Buying a piece of land is one of the most critical aspects of building. It is the place that your dream home will rest upon for a lifetime; therefore, it is important to absorb as much knowledge as possible before you ever put a deposit on a piece of land for sale.

Are your dreams realistic, and what is the eventual return? Consider the surroundings, the community, and whether the land is wet or dry. What does the adjacent property look like, or who are your neighbours? Is the land worth the money you will be spending to purchase a parcel? How many acres is the land, and does the piece of land provide the adequate space you need to hold your dream home’s building design?

Here are 8 questions you should get answered before buying a piece of land:

1. Does the surrounding area have quick exit points to major highways? This may not seem like a big deal, but in case of natural disasters or even for the convenience of getting from one place to another in a hurry, major highways are essential to the land you want to live on.
2. What is the area going to be like in 10 years? Does it have sustainable infrastructure, or is the community destined to struggle with time? No one can be a fortune-teller, but you should study the history of the area for any revealing tell-tale signs that may determine the worth of your property further down the line. If recent malls and housing developments have been springing up nearby, that’s a good sign of growth.
3. Anyone who is considering buying land needs to look at the overall value of the land and compare it with all the options. Look for intangibles, like wide open areas or land that can be used for farming, industry, or even other real estate opportunities.
4. How accessible is the land you’re going to buy? For example, if you live too far out in the woods, it could cost you a pretty penny to hire builders who will charge for extra travel and materials. It could also cost more for heat, snow removal, road improvements, etc. It may not be a good thing if the land is too isolated.
5. If at all possible, try to rent property in the area before you buy the land. Doing this will allow you to get to know the community and see if it’s really somewhere you want to live.
6. Another good idea when considering buying land is to look at the zoning requirements. Look for any potential problems with the building plans you may have in the future. You don’t want to buy land somewhere only to discover there may be limitations on your home building plans, or perhaps you would not be allowed to set up a business on your land because of zoning restrictions. Find out now before you buy land!
7. You should also look into any potentially hidden industries in the surrounding area that could come as a surprise later on. You don’t want to buy a piece of land and find out there is a big nuclear power plant or factory nearby that sends its foul air or poisonous gases your way.
8. Research the parcel’s background to see if it has a hidden history, such as hazardous waste accidents, ghost stories, or any other weird circumstances. Make sure it has a clean title as well.

After you find out the answers to these 8 considerations in buying a plot of land, you will feel more peace of mind that the land you are buying is a good choice. It will also be less stressful; otherwise, you could run into a lot of problems when building a home on your new land. Clean land has the potential to become an investment for you in the future. Never assume anything in the real estate business. Any extra information that you can find will go a long way in your search!

Rag to riches stories, drag to fab situations, dramatic and awesome restorations, all of these make for inspiration. You probably enjoy watching an episode of Extreme Makeover as much as the next person. There is nothing more exciting than watching a dull building transform into an awesome masterpiece.

As a home restoration expert, I can confidently say that not all restoration projects cost a fortune. It simply depends on the amount of work needed and the picture you have in mind. You can get a really awesome renovation for a few thousand; however, a big project can run into hundreds of thousands.

If this is the case and your funds cannot carry what you have in mind, all is not lost. You can apply for a bridging loan to fund your renovation project. A bridging loan provides a way to raise short-term finances that will allow you to get your renovations done while looking for other sources of long-term finance. This way, your project won’t get stuck for lack of funds, and you can join the few lucky ones whose homes are beautiful enough to grace home magazines and websites.

While virtually every restoration is beautiful in its own right, check out the following 8 to see examples of some really amazing restorations.

Up one level

A two-bedroom bungalow in Hampshire became too small for the growing family, despite the fact that it had a small terrace out back. Due to the sloping terrain surrounding the house, building an extension would have been too expensive. The best approach, therefore, was to construct a new first floor, adding a dual-pitched roof that allowed all bedrooms to be located upstairs. This made it possible to have a bigger and better living room on the ground floor.

