2,500,000 |
| Minimum Property Value | £100,000 |
| UK Residents |
| Available On Properties In England | |
| Available On Properties In Scotland | |
| Available On Properties In Wales | |
| Minimum Loan | £50,000 |
| Maximum Loan | £25,000,000 |
| Minimum Property Value | £200,000 |
| UK Residents |
| Available On Properties In England | |
| Available On Properties In Scotland | |
| Available On Properties In Wales | |
| Minimum Loan | £125,000 |
| Maximum Loan | £25,000,000 |
| Minimum Property Value | £150,000 |
| UK Residents |
| Available On Properties In England | |
| Available On Properties In Scotland | |
| Available On Properties In Wales | |
| Minimum Loan | £50,000 |
| Maximum Loan | £1,000,000 |
| Minimum Property Value | £100,000 |
| UK Residents |
| Available On Properties In England | |
| Available On Properties In Scotland | |
| Available On Properties In Wales | |
| Minimum Loan | £75,000 |
| Maximum Loan | £15,000,000 |
| Minimum Property Value | £100,000 |
| UK Residents |
| Available On Properties In England | |
| Available On Properties In Wales | |
| Minimum Loan | £50,000 |
| Maximum Loan | £1,500,000 |
| Minimum Property Value | £150,000 |
| UK Residents |
| Available On Properties In England | |
| Available On Properties In Scotland | |
| Available On Properties In Wales | |
| Minimum Loan | £50,000 |
| Maximum Loan | £5,000,000 |
| Minimum Property Value | £50,000 |
| UK Residents |
| Available On Properties In England | |
| Available On Properties In Wales | |
| Minimum Loan | £50,000 |
| Maximum Loan | £5,000,000 |
| Minimum Property Value | £200,000 |
| UK Residents |
| Available On Properties In England | |
| Available On Properties In Wales | |
| Minimum Loan | £100,000 |
| Maximum Loan | £4,000,000 |
| UK Residents |
| Available On Properties In England | |
| Available On Properties In Scotland | |
| Available On Properties In Wales | |
| Minimum Loan | £75,000 |
| Maximum Loan | £3,000,000 |
| Minimum Property Value | £50,000 |
| UK Residents |
| Based on borrowing | £158,000 over 1 year | The overall cost of comparison | 11.6% APRC representative |
|---|---|---|---|
| Interest rate | 8.30% fixed for 1 year (12 instalments of £1,127.75 pm) | Broker fee | £995 |
| Lender fee | £3185 | Total amount payable | £171,533.00 inc. interest of £13,533.00 |
Property development loans can get you the funds you need to finance your construction projects. Here's what you need to know:
How much you need to borrow
Lenders could offer loans from just £5,000 up to £500 million.
The current value of the property you plan to develop
Lenders will limit what you can borrow up to a maximum percentage of the property value.
How long you need to pay it back
Development loans can last from just a few days, up to two years or more. The longer you borrow for, the more it will cost in interest.
You can then use this comparison to see the lenders who offer bridging finance for property development purposes.
Alternatively, you could speak with a qualified broker who can take you through the different options to find a property development loan for you.
Property development loans tend to come with expensive fees in addition to the interest you already pay. So check exactly what you have to pay before you proceed. ”Salman Haqqi (personal finance expert), Personal Finance Editor
Typical fees can include:
Arrangement fees
This is the cost of setting up your loan and is normally a percentage of the amount you borrow, but can also be a fixed cash fee. Most lenders charge between 1-2%.
Broker fees
If you use a broker to find your bridging finance, you normally have to pay them a fee. This could be hundreds, or sometimes thousands of pounds, but could be worthwhile if they can find you a cheaper loan.
Exit fees
This is the cost of paying back your loan early. Not all lenders charge exit fees, but those that do typically cost around 1% of your loan amount.
There may be other fees to pay, so always check the total cost before you proceed.
Exactly what is a loan? What can you use it for and how do you get one? Find answers to all your questions about loans here.
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Read MoreWhen you miss a payment on your loan, you'll be charged a fee. You may be issued with a County Court Judgement or have to declare yourself bankrupt if you continue to miss payments.
Read MoreComparing loans could help you save money. Our award-winning loan comparison service makes sure you get our best interest rates. Our aim is to provide you with the most up-to-date information, as well as useful tools and calculators so to help you make life's most important decisions and take control of your money.
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Last updated: 25 April, 2022
