If somebody has a site and has planning permission to build two houses on a site (in Dublin), what would be the most cost-effective way to finance this? The idea is that the first house would be sold and the second house would be for the site owner, with a small or no mortgage on the property. On his own, the site owner could get a standard mortgage of say €320,000 and they have a further €130,000 in savings. But to build the two houses, - c. 160 sq m each - including the cost of the land, it would cost a total of c. €900,000, or thereabouts. At the current market rate, each house would get c. €1 million. So, a conventional home mortgage is out. What loan options do other people have? Is there any sector of the market which would help fund this at a reasonable cost?
How would somebody, whose only experience of building is in hiring builders, etc to completely renovate his own house, even start funding a project like this. What would the lowest interest rate available be? I expect the loan would be for, c. 2 years - (assuming it sells within 14 months or so of completion).
Any feedback or advice would be most welcome.
How would somebody, whose only experience of building is in hiring builders, etc to completely renovate his own house, even start funding a project like this. What would the lowest interest rate available be? I expect the loan would be for, c. 2 years - (assuming it sells within 14 months or so of completion).
Any feedback or advice would be most welcome.