{"id":699,"date":"2019-05-23T16:50:21","date_gmt":"2019-05-23T15:50:21","guid":{"rendered":"https:\/\/magnetcapital.co.uk\/?p=699"},"modified":"2019-10-01T11:35:46","modified_gmt":"2019-10-01T10:35:46","slug":"what-information-do-i-need-to-provide-for-development-finance","status":"publish","type":"post","link":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/","title":{"rendered":"A Guide: What information do I need to provide for development finance?"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">If you are looking to apply for development finance in order to be able to fund a building project, then it is important that you prepare as much as possible before making your application. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">There are a variety of things that you should be taking into consideration, so that you can carefully plan the application that you make, and in order to ensure that getting a development finance loan is the right option for you. We take you through the information that you will need to provide, as well as overall lending criteria for development finance.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2>Lending criteria for development finance<\/h2>\n<p><span style=\"font-weight: 400;\">It is important to keep in mind that development finance lenders will usually consider application on a case-by-case basis. However, it is still important to keep the following points in mind too:<\/span><\/p>\n<ul>\n<li><b>Term of loan:<\/b><span style=\"font-weight: 400;\"> this will usually be between 6 and 18 months in total. Some lenders may be more flexible with the terms of a development finance loan, but you will usually find it is a period of 12 to 18 months without any penalties for paying the loan earlier than anticipated.<\/span><\/li>\n<li><b>Loan to value maximum:<\/b> this will usually be in the region of a maximum of 55% of GDV. \u00a0The lender will consider how much you are wanting to borrow as a percentage of the gross development value of the completed project.\u00a0The maximum loan value that you can receive based on GDV is usually 55% but it can be higher.<\/li>\n<li><b>Experience:<\/b> the level of experience of the property developer will also be important.<\/li>\n<li><b>Security offered:<\/b> the building or site offered as security must be suitable<\/li>\n<li><b>Location of the development: <\/b>the location of the site or building will also be taken into consideration.<\/li>\n<li><b>Feasibility of the project:<\/b> the lender must believe that the project you intend to carry out is feasible. If they have too many concerns, your application could be rejected outright.<\/li>\n<\/ul>\n<h2><\/h2>\n<h2><strong>What information is needed for a development loan application?<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">In terms of the information that you will need to provide to a lender when applying for a development finance loan, you will find that you will require these details:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Details of the site or building: this includes the value, location and the price of the site or property<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Development costs<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Development appraisal<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Planning permission details: what you are intending to build and what permission you have already for the site<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Gross Development Value details: this includes providing evidence of the expected end value to the lender.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The details of all applicants involved. If you are a limited company then the directors details will all be required too. This includes the history of previous developments carried out, how successful they were, their CVs, and project profits from previous developments.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Who the main contractor will be<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Who will be the project manager for the development finance project<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Company structure<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Asset and liability statement for the company directors or applicants involved<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h2>What paperwork will I need to provide?<\/h2>\n<p><span style=\"font-weight: 400;\">Other important items you will need to provide include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">A detailed breakdown of all project costs<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">All designs and drawings of the project<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Planning permission details and applications<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">A complete schedule of works for the project<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Details of professionals involved in the project<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Details of your previous development experience<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">A completed Asset, Liability, Income and Expenditure Summary (ALIE)<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">A planned exit strategy for the project being carried out<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>If you are looking to apply for development finance in order to be able to fund a building project, then it is important that you prepare as much as possible&#8230;<\/p>\n","protected":false},"author":2,"featured_media":700,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11,4],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.9.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>What Information do I need for development finance? - Magnet Capital<\/title>\n<meta name=\"description\" content=\"We provide all the information you need to provide for development finance including your plans, company structure, list of proposed costs and more.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What Information do I need for development finance? - Magnet Capital\" \/>\n<meta property=\"og:description\" content=\"We provide all the information you need to provide for development finance including your plans, company structure, list of proposed costs and more.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/\" \/>\n<meta property=\"og:site_name\" content=\"Magnet Capital\" \/>\n<meta property=\"article:published_time\" content=\"2019-05-23T15:50:21+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2019-10-01T10:35:46+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/magnetcapital.co.uk\/wp-content\/uploads\/2019\/05\/adult-architect-architectural-design-1260309.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"640\" \/>\n\t<meta property=\"og:image:height\" content=\"426\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Ashley Ilsen\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Ashley Ilsen\" \/>\n\t<meta name=\"twitter:label2\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/\"},\"author\":{\"name\":\"Ashley Ilsen\",\"@id\":\"https:\/\/magnetcapital.co.uk\/#\/schema\/person\/943f56b0fc55ec0fc9af9c36428fb2b0\"},\"headline\":\"A Guide: What information do I need to provide for development finance?