Property Finance Explained: Funding Options for Investors, Developers and Business Owners
Whether you are an experienced investor, a first-time developer or a business owner looking to expand, understanding your property finance options is essential. At A Fox Finance, we work with clients across the UK to help them secure the right funding for their needs. In this blog, we break down the most common types of property finance and how they can work for you.
Bridging Loans
Bridging loans are short-term funding solutions that are typically used to “bridge” a gap between buying and selling property or while waiting for long-term finance to complete. They are fast, flexible and ideal for situations where speed is essential, such as auction purchases or refurbishments.
This type of finance is popular with developers who need quick access to capital to secure a deal or complete a project. Repayment usually occurs within 6 to 12 months, often once the property is refinanced or sold.
Buy-to-Let Mortgages
Buy-to-let mortgages are designed for landlords who want to purchase residential properties to rent out. These loans are based more on the potential rental income of the property than the borrower’s income. Interest-only options are available, which can make monthly payments lower and cash flow more manageable.
Whether you are adding to your portfolio or buying your first rental property, we can guide you through the process and help you compare lenders who understand the buy-to-let market.
Commercial Mortgages
A commercial mortgage is used to purchase property for business use. This could include office space, retail units or warehouses. Commercial mortgages are also available for investment purposes, such as when a business owner wants to buy premises to lease to another company.
Terms are typically longer than other types of property finance, and the borrowing criteria can vary depending on the type of business and property.
Development Finance
If you are planning a construction or renovation project, development finance may be the right choice. This type of funding is typically released in stages, aligned with the progress of the build. It can be used for everything from small residential developments to large-scale commercial projects.
We work closely with lenders who specialise in development finance and understand the needs of both new and experienced developers. With the right finance in place, you can keep your project on track from foundation to finish.
Refinancing and Capital Raising
Already own a property? Refinancing allows you to release equity or secure better loan terms. This can be a useful option for business owners looking to free up cash for expansion or for investors seeking to reinvest in their portfolio.
Whether you are switching lenders or raising capital from an existing asset, refinancing can offer flexibility and improve your financial position.
Why Work with A Fox Finance?
At A Fox Finance, we understand that no two clients are the same. We take the time to get to know your goals and match you with tailored finance solutions. We are fully FCA authorised and work with a wide network of lenders, giving you access to competitive rates and expert advice throughout the process.
Ready to Discuss Your Options?
If you are looking for property finance advice or ready to take the next step, get in touch with the team at A Fox Finance. Whether it is your first investment or your tenth, we are here to help you secure the funding you need to move forward with confidence.