Options for development exit finance come from our extensive panel of bridging loan lenders, and our rates start at 0.48% per month.
Most lenders will also charge an arrangement fee, which will vary depending on the lender, loan size and loan to value. Arrangement fees of 1-2% are common, with the fees of 1% generally reserved for larger loans. There are generally no early repayment charges or exit fees on these types of loans, meaning you can repay whenever you like with no financial penalty.
In most cases, development exit finance is cheaper than development finance and as such, will represent a cost saving for you. This is because property development can be a high-risk business, with the risk of delays and unexpected problems rife.
This type of funding takes advantage of the fact that the level of risk decreases significantly as the project nears completion. As such, a new lender is generally happy to pass on the savings associated with a lower risk application to you, the borrower.