SPF arranges loan for new build without planning

SPF arranges loan for new build without planning



SPF Short Term Finance has arranged a bridging and development loan for the construction of a four-bed detached home..


SPF Short Term Finance has arranged a bridging and development loan for the construction of a four-bed detached home.

The site in Berkshire comprised of a garden acquisition from two adjacent properties.

London-based SPF arranged a nine-month bridging loan for the site’s acquisition and to give the client enough time to gain planning approval.

The loan interest was calculated at 0.95% per month with a 1% fee.

Once work had begun on the site, the bridging loan was rolled into a 12-month development loan at 0.8% per month with a 1% exit fee.

The overall loan-to-cost stood at 75%.

SPF said it has seen a surge in residential self-build projects, and has dealt with numerous enquiries where a client has used a standard residential mortgage or bridging loan to fund a purchase for a self-build development once planning permission has been granted.

It has also helped several clients on pre-planning purchase deals, which can be viewed here.

Earlier this year, SPF also launched its Bridging Loans Calculator app which sends out regular notifications and product updates.

The calculator can be found in the app store, or here for android users.



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