Whether you’re planning to carry out light internal work or heavier construction-based refurbishments, Refurbishment Finance is a lending opportunity designed to support your projects.
What is Refurbishment Finance?
Refurbishment Finance – often referred to as a refurbishment mortgage, refurbishment loan or renovation mortgage – is a short-term loan used to fund light or heavy development work that may need to be done to a property on your portfolio.
How can Refurbishment Finance help?
Property owners can raise a significant amount of refurbishment finance quickly to bridge gaps that may arise in funding your project, allowing you to repay the loan following the sale of the property, or refinance through longer-term loans, such as a mortgage.
Refurbishment finance can support landlords with a number of projects, including:
- Costs to refurbish commercial or residential property
- Cosmetic alterations, including redecoration
- Plumbing and drainage works
- Electrical work and rewiring of your property
Who can get Refurbishment Finance?
Refurbishment finance is designed for property investors, landlords and property developers who are looking to refurbish or convert a property before selling it. It can be used by individuals, sole traders or through a limited company.
Though frequently used by landlords, you don’t need to be an experienced property developer to get finance for your property refurbishment. Crucial to the decision is a clear exit strategy, and the ability to give your lender an outline of how you plan to repay your loan at the end of the term.
What are the benefits of Refurbishment Finance?
- Access to Capital: Investors are provided with access to the capital they need to purchase and renovate properties, even if traditional mortgage financing may not be available due to the condition of a property
- Flexibility: Refurbishment finance offers flexibility in terms of loan terms, allowing the borrower to tailor the financing to suit their specific requirements
- Value Creation: Renovating properties gives investors the opportunity to enhance the value of their investments, potentially generating higher returns following their sale or through rental income
- Speed: Finance can be obtained quickly compared to traditional financing opportunities, allowing investors to capitalise on opportunities under tight timelines
What are the key features of Refurbishment Finance at Albatross?
- Day 1 LTV 70% max
- Loan to Cost metric up to 70%
- LTGDV To reduce throughout the term
- Fixed rates from 0.99% pcm
- First time developers considered
How can I apply?
Trust between you and your lender is crucial when borrowing funds to complete refurbishment work on a property. We understand this need and it is this trust that empowers our mission at Albatross, simplifying the process and working sustainably for clients, today and in the future.
We are a team of finance and property specialists focused on supporting your project, providing the start-up capital required to get cracking, and the drawdown capital to keep up the process throughout.
To learn more about Albatross’ Refurbishment Finance opportunities, speak directly to one of our decision-makers today.
Nils Raber, Associate Director
Telephone: 0208 079 7691
Email: nils@albatrosslending.co.uk