Commercial Finance
Funding 365 launches into development finance
Funding 365 has launched into the development finance space with a light development product.
It allows borrowers to carry out property conversions and heavy refurbishments, or to finish and exit their existing development projects.
The product is customisable and is available up to 75 per cent loan-to-value (LTV) on day one with up to 100 per cent of cost of works funded in arrears.
Eligible loans will be between £200,000 and £3m in size and secured against properties in England and Wales for up to 24 months, with rates starting from 0.79 per cent per month.
Funding 365 said clients can decide how to structure their loans in relation to the number of advances required and whether to structure the loans with or without exit fees.
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It added that borrowers with adverse credit or limited experience will also be considered.
Funding 365 managing director Mike Strange (pictured) said: “We’re extremely excited about the launch of this development product for our brokers and borrowers.”
He noted that developers were seeking affordable finance for their projects with a minimum of fuss.
The lender added that it was not able to predict further expansion in the sector and that it was just concentrating on the launch of this product.
Bridging rates
Funding 365 has also confirmed post-lockdown interest rates for its bridging products from 0.59 per cent per month for residential investment properties and 0.69 per cent per month for commercial properties, with LTVs up to 75 per cent.