In the world of property development, it is crucial to prioritise prevention over cure. As the saying goes, once the genie is out of the bottle, things cannot be restored to how they were before. This article will explore three essential strategies to overcome declined property development applications.
Presentation is Paramount
When submitting a development finance application, developers must understand the importance of a strong presentation. Lenders are inherently curious and seek to protect their balance sheets. Developers should provide comprehensive and well-supported information rather than simplistic proposals to capture their interest. Today's lenders expect a thorough and well-researched development appraisal, including a developer's CV, build cost breakdown, specification schedule, and cash flow forecasts. Demonstrating a clear project vision and a track record of experience in property development is vital for success.
Preparation is Key
Successful development finance applications require meticulous planning and documentation. Lenders favour applications that represent low-risk investments. Developers should ensure their applications include contingency budgets and explain the exit strategy clearly. Please do so to avoid raising concerns about project viability and hindering approval.
Information & Data Accuracy
Accurate data and figures are imperative for the development of finance applications. While projections and estimates are common, they must be based on sound, quantifiable statistics. Developers should conduct thorough checks to eliminate mistakes and provide reliable estimates for unknown financial variables. By striving for accuracy, developers increase their chances of approval.
Empowering Developers in the Appraisal Process
At Navian, we are committed to empowering developers throughout the appraisal process. Our platform offers a range of digital tools and features that streamline development appraisals, ensuring efficiency and accuracy. Thus, we enable developers with the right tools to generate robust appraisals and present clear loan requirements to lenders.
In the competitive world of property development, Navian's expertise and comprehensive platform provide developers with the necessary tools to confidently navigate the appraisal and real estate development processes. Thus, we can support developers in completing their projects successfully.
By embracing these strategies and leveraging Navian's solutions, developers can overcome obstacles and achieve their property development goals. Contact us today to learn more about our property appraisal digital solutions.
