Property Investment Finance: Affording Your Portfolio Refurbishments
DEVELOPMENT FINANCE
April 26, 2023
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Property Investment Finance: Affording Your Portfolio Refurbishments

By
Acuity Finance

There are several reasons why you might want to refurbish or renovate some of your property portfolio. You may wish to increase curb appeal for potential tenants or buyers, improve your EPC rating to make your property more efficient, or carryout a loft or shed conversion for extra space.

But it’s no secret that refurbishments can be expensive, and you may need a property development finance solution to afford your desired changes. But what is property development finance, and how can you secure this type of loan?

Read onto find out!

 

Refurbishments and improvements increase property value

Whether you are looking to improve your own home, the living space of your tenants, or the quality of a property you are looking to sell, refurbishments and conversions will increase the overall value of your property.

If you are a landlord or property developer, this means you will be able to receive more money through either rental yield or the purchase of the property. Refurbishments are more appealing for both potential tenants and buyers, especially when they add a lot of value to the people living there.

One example of such improvements is by increasing the energy efficiency of a property through the replacement of old appliances, installing additional insulation, or triple glazing your windows.

Alternatively, you may choose to convert your loft or garden shed into a new living space, either as an additional bedroom, office, lounge, or anything else.

But this kind of work can be both time consuming and expensive, and you may not have the funds immediately on hand to complete these projects, especially if you have a large portfolio.

 

You can get a bridging loan for property development

Private landlords and property investors have access to a type of commercial finance designed to help them make the changes they need or to purchase a new property without immediate access to the necessary funds.

Property development finance is a type of bridge loan financing, or bridging finance, which is designed to “bridge the gap” between financial needs. The idea is that these loans can then be repaid using the additional revenue generated through increased rental yields or the sale of the property.

That means that these loans are typically small and will not cover the full expense of whatever you are trying to do, and the term is usually less than one year.

 

Acuity Finance work with you to secure a tailored loan

Acuity Finance operate with an owner-managed business model, which means we work closely with you to discern the exact type of loan you need and help ensure that it is tailored to your specific requirements.

The five core principles that guide our work are transparency, quality, dedication, responsibility, and simplicity. Our promise to you is that we will uphold each of these values while securing the right financial solution for you, with clear communication throughout.

We’ve previously worked with clients and provided loans of all sizes, from a holiday home development project in Scotland worth £450,000 to a hotel development project worth £1.3 million.

Our expertise at finding a loan agreement that suits you means you can trust us to put your needs first, and we have an in-house legal team to ensure that every offer is fair and abides by UK law.

Our bridging finance options are available between £100,000and £1million on a 3–12-month term, with rates from as low as 0.8%.

 

Get in touch with our team

If you’re in need of a loan, whether it be through bridging finance or development finance our team are always willing to help.

Drop an email to info@acuityfinance.co.uk or call us on 01905 363999 to discuss your needs with our experts!