\",\"datePublished\":\"2019-05-23T15:50:21+00:00\",\"dateModified\":\"2019-10-01T10:35:46+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/\"},\"wordCount\":568,\"publisher\":{\"@id\":\"https:\/\/magnetcapital.co.uk\/#organization\"},\"articleSection\":[\"Blog\",\"Development Finance\"],\"inLanguage\":\"en-GB\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/\",\"url\":\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/\",\"name\":\"What Information do I need for development finance? - Magnet Capital\",\"isPartOf\":{\"@id\":\"https:\/\/magnetcapital.co.uk\/#website\"},\"datePublished\":\"2019-05-23T15:50:21+00:00\",\"dateModified\":\"2019-10-01T10:35:46+00:00\",\"description\":\"We provide all the information you need to provide for development finance including your plans, company structure, list of proposed costs and more.\",\"breadcrumb\":{\"@id\":\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/#breadcrumb\"},\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/magnetcapital.co.uk\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"A Guide: What information do I need to provide for development finance?\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/magnetcapital.co.uk\/#website\",\"url\":\"https:\/\/magnetcapital.co.uk\/\",\"name\":\"Magnet Capital\",\"description\":\"Your Development Finance Partner\",\"publisher\":{\"@id\":\"https:\/\/magnetcapital.co.uk\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/magnetcapital.co.uk\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-GB\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/magnetcapital.co.uk\/#organization\",\"name\":\"Magnet Capital\",\"url\":\"https:\/\/magnetcapital.co.uk\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\/\/magnetcapital.co.uk\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/magnetcapital.co.uk\/wp-content\/uploads\/2018\/01\/Website_Logo_LIGHT_1.png\",\"contentUrl\":\"https:\/\/magnetcapital.co.uk\/wp-content\/uploads\/2018\/01\/Website_Logo_LIGHT_1.png\",\"width\":163,\"height\":120,\"caption\":\"Magnet Capital\"},\"image\":{\"@id\":\"https:\/\/magnetcapital.co.uk\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/magnetcapital.co.uk\/#\/schema\/person\/943f56b0fc55ec0fc9af9c36428fb2b0\",\"name\":\"Ashley Ilsen\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\/\/magnetcapital.co.uk\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/d2a9681e8e65114a007a5b2aa0d10a2a?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/d2a9681e8e65114a007a5b2aa0d10a2a?s=96&d=mm&r=g\",\"caption\":\"Ashley Ilsen\"},\"url\":\"https:\/\/magnetcapital.co.uk\/author\/ashley-ilsen\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"What Information do I need for development finance? - Magnet Capital","description":"We provide all the information you need to provide for development finance including your plans, company structure, list of proposed costs and more.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/","og_locale":"en_GB","og_type":"article","og_title":"What Information do I need for development finance? - Magnet Capital","og_description":"We provide all the information you need to provide for development finance including your plans, company structure, list of proposed costs and more.","og_url":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/","og_site_name":"Magnet Capital","article_published_time":"2019-05-23T15:50:21+00:00","article_modified_time":"2019-10-01T10:35:46+00:00","og_image":[{"width":640,"height":426,"url":"https:\/\/magnetcapital.co.uk\/wp-content\/uploads\/2019\/05\/adult-architect-architectural-design-1260309.jpg","type":"image\/jpeg"}],"author":"Ashley Ilsen","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Ashley Ilsen","Estimated reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/#article","isPartOf":{"@id":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/"},"author":{"name":"Ashley Ilsen","@id":"https:\/\/magnetcapital.co.uk\/#\/schema\/person\/943f56b0fc55ec0fc9af9c36428fb2b0"},"headline":"A Guide: What information do I need to provide for development finance?","datePublished":"2019-05-23T15:50:21+00:00","dateModified":"2019-10-01T10:35:46+00:00","mainEntityOfPage":{"@id":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/"},"wordCount":568,"publisher":{"@id":"https:\/\/magnetcapital.co.uk\/#organization"},"articleSection":["Blog","Development Finance"],"inLanguage":"en-GB"},{"@type":"WebPage","@id":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/","url":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/","name":"What Information do I need for development finance? - Magnet Capital","isPartOf":{"@id":"https:\/\/magnetcapital.co.uk\/#website"},"datePublished":"2019-05-23T15:50:21+00:00","dateModified":"2019-10-01T10:35:46+00:00","description":"We provide all the information you need to provide for development finance including your plans, company structure, list of proposed costs and more.","breadcrumb":{"@id":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/#breadcrumb"},"inLanguage":"en-GB","potentialAction":[{"@type":"ReadAction","target":["https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/magnetcapital.co.uk\/blog\/what-information-do-i-need-to-provide-for-development-finance\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/magnetcapital.co.uk\/"},{"@type":"ListItem","position":2,"name":"A Guide: What information do I need to provide for development finance?"}]},{"@type":"WebSite","@id":"https:\/\/magnetcapital.co.uk\/#website","url":"https:\/\/magnetcapital.co.uk\/","name":"Magnet Capital","description":"Your Development Finance Partner","publisher":{"@id":"https:\/\/magnetcapital.co.uk\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/magnetcapital.co.uk\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-GB"},{"@type":"Organization","@id":"https:\/\/magnetcapital.co.uk\/#organization","name":"Magnet Capital","url":"https:\/\/magnetcapital.co.uk\/","logo":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/magnetcapital.co.uk\/#\/schema\/logo\/image\/","url":"https:\/\/magnetcapital.co.uk\/wp-content\/uploads\/2018\/01\/Website_Logo_LIGHT_1.png","contentUrl":"https:\/\/magnetcapital.co.uk\/wp-content\/uploads\/2018\/01\/Website_Logo_LIGHT_1.png","width":163,"height":120,"caption":"Magnet Capital"},"image":{"@id":"https:\/\/magnetcapital.co.uk\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/magnetcapital.co.uk\/#\/schema\/person\/943f56b0fc55ec0fc9af9c36428fb2b0","name":"Ashley Ilsen","image":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/magnetcapital.co.uk\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/d2a9681e8e65114a007a5b2aa0d10a2a?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/d2a9681e8e65114a007a5b2aa0d10a2a?s=96&d=mm&r=g","caption":"Ashley Ilsen"},"url":"https:\/\/magnetcapital.co.uk\/author\/ashley-ilsen\/"}]}},"_links":{"self":[{"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/posts\/699"}],"collection":[{"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/comments?post=699"}],"version-history":[{"count":7,"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/posts\/699\/revisions"}],"predecessor-version":[{"id":728,"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/posts\/699\/revisions\/728"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/media\/700"}],"wp:attachment":[{"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/media?parent=699"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/categories?post=699"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/magnetcapital.co.uk\/wp-json\/wp\/v2\/tags?post=699"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}