Any time that you need help with funding one of your development projects, it’s imperative that you have all the paperwork required organised in a format that makes access easy. Once you determine that you’re going to undertake a residential or property development project, you should begin to keep files that you will need for completing your application. When you meet with brokers and lenders they will see your level of seriousness about the work that lies ahead and will have a favourable impression about you and your company from the start. What paperwork will you need? If you plan on doing a number of developments here in the UK, it will be worth your time to begin a series of files that you can refer to each time you begin a new project. The items mentioned below should have their own file so that you can get to what information you need quickly and without much effort.
- You should take some time to write a full and complete description of your development idea and the projected costs associated with it. For a property development finance application you will need to know the amount of loan that you require, the period of time that you will require this money, and the method that is preferred for repayment.
- You will need to also furnish the FSA number that you have, the manner in which the broker can contact you, and a statement of your role in the project. A large part of any application involves your personal information. This will include your financial standing, loans and debts that you have, how much your income is each month, and what your expenses are during this same time period. If you own your own business, you will have to show evidence that your financial statement is correct, which can include communications from an account, filed records, or tax returns. You must be accurate with your facts and figures on this part of the application. Everything will be verified, so you must state the truth regarding your financial affairs.
- One file should contain details of all your current assets and their valuation. This can include other properties, your savings accounts, any investments that you have, and other benefits from which you gain income or additional assets. If you are unsure about what you have and how it would impact your ability to secure funding, ask your professional broker who will be very knowledgeable about this aspect of your application. They can also find professionals who can provide you with valuations of your current assets as well.
- Finally, you will be asked to give details about the property that you are buying, its valuation, your detailed plans for improvement, and the value of the property once your project has been completed. You should include the estimated income that you will get from your development which can impact the amount of money that you receive to commence work on your idea.
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