Secured Lending for Property Developers projects

[Mezger]

I have no desire nor skill to do Property Development, but keen to understand those that lend (secured) to Property Developers.

Does anyone here provide finance to Developers via Bridging loans?
How does it work in practice, what rates are achievable, how do you 'secure' your loan - via first charge?

Keen to hear from those with real world & recent experience.

I have some funds I am able to invest but only for 18-24mths - so too short a timeframe to pile into Index Funds (my first port of call)..

Thanks in advance!

[PoorCarCollector]

The short answer is don't, For 18-24 months go with a gilt or similar. Guaranteed returns and CGT free.

I've been in joint ventures / funded a number of property development projects in the last 15 years, they very rarely operates on anything like the timescales you are looking for.
Those that run on time are generally are done by experienced developers who already have funders they use.

I'm in a '24 month' project currently which is coming up to 5 years now. Planning enforcement / delays, contracters going bust etc

Especially in the current economic slowdown, I would strongly look elsewhere for your timescales

Edited by PoorCarCollector on Monday 1st July 08:48