FINANCE OPTIONS

^Get Development Finance for House Builders Today

Q: What amounts are typical for house builder development finance

Typical development finance borrowing can start around £250,000 and commonly reach £15,000,000+. Amounts depend on the project’s size and GDV, leverage versus valuation (LTV/ATV), planning and construction certainty, and the strength of security over the land or project, as assessed by lenders.

Q: How long does a development finance decision take

After submission, initial in-principle decisions are often 2 to 6 weeks. First drawdown can be later, frequently 4 to 10 weeks from initial submission, depending on underwriting progress, valuation availability, legal completion, and how quickly any conditions are met.

Q: What interest rates should house builders expect

For development finance loans, typical pricing ranges are around 9% to 20% per year, varying by LTV/ATV, scheme and construction risk, drawdown structure, and whether the pricing is floating or partly fixed. Fees such as arrangement and administration are also common.

Q: Which development finance type fits my scheme

The main types include Land + development bridging (site acquisition), Refurbishment + conversion development finance, and Development finance with phased drawdowns. Your fit depends on whether you are funding land and early works, converting an existing building, or focusing on construction-stage spend where the site is already secured.

Development Finance for House Builders is typically provided as a development finance loan, a time-bound funding facility for residential projects. It supports activities from land purchase and building works to associated professional and enabling costs, until the scheme is completed and the units are sold or refinanced. For UK house builders, lenders usually underwrite the facility to the specific site and the scheme’s cashflow, using drawdown, valuation and progress milestones as key conditions. Builders use it to manage the timing gap between paying for development and receiving sale proceeds.

Development Finance

Secure up to £1,000,000 in Development Finance with Funding Agent.

Fastest and easiest application process
Dedicated support
Loan disbursed within 24 hours
No additional charges for early repayment

Apply Now

Key benefits for residential developers

Development finance is designed for project-based cashflow. A milestone and valuation-led structure can help you keep construction moving while aligning repayments to completion and sell-down or refinance. Below are the practical benefits commonly seen with this loan type, alongside typical pricing and decision timing.

Cashflow through build stages

Security focused on the site

Repayment matched to exit

SCALE YOUR BUSINESS TO NEW HEIGHTS

Development finance loan types

Land + development bridging (site acquisition)

Use this route to fund land purchase and early enabling costs, bridging the gap before construction completes and sales begin.

Land + development bridging (site acquisition)

Land + development bridging, often used for site acquisition, supports developers to pay deposits and get works started. It typically suits schemes with a clear planning position and realistic appraisal of sales value after works. Lenders usually expect site-specific documentation, purchase terms or evidence of purchase funds, and a project plan and budget. Amounts commonly range from around £500,000 to £10,000,000+ and terms are often 12 to 36 months, with pricing frequently influenced by LTV, project risk and security.

Refurbishment + conversion development finance

Designed for converting and refurbishing existing buildings into saleable homes, managing cashflow during contractor and remediation works.

Refurbishment + conversion development finance

Refurbishment + conversion development finance supports projects where an existing property or residential stock will be converted or refurbished into new homes. Lenders look for a clear scope of works, contractor quotations, and evidence of planning or consent where required. Condition reports and remediation risks matter, as do exit assumptions such as after-repair value. Typical amounts are often around £250,000 to £5,000,000+, with terms commonly 9 to 24 months for smaller conversions and 18 to 36 months for larger or higher-risk schemes.

Development finance with phased drawdowns

Ideal when the site is already secured and you need construction-stage funding released against milestones across the build programme.

Development finance with phased drawdowns

Development finance with phased drawdowns focuses on construction-stage funding rather than acquisition, usually where the developer already owns the site or has secured it legally. Eligibility typically includes an achievable build programme, contractor credentials, and acceptable valuation of the site and scheme, plus evidence you can complete. Funds are released in stages linked to milestones such as enabling works, foundations, superstructure and completion. These facilities are commonly for 12 to 30 months, with drawdowns designed to help manage retention, snagging and staged sell-down.

Typical Funding Journeys on Funding Agent

Submit your funding request

Our platform enriches your application using business data

Your request is matched to suitable lenders

Receive offers and proceed with the best option

How to get development finance through Funding Agent

Share your scheme details

Tell us about the site, planning or consent status, purchase or ownership position, development budget and build timeline. We also capture expected sales or exits, plus contractor arrangements and your track record with similar projects.

Match to lenders and terms

We narrow options to lenders that commonly fund the development finance approach you need, such as acquisition bridging, refurbishment or construction-stage drawdowns. You will better understand likely facility size, drawdown structure and pricing drivers tied to scheme risk.

Submit and progress to drawdown

We support your application pack submission and coordinate what is needed for underwriting and legal security steps. If the lender progresses, we help you navigate the drawdown conditions through to the first release, aligned with milestone evidence.