CONSTRUCTION LOANS

Low or No pre-sales

No pre-sales construction finance is typically sourced from private lenders and is generally less stringent, requiring low or no pre-sales and they generally don’t require financials.

Traditionally, property development projects have been funded by banks and other major financial institutions. The minimum requirements would be the borrower’s up-to-date financials and an acceptable level of pre-sales before the bank releases the funds to start construction

Low Or No pre-sales construction finance can be a viable and attractive alternative.

Advantages

  • Low or No pre-sales required
  • fast turnaround and approval times
  • will offer construction finance to small Builders
  • will lend to borrowers with limited project development experience

Opportunity 

  • no upfront marketing expenses to achieve pre-sales
  • no upfront sales commissions to specialist real estate marketers
  • easier to sell stock at realistic prices once the project has started