The original bedroom was joined into the hallway to create a bigger entrance with a staircase and vaulted ceiling. The overall effect is one of extreme creativity coupled with an awesome, stylish white finish.

An astonishing remake

A 1950s bungalow in Oxfordshire was brilliantly converted into an ultramodern masterpiece, with much of the materials coming from the original structure. The owners wanted a modern home suitable for their growing family, and the result was a striking difference from the drab-looking farmhouse-type bungalow with three bedrooms and a loft. The new structure came with better access to the garden, a well-lit living area, and a glazed extension, resulting in an awesome courtyard setting.

From old to modern

Almost everywhere in the UK, you are bound to come across a ranch-style home. One such home was bought by a family in Manchester with the intention of modernising it. The idea was to give it a whole new look without tearing down the building or changing the structure in any way. The result is an exciting new structure with a silhouette design made by creating a bigger living and sleeping area and by adding a new parapet to the roof. A dried Douglas fir coat on the old brick exterior gave the building an endearing rustic atmosphere, which also allowed it to blend in perfectly with other houses in the neighbourhood.

Meet the Tudors

Mark and Julia came across a Georgian home for sale in Shropshire and fell in love with it immediately. After buying it, they spent the next ten years putting it together. The result is an awesome Tudor-style home that anyone will envy. The new design involves bringing down the height of the house; they were also able to add twin three-story wings, leaving the original two-story building in the middle to create a balance. One entire wing has a guest entrance, a ground-floor living room, a kitchen, and two bedrooms. It is obvious that very close attention was paid to every detail and aspect of this awesome renovation.

Dreary home to period charm

Restoring a home to its original state is a very British thing to do, or so the Brits think. But what cannot be denied is that period homes have a charm that modern buildings do not, so you cannot blame anyone who wants to restore their homes to their original vintage beauty. A 19th-century terraced building in the south-west of London is one such building that became a victim of the 20th century. Lots of modern updates helped strip off its period charm, making it a ghost of its original self.

Restoring the original Victorian sash windows and exposing the brick walls are just some of the steps taken to restore this home to its lost glory.

When ugly just won’t work

Owner Jo Glenton realised that his 1960s Cheshire 3-story property was ugly, despite its good proportions and great location. A lot of’major surgery’ was carried out on the property to bring it to a point where anyone can be proud to own it.

This involved dealing with the ugly brickwork and using a soft colour scheme to create a balance between every component of the house. The windows are enlarged to allow for more natural light, and the green tile on the roof was replaced with slate to allow for a more natural look. The overall result is a testament to creativity and will.

Renovating for space

In 2012, Sam and Patrick Regan came across a detached 1950s home with a little bit more than the regular wear and tear. Leaking roofs, rotten and broken windows, and very little visual appeal are putting a brave face on what the new owners were to face in their new home. Even the estate agent couldn’t help but admit that the property needed a bit of work.

Despite these limitations, Sam and Patrick set about converting their four-bedroom property into a five-bedroom home for their family.

Today, Sam, Patrick, and their family have zero regrets and are completely enjoying their new home.

Utilising the loft

Designer Sarah Wallis bought a single-story flat in London that was made up of a set of small rooms left abandoned since sometime in the 1970s. Despite the state of the property, Sarah was willing to take it and invest time and money into renovating it into a whole new loft flat. The project involved knocking down the walls between rooms and making a large open space for the living and kitchen areas. Two-thirds of the ceiling was then moved to allow for an extra bedroom and bathroom. The overall result is an awesome-looking loft maisonette.

Studies show that more people are looking for homes that suit their lifestyle. However, they may not have the time, skill, or inclination to fix up the property on their own. This is where smart investors can make massive profits. Renovations can greatly increase the value of a property, and an eagle-eyed investor can pick up a property for a song, put in a bit of cash for renovations, and sell it off at a huge profit.

