A Development Finance Loan is a loan to undertake a construction project. Unlike a bridging loan where the Loan to Value (LTV) is calculated on the current value of the security when the loan is made, for a DFL the LTV (LTGDV) is calculated against the future value, known as the Gross Development Value (GDV), of the security once the project is complete.
Articles in this section
- Where is the risk?
- Is my lending guaranteed?
- When the borrower repays the loan, what happens to the capital?
- What happens to my lending if I die?
- Should I seek professional advice regarding investments?
- What is a Development Finance Loan?
- What is a captcha?
- Where can I find your Terms & Conditions ("T&Cs")?
- How will you treat loans with declarable losses?
- What is a “second charge” loan?