Aldermore doubles loan size cap on development mortgages

The bank is offering greater support for small UK housebuilders as it reports increased demand from developers for tailored finance.

SMEs will be helped to meet demand for new homes in Britain by the change to the upper loan limit, Aldermore said.

The lender has an over-arching strategy to increase support for homebuilders in 2018.

Simon Knowles, head of property development at Aldermore said: “We have seen a growing demand from existing and new customers for larger loan limits and we are delighted to provide them with a significant increase with immediate effect.

“Alongside this, our personalised underwriting service will continue to ensure that our customers receive tailored support to suit their individual needs.

“It is vital that banks offer the necessary financing to SME developers to help them meet the growing demand for new properties and tackle the significant housing shortage in the UK, and Aldermore is very much committed to playing its part.”

Since 2012, Aldermore’s property development division has helped small developers build more than 5,000 homes, and individually assesses all cases with a personalised underwriting service.