In this article, we look at 10 tips to adopt that would greatly increase the value of a home after renovation:

1. Do your research: Take a moment to suppress the excitement of the possibility of making a killing in a renovated property and research the improvements that are more likely to add value to the home. When doing your research, you need to take the following factors into consideration: the neighbourhood prevalent taste, the style of the house, and the current market. This information will help you decide the type of renovation you need to carry out and the part of the property you should pay more attention to. No matter how fancy they are, changes that don’t fit won’t fly, and rather than increase the value of the property, they may actually make it drop.
2. It’s not about you: Everyone has an idea of what their dream home should look like. But if you are renovating for profit, adding your idea of ‘character’ can be counterproductive. What is attractive to you can actually be a turn-off for someone else. Therefore, ensure that your plans for renovations actually add value to the home. You need to think about what the buyer will want, not what you want. Are you renovating for young couples or a small family? In order to make massive profits from your renovation, you have to end up with a product people will want to buy.
3. Budget: if you were renovating for yourself, then it would have been okay to splurge a bit, but if the plan is to make a massive profit, then you may need to be cautious with your expenditure. It is a good idea to engage a professional who will value the property and help you come up with a good budget. Aim to sell off the property at double what you spent on the whole project, with a little bit of buffer to give room for negotiations.
4. Get your finances together: You have your estimate; now is the time to check your savings account. No matter how cautious a budget is, market conditions can change suddenly, and this can cause a spike in prices. If you feel that what you have saved up will not see the project through, you can easily raise more money by applying for a bridging loan. A bridging loan offers you a way of quickly raising money in the short term to finish your project. Once you sell the home, you can pay off your debt. However, it is important that you have enough money to see you through the project. It just wouldn’t do to get stuck halfway because of insufficient funds.
5. Make it simple: Sometimes, simplicity can be the best way. There are lots of DIY home improvements that could be of great help to your renovations. You don’t need a large firm to handle the renovations; a fresh coat of paint, new door knobs, new bathroom fixtures, and replacements here and there can still improve the value of your property. Unless you absolutely need to, your aim is to make the house the second or third best on the street and nothing more.
6. Create a network of agents: You need the right people to come see your renovated home in order to get a bid. Connecting with agents in your neighbourhood will expedite the process. Estate agents always seem to have a ready list of people looking to buy houses, and your prospective customer can be on that list. Let them know what your plans are, so they can get you the right buyer as you are finishing up.
7. Invest in a competent team: No matter how all-around you are, there are just some things you cannot do alone, such as renovating a house. You will need plumbers, electricians, painters, cleaners, and so on. Look for a competent local team that can give you a good job at the right price. Preferably, look for a small to midsize outfit that won’t cost you much so that you can still maintain your goal of making good profits.
8. Make use of spaces: If the property has extra space, this can be converted into an extra room or a bathroom. And if the space cannot be used inside the house, you can create an extension for the house, such as a car garage, a children’s playroom, or a storage shed. The more features you are able to coax out of the property, the higher the price you can ask for it.
9. Lighting makes perfect: Alternatively, rather than convert empty space into spare rooms, you can actually knock down walls to free up space in the sitting room or dining area. This will allow light to enter these areas, creating a warm, welcoming atmosphere that will significantly increase the appeal of the house.
10. Not so visible renovations: If you have enough funds, you may consider bringing the house up to spec, such as installing a home security system, insulation, and a heat and cooling system. Even though these renovations are not as obvious as a fresh coat of paint or a new roof, they have been known to significantly add to the value of a property. The new owners will not need to do all of this, and you can confidently ask above the market price for these privileges.

It’s usually not until you make the decision to apply for a bridging loan that you discover just how many different types of bridging loans there are. Commercial loans, residential loans, second-charge bridging loans, and so on. Not to mention the often misunderstood concept of “open” and “closed” bridging loans.

Nevertheless, it is important to understand the key differences between the two if you are looking to take out a bridging loan for absolutely any purpose.

