Whilst most of the UK is experiencing a chronic shortage in housing stock, the “one man band” property developer is probably going to be the unsung hero.Why? … Well, most of the larger property developers do not see enough profit in refurbishing existing property and are more interested in grand scale new-build schemes.
Meanwhile the mid-sized property developers are chasing the most profitable development opportunities they can get their hands on. Converting empty buildings into flats and upmarket apartments can turn a very healthy profit. How many neighbourhoods have lost their cinema or at least one pub to the craze for modern style luxury apartments?
This leaves the existing housing stock, much of it ageing and in need of substantial repair available to a new breed of property entrepreneurs. To accommodate this growing need Property Development Finance has evolved with the market and has developed into a “vehicle” where aspiring property developers can quickly refurbish multiple properties.
Thanks to numerous television programmes an increasing number of people are now purchasing property to develop or refurbish with the intention of either renting it out or selling. It is this developing trend which will help regenerate inner city neighbourhoods and alleviate the UK’s shortage of houses.
Property Development Finance offers the flexibility to obtain funds quickly, for example buying a run down property at auction and then providing the finance to carry out the refurbishment work. Usually refurbishment projects do not take long to complete, often the sales process can take longer than the refurbishment phase, for this reason having the right property development finance in place can help move on to the next project whilst selling the current one.
[tags]property development finance, property funding[/tags]