Credit Chamber is committed to helping clients build their future wealth through developmental projects. These developmental projects can range from single-deducted houses to multi-dwelling apartments, skyscrapers, warehouses, boarding houses or hotels.
Quantity Surveyor Cost Estimate Report Credit Chamber works with licensed Quantity Surveyors who can help you to determine whether the estimated property development costs exceed the council's limit. A cost report verifies the construction costs of a development project which allows the council to accurately calculate fees that the developer must pay. Note: ●This report is not only used for tax claim purposes but is a requirement for lenders and developers. | Feasibility and Cost Accounting Services Our strategic co-operator at Credit Chamber provides cost accounting services. We offer: 1.SPV loan and suggestion 2.Feasibility study 3.Cost for each development stage calculation and development loan claim 4.Funds budgeting 5.Contingency funds and calculation |
At Credit Chamber, we coordinate the development team's CV, legal review of the pre-sale contract, review of feasibility to meet profit margin requirements of lenders. We also specialise in direct lending solutions for those borrowers who have special backgrounds and strong demand for funds. We also provide First mortgage direct lending services and second-mortgage opportunities at negotiable rates and loan terms.
There are two main funding parameters to consider before applying for a loan:
●Loan to Cost (LTC) ratio: that is the loan amount as a percentage of total cost of the project including land value, building costs and establishment costs like architecture and engineering. We can achieve 70% LTC for developers through major big four banks.
●Loan to Value Ratio (LVR): this is the loan amount as a percentage of the value of the completed project. It is possible for our professional team to reach 70% of GRV through a non-bank lender for those developers and their team who lack Australian local development experience.
Types of Loans
Residential development loan (terms and conditions apply): Residential property development is a small-scale development. It is generally a project that contains less than four dwellings for residential purposes. A loan for such purposes refers to a short-term loan type which provides funding for the development of property.
Requirements for a Residential Construction Loan:
1.Signed building contract (should include floor plan and specification inclusions)
2.Indemnity public liability insurance policy
3.Council approved plans (with approved stamp duty)
4.Photo licence or online proof of licence held (builder licence)
5.Enough funds to cover 20% of building price
6.Quotes for any additional work not included in the main contract (driveway and/or landscaping costs)
7.Receipt for any deposit paid
8.Home Owners Warranty* (HOW) insurance (later before loan drawdown)
Commercial development loan: A commercial loan is used to finance the costs of constructing and renovating a commercial building. This development will contain more than four dwellings or is built for commercial use purposes such as a warehouse, hotel or even a skyscraper apartment.
Note: It is important to note that commercial development loan lenders do not simply lend based on the security of the project; they also want to establish the track record of the people behind the development
Requirements for a Commercial Development Loan:
1.Specify holding structure (Individual, Company or Trust)
2.Security: Location and DA conditions
3.Quantity Surveyor Report
4.Builder qualification resume
5.Developer resume
6.Fixed price building contract
7.Evidence of Pre sales: If greater than 5M 110% coverage, If less than 5M 55% coverage.
8.10% deposit in Trust Account
9.Contract of Sales for legal vetting
How to determine your loan amount?
●loan to cost value =70%
Project profitability greater than 20%