Closed bridge

In the simplest of terms, a closed bridging loan indicates a transaction where the borrower establishes a planned and defined exit strategy before the loan has even been taken out. Or, to put it another way, the borrower knows exactly when and how the funds will become available to repay the balance of the loan, in accordance with the requirements established during the application. In most instances, bridging lenders insist on knowing exactly when and how the balance of the loan will be repaid; hence, most bridging loans are considered closed bridges.

Open bridge

By contrast, some lenders are happy to offer somewhat more accommodating loans in the form of open-bridging loans. In this instance, the borrower is not able to provide a concrete repayment roadmap, usually because the funds are in very short supply. As such, they may have had insufficient time to think carefully about the specifics of the repayment aspect.

In terms of when open bridging loans are provided, it could be that the borrower already has some kind of strong working relationship with the lender or that their track record, in general, is one of flawless reliability. It could also be that the borrower has every intention of paying back the bridging loan when the property being financed is subsequently sold. They cannot provide an exact date or comprehensive overview of their repayment plans, but they nonetheless have a viable exit strategy. If the lender is confident that the borrower can repay the loan successfully, they may be willing to offer an open bridging loan.

Alternative bridging options

If bridging loans in general don’t represent an appealing or viable option, there are alternatives available. Examples include short-term asset finance, standard overdraft facilities, and so on.

In the case of short-term asset finance, it’s essentially a case of arranging secured loans by providing the required collateral. From jewellery to luxury cars to paintings to property to business assets and so on, just as long as you have assets to the required loan value, it is relatively easy to gain access to the funding you require. The application process can be comparatively simple, and interest rates and borrowing costs are typically flexible, depending on the lender you go to.

As for overdrafts and the use of general personal credit facilities, it isn’t generally recommended to fund major projects or purchases this way. The reason is that, as they’re not specifically designed for these kinds of purposes, they have a tendency to be both restrictive and expensive.

If you’re looking to explore the various options available to you, it’s advisable to speak to an independent broker with a wide-reaching network of mainstream and independent lenders.

For more information on any aspect of conventional or alternative financial products, get in touch with the BridgingLoans.co.uk customer support team today.

If you are a property developer or business owner who is finding it difficult to raise the required funds to pay off an urgent HMRC tax demand, then a bridging loan can be a highly practical and uniquely serviceable lifeline. Although there are various sets of circumstances where HM Revenue and Customs (HMRC) may choose to grant you a payment extension, these are not always available, and failure to pay your tax bill on time can result in very serious consequences.

There are two situations where HMRC will expect and demand an immediate payment from you, and these will occur if:

• 1) HMRC thinks you can pay now.
• 2) HMRC is not convinced you can get your tax payments up to date.

Either way, if you are running your own business, struggling to keep up with your finances owing to unpaid invoices and other cash flow problems, and suddenly faced with an immediate HMRC demand that could destroy everything you have worked so hard to achieve, then there could be an easy way out. A bridging loan secured against your property assets could be the perfect tool that will give you the time you need to get back on your feet and back in the red.

By choosing to take out a short-term borrowing product in the form of a bridging loan, you can pay off your tax bill now and then pay off the bridging loan when you are in better financial shape further down the road.

It is, however, important to remember that bridging loans are only intended as short-term products, so you will need to think about how you will pay the money back when the loan term is about to expire.

In some cases, a bridging loan can be used as a speedily arranged, temporary fix until a more permanent funding solution is in place, such as a commercial remortgaging product or a second charge loan. Bridge financing is particularly useful in these situations, as most remortgaging and second-charge products take several weeks or months to arrange, which will not give you enough time to avoid enforcement action.

If you are a property developer faced with an urgent HMRC tax demand, then it could be that you simply need a few more months to get your project finished before reaping the dividends. Again, a bridging loan arrangement can be put into place quickly, giving you access to much-needed funds in the meantime so that you can pay off the tax bill quickly and get the work completed.

