Development Funding

May 2017. $46m land subdivision in Dapto

  • Mortgage Origination Pty Ltd is pleased to announce that it has sourced legitimate development funding for construction up to A$50Million.

 

The interest rates are 6.65% – 12% pa.

Fees do apply as the source of the funding is investors. This is paid out of funding.

Mezzanine Funding is also available but at much higher rates and this is determined by the strength of the borrower, the site, the first mortgagee etc.

We have a 0.55% mandate fee. This is paid from the loan amount. A small upfront fee for initial due diligence and searches is charged and is non refundable.

We are more flexible in dealing with presales than Banks.

You must be either an experienced developer or utilising the services of a very experienced project manager and builder who have built the same size and scale development within the recent past.

So if you have a loan which fits the above parameters please give us a call or send in your enquiry by email.

We are accredited commercially with all the main banks and have access to the construction loans offered by the Banks

Some other  products in addition to the main banks with whom we hold accreditations are as follows.

Presales for Developers:

Assistance with pre-sales for developers, an innovative product.
65% GRV to a maximum of $5millon.

Will consider land subdivisions

Pre-sales may apply depending on location

Low doc availability

Non bank Lender:

Australia Wide

Construction Funding  from 4.98% to 12.95%

4 to 6 Townhouses with no presales.

Depending on investor interest.

Second Tier Funding is also available

Small construction Loans 6.65% – 12.95%

* to 15M Australia Wide
First time developers will be considered where the deal is of sufficient strength and quality with experienced builders and project managers

Vacant Land to 50% LVR. Full doc only. 4.74% pa

Servicing facility to $100m Australia Wide. Bank Owned entity and at exceptional interest rates.
Loan must stay for 24 months and service monthly .
This is not a capitalised interest facility.

Mezzanine Funding from 15% pa

Mezzanine funding for developers is available
1. Strong borrowers
2. Good Project in terms of location and ability to sell if need be.
3. The usual expectations of an exit strategy apply,ie. not nebulous.

These products are designed for borrowers/professional investors with very strong asset bases in terms of nett equity positions. They are not designed to be a no doc loan on a purchase without meeting the strict equity guidelines. Mortgage arrears are not acceptable without explanation and nor is a tax debt.

Some of these products are private lenders and some are second tier banks.