Carrying out light or heavy refurbishments on your property before letting it out to tenants can help you increase your property's rental value and encourage a higher rental income from your properties.
However, there are many things to consider, from weighing up the benefits to exploring refurbishment loans and funding options.
Utilising a fast, tailored refurbishment loan can provide the perfect short-term finance solution, and you can utilise this for residential property renovations to your landlord portfolio – but how much can you borrow?
Development loan amounts are determined by the market value of the property, and, providing you meet the relevant criteria, can be a maximum of 65% loan to gross development value (LTGDV).
Flexible loan terms also mean you can pay back your loan over a period that suits your business, whether that’s 3 months or 24 months, to ensure repayments work in line with your expected return.
Are you a landlord looking for a development loan to fund property refurbishments? Contact us to learn more about our development finance, lending criteria and eligibility.
Renovations to your rental properties can greatly benefit you as a landlord, as increasing the size of your property or offering a newly refurbished property will allow you to increase the letting value of your property and drive a higher rental income.
In the long term, this can also help you generate the necessary income to further expand your property portfolio.
· A light property refurbishment can include light redecoration, such as kitchen improvements, adding double-glazed windows or new carpets to freshen up your rental space to increase rental value.
· A heavy property refurbishment includes structural changes, such as building a conservatory or a large extension that requires planning permission. These refurbishments can help increase the size, market value and, therefore, rental value of your property.
Our team are dedicated to finding the right loan solution for you, whether you’re a landlord with multiple rental properties, a developer looking to fund their next development project or a business looking for a cashflow solution.