With low borrowing rates, the option to leave the interest rolled up until the end of the loan term, and the ability to secure finance against the equity tied in with multiple properties you already own, a bridging loan is a fast, convenient, flexible, and affordable solution that could solve all your HMRC tax problems quickly and effortlessly.

With an ever-increasing number of commercial developers, buy-to-let landlords, and other UK property investors turning to bridge loan providers for fast and flexible financing options, one of the country’s most reputable brokers has recently introduced a new online tool that is designed to give a clear picture of the overall value and affordability of any given borrowing product. With the new bridging loan calculator on the Bridgingloans.co.uk website, potential borrowers are able to see in an instant just how much a secured short-term loan will cost, including the amount of interest they can expect to pay and any additional fees.

Initially devised as a short-term finance product that serves as a necessary and convenient bridge between two property transactions that may otherwise prove impossible to fund, bridging loans are completely unrivalled in terms of the speed at which they can be arranged, repayment flexibility, and the low cost of borrowing they provide. With the new bridge loan calculator provided at Bridgingloans.co.uk, working out the precise cost of taking out such a loan has never been easier, and the tool can be used without any obligation to apply.

Quick and intelligent finance

“Over the last couple of years, the team at bridgingloans.co.uk has come to realise that the vast majority of first-time bridge finance borrowers want nothing more than to check the figures in order to see just how viable this type of short-term loan product can be. Although bridging loans are a less common type of finance in comparison with residential or commercial remortgaging products, they are relatively simple to understand and much easier to apply for. However, many people are unfamiliar with the borrowing terms and how the fees and interest rates are worked out, which is why we introduced our quick and easy free online bridging loan calculator tool.”

The main difference with bridging loans and most other types of secured mortgage products is the length of time that funds are required. A mortgage, whether taken out for residential or commercial purposes, will typically be repaid over a 10, 15, or even 25-year period, whereas a bridging loan will usually be paid back within 12 months or less.

With a mortgage, the interest is calculated and charged annually, and the cost of borrowing can be tremendously high if the repayments are spread over many years. However, with bridging finance, the money is repaid much more quickly, which means the amount of interest a borrower can expect to pay is significantly lower.

Working out the cost of borrowing

“If you are thinking of applying for a bridging product, then our user-friendly online loan calculator will provide a quick and reliable insight into how much everything will cost. Unlike a residential or commercial mortgage, repayments are not usually made on a month-by-month basis. Rather, the borrower receives a net sum, which is typically paid back in full at the end of the loan term with any interest charges and additional fees rolled up and added to the remaining balance. Please note that when using our online bridging loan calculator, the maximum LTV amount is 75%. If you need to borrow more than this, then you will need to contact one of our brokers for an accurate cost.”

Bridgingloans.co.uk is a fully regulated, independent bridging specialist with full market access and the ability to source additional funds from an exclusive panel of lenders who will consider any application based on its own merits. In certain instances, Bridgingloans.co.uk can also act as a principal lender if deemed necessary. All products are competitively sourced in order to provide the lowest possible interest charges and the least significant fees.

Whether you are looking to buy a new home or business property, invest in a buy-to-let venture, or cover the cost of urgent repair or refurbishment work, Bridgingloans.co.uk can save you time and money with a fast, reliable, intelligent, and affordable borrowing solution.

Recently, we were approached by a business introducer who was trying to raise funds for an experienced Scottish property developer who, in turn, was struggling to find a competitive short-term finance deal so that he could realise a lucrative build development project.

The developer had already purchased the land and had also been given the green light in terms of planning permission, yet he found himself unable to obtain the additional (and not insignificant) funds needed to finance the building itself.

Owing to the vast scale of the project and the high loan-to-cost ratio, many bridging lenders were unwilling to consider the application, especially as an existing bridging loan, which was used to purchase the land, was nearing the redemption stage.

This meant that the developer faced the highly probabilistic reality of having to sell the land to a competitor in order to honour his existing financial commitments.

The initial request was for a finance package that was to be rolled out in three stages. However, we decided that it would be better to restructure the application so that every aspect of the development funding was combined into a single package.

