We’ve been helping property developers like you for over 40 years. In that time, one thing has become very clear: there’s enormous potential in renovating older properties. And in today’s property market, renovating is not just an option; it’s an opportunity.
Lee Merrifield
What Are Refurbishment Loans?
A refurbishment loan is capital you borrow to renovate, convert or improve an existing property. It’s different from a ground-up development loan because it is designed specifically for the costs tied up in fixing and improving a building that is already built. Whether you’re working on a small flat or a large commercial space, a refurbishment loan could be your key to success.
Benefits of choosing renovation
1. Flexibility
Renovation loans are flexible. That means you can use them for a variety of things like new plumbing, electrical work, or even an extension. You design your project; we help you fund it.
2. Quick Approval
We know time is money. Depending on the level of renovation needed, a refurbishment loan is a lot quicker to get valuations for, and planning sign off (if it’s even needed!). Therefore, the speed that you can start and finish a refurb over a new build is noticeably quicker.
3. Unlocking New Markets
Older properties often sit in established and desirable areas. Renovating them can help you tap into high-value markets where new builds just can’t go.
The Current UK Property Market and Renovation Opportunities
The property market in the UK has had its fair share of ups and downs in recent times. From uncertainty around interest rates and housing prices to the challenges posed by economic fluctuations, developers have had to navigate a turbulent market. Here’s where choosing renovation over new-build could potentially help increase stability for developers.
In periods of market volatility, it’s often riskier to invest in new builds, which require significant capital and long timelines. Renovations, however, can be quicker to market and often need a smaller initial investment.
By focusing on refurbishment, developers can pivot more easily in response to market changes, ensuring a better chance of a profitable exit. So, in an ever-changing landscape, refurbishment loans offer not just financial support but a form of risk mitigation, enabling you to adapt and keep your competitive edge.
Adding this perspective to your strategy can make a world of difference, particularly in these uncertain times.
How MSP Capital Can Help
At MSP Capital, we’re not just lenders; we’re your partners in property development. Our decades of experience make us uniquely suited to understand your needs and offer the right solutions.
We have a range of funding solutions that are designed to help you at every stage of your project – including heavy and light refurbishment loans. Our team is always on hand to provide expert advice, and we genuinely enjoy seeing developers turn older properties into modern masterpieces.
We’re here to make sure that the finances of your project don’t get in the way of success.
So if you’re looking to breathe new life into an older property, consider a renovation loan. With the right support, these projects can be both rewarding and profitable.
Ready to unlock the potential of your next project? Get in touch now or visit our Heavy Refurbishment Development Loan page to learn more and get started.
