Our customer approached us with the aim of purchasing a plot of land in Kent, on which he would develop one residential property and then sell it upon completion.
A purchase price of £360,000 had been agreed, with £240,000 to be paid upfront and the remaining £120,000 to be deferred consideration and paid to the seller once the property had been built and sold.
We set about creating a financial structure that would help our customer purchase the land and make a final profit.
How We Helped Our Customer
We decided that the most effective way to help our customer would be to put a deed of priority in place, which allowed us to take a first charge on the property with the seller registering a second charge for his deferred consideration. This helped us to release the maximum amount of funds possible to our customer straight away.
Tailoring Our Services to the Customer
As always, we wanted to help the customer in any way we could during the build, so we arranged a site visit to make sure that we were indeed providing all of the assistance that we could, and of course this approach allowed us to talk directly to him about his needs.
We worked to the customer’s timescale by releasing funds at six separate stages, when onsite builders and tradesmen needed payment.
Our customer was happy with our financial arrangement, which helped to fund his creative and highly profitable project. Once the building was completed and sold, he gained a net profit of approximately £200,000.
Begin Your Next Property Venture Today
Our development finance has helped many of our customers complete their property ventures and achieve a final profit. Whether you are purchasing a plot of land or you simply want to refurbish your property, we have a suitable lending option for you.
Fill in our enquiry form and a member of our team will get back to you, or call us on 08000 44 84 84 and we will discuss the best finance options for your next project.