In order to make the prospect more appealing to our exclusive panel of investors, our team devised a new application that focused on the number of off-plan flats that had already been sold, the level of interest shown by other prospective buyers, and the borrower’s high level of commitment and existing investment in the project.

We also took steps to show how the costs would reduce as the various stages of the build were completed.

Our efforts paid off, and within just two weeks, we managed to secure a loan amount of £6.21 million, which meant that the project could go ahead without any delay or further complications.

The investor we sourced for our client offered a revolving facility for the full £6.21 million amount, which was approximately 65% to 70% of the gross development value. This covered the full cost of the initial construction phase, which delivered 48 high-quality luxury flats within the first 10 months.

The interest charges and administrative fees were subsequently rolled up and added to the overall cost of the loan.

As the build progressed, the developer had the option of refinancing the original deal in order to take advantage of a cheaper rate once the first stage of development was complete.

Any finances owed to the lender are paid back by means of pre-sales and completed sales, and these funds are then made available to the borrower again in order to finance the end stages of the project.

“When most other bridging specialists were telling me my borrowing options were practically non-existent, UK Property Finance defied my negative expectations and found an appropriate funding solution that was fast, flexible, and realistically affordable. Although we still have another 8 months left before the project is complete, the end goal is now firmly in sight, and the remaining flats, many of which we have already sold, are almost finished.” – Our satisfied property developer client has asked to remain anonymous.

We are glad to report that both the lender and the client are extremely happy with the solution that we devised!

To find out more about our services as a provider of unique bridging loan solutions, please use the contact form provided on this website. Alternatively, speak to us directly on 0116 402 7982.

UK Property Finance has today completed one of its largest bridging loans to date. The multi-million-pound funding was required to purchase a large repossessed new-built office block complex in the centre of a major UK city. Our client, a recently formed offshore limited company, had a successful bid for the property at auction some 2 weeks prior to our contact and managed to purchase it at less than 1/3 of the marketed asking price being requested prior to the property being repossessed.

Since paying the required 10% deposit, our client has come to realise that he had been strung along for 2 weeks by his long-term and previously trusted mortgage broker, who was unable to locate the balance of the funds needed to complete the purchase in the 28-day time frame required, despite being so confident at the beginning that he could do so. Our client now understood that he needed focused and specialist help to prevent a default on the purchase agreement, a possible loss of his deposit, and, more importantly, a loss of his bargain property.

A trusted family business acquaintance, bridgingloans.co.uk, had been recommended to our client due to our no-nonsense reputation of being open and honest at all times and always doing the utmost to do what we say. After an initial telephone conversation, we located a lender who agreed to supply the funds required for the purchase in the timeframe needed and at an excellent rate, which was much lower than what our client had been quoted previously and seen advertised elsewhere. We emailed the basics of the deal back to our client, including details of a substantial discount we had managed to negotiate in the arrangement fee, and as such, the client subsequently gave us the authority to act on his behalf.

To get the best possible rate, we advised the client to secure the purchase funds required against other owned property rather than the office complex. Our client had a large portfolio of prime central London residential investments, which would be more interesting to a wider range of lenders and would give us more choice and ability to negotiate the best possible deal with the lowest fees, etc. We secured a first charge on one property and a second charge on another.

We completed all the paperwork required to transact the case and emailed this to the client. Due to the tight time frame, the client immediately completed the paperwork, emailed it back, and on the same day, we forwarded this emailed paperwork to the lender, who at the same time instructed the valuations. As the reputation and standing of bridgingloans.co.uk are so strong, the lender was able to process the case through to offer by using the emailed documents only. The case was completed just in time, and although one issue occurred during processing, we used our high-level contacts within the lender organisation to ensure that the problem was quickly and efficiently dealt with.

We will be arranging the long-term commercial mortgage finance for the client so he can repay the bridging finance as required, and also because of the performance of our team at UK Property Finance, we have been asked to look at two more bridging loan projects for the client.