Considered How to Get Property Development Finance?

In order to become a property developer, you will need to make sure that you have all of the financing that you need to accomplish your goals.

Speaking to a specialist property development funding company or a bank would be of great use here because they can offer you advice on how much money you will need.

You should also remember that whatever money you put into this project, you are not going to get any of it back before you get to sell (or refinance) the property.


There are so many financing packages available and they can be tailored to your needs. You need the right financing for your specific wealth creation strategy. Let’s summarise some major types of financing options available to you.

1.Fixed Interest only

This is where you only pay the interest on the loan at a fixed price.

2.Variable Interest

This is where you are required to pay the interest as it moves up and down.

3.Split Loans

this type is a combination of two types of loans one part is interest only and the other part with a variable interest. It gives you the security of a fixed interest loan and the flexibility and benefits of a variable loan.

4.Vendor Financing

This is where the vendor carries back some of the purchase price for a period of time. I did this with one of my deals, I had the vendor carry 20 per cent of the property for 18 months interest free. By doing this I turned the property deal to a no-money-down deal.

5.Commercial Loans

This is generally used for business and commercial properties or when embarking on developments of this type.  The best way for you to figure out and to get the right financing is to have a great finance broker to do the work for you.

They have access to all of the top banks and will be able to get a good deal for you; also the banks pay them for the service. Do some research and find yourself a good broker.

There are other ways of funding your projects also through syndicates, joint ventures, capital raising, investor funding, Private funding (comes at a higher cost) and equity.)

Before you embark on any project you should know how much funding will be required before you even approach any funding sources.