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FEB 01 2023
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Good News for NZ Property Developer Loan in 2023

Posted by: Prosperity Finance

We have recently seen a number of developers who have completed projects. Instead of selling them straight away due to the low project margin, they would prefer to keep the properties for a while. They have years of development experience, and they have attempted to refinance their long-term loans with banks and other lending institutions. However, because the developer's income comes mainly from development companies, most lenders won't consider their application since they aren't comfortable that the developer's income will be stable. Some of the developers are panicking as they either have to sell below market value or renew their non-bank lender loan, adding more costs to their projects. Either option is not ideal.

We have good news for you or your family/friends if you are in this situation! One of our lenders is willing to lend long-term loans to experienced developers who can provide proof of their income. Recently, we helped one developer refinance their $3m loan for 25 years with interest only with this lender. As a result, it gives the client flexibility to choose whether and when to sell the property. Both the client and we are very happy with the outcome.


I trust you will find this video useful. If you are experiencing a similar problem, please do not hesitate to contact us. We will assist you in finding the most appropriate solution.

Disclaimer: The content in this article are provided for general situation purpose only. To the extent that any such information, opinions, views and recommendations constitute advice, they do not take into account any person’s particular financial situation or goals and, accordingly, do not constitute personalised financial advice. We therefore recommend that you seek advice from your adviser before taking any action.

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We have recently seen a number of developers who have completed projects. Instead of selling them straight away due to the low project margin, they would prefer to keep the properties for a while. They have years of development experience, and they have attempted to refinance their long-term loans with banks and other lending institutions. However, because the developer's income comes mainly from development companies, most lenders won't consider their application since they aren't comfortable that the developer's income will be stable. Some of the developers are panicking as they either have to sell below market value or renew their non-bank lender loan, adding more costs to their projects. Either option is not ideal.

We have good news for you or your family/friends if you are in this situation! One of our lenders is willing to lend long-term loans to experienced developers who can provide proof of their income. Recently, we helped one developer refinance their $3m loan for 25 years with interest only with this lender. As a result, it gives the client flexibility to choose whether and when to sell the property. Both the client and we are very happy with the outcome.


I trust you will find this video useful. If you are experiencing a similar problem, please do not hesitate to contact us. We will assist you in finding the most appropriate solution.

Disclaimer: The content in this article are provided for general situation purpose only. To the extent that any such information, opinions, views and recommendations constitute advice, they do not take into account any person’s particular financial situation or goals and, accordingly, do not constitute personalised financial advice. We therefore recommend that you seek advice from your adviser before taking any action.

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