Property Finance explained

Looking to purchase a property or raise finance against an existing property? We can help you find the right development finance or commercial mortgage deal.

Have the facts before you apply
Property finance covers a number of investment options and is geared towards supporting experienced property professionals in the areas of:
  • Residential property finance
  • Commercial property finance
  • Student accommodation finance
  • Mixed-use property finance

  • This type of finance is typically offered in the form of a commercial mortgage and can be used for several purposes including:
  • buying business premises finance
  • extending existing business premises
  • making residential and commercial investments
  • developing property

  • Repayment Periods
    Typical repayment periods extend from 10 years up to a maximum of 30 years. Some lenders offer commercial mortgages with shorter repayment periods – this is usually referred to as bridge finance.

    Whatever the plan, commercial mortgages do offer some important advantages over rental of property or land. However, before you take this big step consider carefully the advantages and disadvantages of these loans.
    Advantages of a property loan

    Advantages include:

    • you can keep ownership of your business and your business premises.
    • commercial mortgages are not subject to rental fluctuations, giving you a more stable business planning environment
    • with typically lower interest rates than other unsecured loans, they offer lower monthly costs and can be fixed to help you more accurately manage and forecast your finances
    • commercial mortgage interest payments are tax deductible, this can contribute to reducing your business’ annual tax overheads
    • improved cash flow management and, providing the lender agrees, you can sub-let some of your business premises.
    Disadvantages of a property loan
    Disadvantages include:
  • you need a decent sized deposit, which represents money that could be used in other business operations
  • it can be harder to move your business if you own the premises. With property rental, you can often negotiate ending your rent agreement or find another business to take up your tenancy
  • if you have a variable rate mortgage, you can leave yourself vulnerable to interest rate increases
  • you are responsible for your property including maintenance, insurance and security
  • if you lose value on the property, this will reduce your capital
  • Borrow
    From £1,000 to £5 million or more
    From 3 months to a maximum of 30 years
    Featured Funder

    Finpoint is staffed with impartial finance experts that speak your language and are always ready to walk you through the pro’s and con’s of each option before you proceed. Decide without any pressure, safe in the knowledge you got the best funding solution for your business.

    Looking for Property Finance?

    Make one simple application to find the right funding for your business

    Looking for unbiased advice?

    Finpoint is designed to help your business find the most suitable finance option. The use of our platform is completely free for companies and their advisors.

    Our expert support team is ready to help and answer any questions you have while preparing your finance project.

    Watch our short video to learn more about Finpoint or feel free to visit our Frequently Asked Questions section.

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