What Is Development Finance?
Development finance is a short-term loan designed specifically for property development. Unlike traditional mortgages, which fund purchases, development finance pays for construction, renovation or conversion work — making it ideal for developers who need funds throughout the build process.
Common uses include:
- Residential new builds and small housing schemes
- Commercial developments such as offices, retail units and industrial buildings
- Mixed-use sites combining residential and commercial space
- Property conversions, including office-to-residential projects
If you’re planning a build or refurbishment project, development finance provides the structured, stage-based funding you need.
How Mortgage Force Helps With Development Finance
Securing development finance can feel complex — but our expert brokers make the process simple and efficient. We provide:
- Expert guidance: Clear explanations of how development loans work, costs involved and lender requirements
- Tailored funding solutions: Every development is different — we match you with the right lender for your build size, equity and timeline
- Whole-of-market access: We compare specialist development lenders to secure competitive terms and flexible drawdown structures
- Smooth application handling: From paperwork to lender negotiations, we manage the full process for you
- Ongoing support throughout the build: We stay involved to ensure funding stages align with your project’s progress
Wherever you are — Derby, Cambridge, London or Edinburgh — our local experts are ready to support your development journey.
Ready to Get Started?
Flexible UK development finance for residential & commercial projects. Expert support from Derby, Cambridge, London & Edinburgh. Fast decisions & tailored funding.
Key Features of Development Finance
- Short-term funding: Typically 6–24 months
- Staged drawdowns: Funds released in phases as construction progresses
- Covers land + build costs: Many lenders fund up to 70–75% of land value and 100% of build costs
- Higher interest rates: Reflecting short-term nature and project risk
- Exit strategy essential: Usually repaid via sale or refinance to a long-term mortgage
Why Developers Choose Mortgage Force?
- Save time and money with expert lender comparison and negotiation
- Straightforward, jargon-free guidance
- Years of experience supporting UK developers of all sizes
- Access to lenders who understand residential and commercial builds
- Strong regional expertise through our offices in Derby, Cambridge, London & Edinburgh
Some kind words from our clients
Rachel has been incredible in securing us a mortgage and I cannot recommend her highly enough. The whole process was clear from beginning to end and Rachel kept us up to date every step of the way. We had a tricky property to mortgage and Rachel was able to secure us a good product from a high street lender. I have recommended her to friends and family and would use her again for any future mortgages. Thanks Rachel!
A 5 star experience of first time buying thanks to Rachel and Joanne. I was worried buying a home would come with so much stress but I can honestly say it’s been more or less stress free! Quick and professional communication and even got a better mortgage deal than I thought! Can’t recommend or thank them enough!
Rachel and Jo at Mortgage Force were outstanding start to finish. They went above and beyond with everything they did, helping us to purchase our first home. We've been told many times how stressful buying a house is but with Mortgage Force it felt like a breeze! Rachel was informative and broke everything down so that we fully understood all of the house buying lingo and both Jo and Rachel were friendly, helpful, super quick to respond to any queries and just a pleasure to deal with.
Commonly asked questions about Development Finance.
Not always. While lenders prefer experienced developers, first-time developers can still qualify with the right project, build team and feasibility plans.
Lenders typically offer up to 70–75% of the land value and up to 100% of build costs (subject to valuation and lender criteria).
Funds are released in stages, known as drawdowns, after a surveyor confirms that progress aligns with your build schedule.
A mortgage funds property purchases long-term. Development finance funds construction work short-term and is repaid when the project completes or refinances.
You repay it through your exit strategy — usually selling the completed property or refinancing to a buy-to-let or commercial mortgage.
