LendInvest, the leading specialist mortgage lender, has launched a new Pre-Construction Finance product targeted at property professionals seeking to obtain or enhance planning permission.
The Pre-Construction product is specially designed to support property investors in the primary stages of their development as they apply for and await planning permission. By offering a loan term of up to 18 months, the LendInvest Pre-Construction product provides the borrower with sufficient time to navigate planning, a process that can be unpredictable in duration.
Borrowers of Pre-Construction Finance who wish to apply for Development Finance with LendInvest after gaining planning permission will have their applications fast-tracked when agreed.
Key features of the Pre-Construction Finance product:
- Interest is charged at 1% – 1.50% per calendar month
- No exit fees
- Available on loans between £75,000 and £5 million
- Available on terms up to 18 months
- A maximum loan-to-value of 65% applies
Ian Thomas, Chief Investment Officer at LendInvest, said: “There can be many hurdles when it comes to acquiring planning permission, so it will be a comfort for borrowers to know that they can rely on a finance product specially designed for what can be an uncertain time in the full development project. With pre-construction finance loans lasting up to 18 months, our borrowers will have enough time to deal with whatever issues they might come across without a ticking clock behind them.”
Pre-Construction Finance is LendInvest’s second product launched in 2017, following the successful rollout of Refurbishment Finance in February.