Further to our our media feature “Convincing the lender to say Yes” as published in the Australian Property Investor Magazine we focus on the topic of “Preparation for a Development Finance Facility”
When approaching a lending institution being a Bank or otherwise, it’s vital to be prepared with quality information and knowledge about the site and the project you intend to build. Whilst perhaps stating the obvious it’s amazing how often over the years at Finance Advocates, that we have been approached by clients advising that have purchased a site without any idea of the core basics of the development.
I refer to such things as the profit margin on the job, the potential gross realisation of the project, the saleability of the actual property and is it the most suitable for the area, cost of construction and other costs such as selling agents fees and the most often forgotten GST. Too often sites are purchased without regard to the land cost because emotion gets in the way of good business sense.
Of course good preparation and thorough knowledge of what you intend to build and sell if that’s the case, makes the job of the lender in approving the finance all so much easier.
Finance Advocates Australia is a development finance specialist assisting clients with this process, and not only guides developers large and small with their development finance application but also provides a guiding path with information required and feasibility reviews.
Take advantage of our obligation free development finance feasibility assessment by one of our specialist by getting in touch today on 1300 780 196.
