Exclusive: New Dragonfly products flip refurb on head

Exclusive: New Dragonfly products flip refurb on head



Specialist lender Dragonfly has announced a radical overhaul to its resi refurb products.


Specialist lender Dragonfly has announced a radical overhaul to its resi refurb products.

Dragonfly Property Finance, part of the Octopus group, has announced an overhaul of its residential refurbishment products to offer landlords and developers more flexibility.

Previously, Dragonfly’s refurbishment loans were capped at 70 per cent LTV, after deduction of all interest accrued during the term of the loan, but the new LTV extends to 75 per cent excluding interest, which is added monthly.

The loans come with a two per cent arrangement fee, an exit fee of two per cent and charge interest at 11 per cent per annum and borrowers can also choose to pay a two per cent initial fee, interest of 1.15 per cent per month and avoid an exit fee.

The maximum refurbishment cost on the loans is £750,000 or 50 per cent of the initial value of the property while the maximum loan size is £10 million and 100 per cent of refurbishment costs are typically funded in arrears.

Commenting on the revamp, Mark Posniak, Head of Sales and marketing at Dragonfly, said: “Professional developers and landlords have always been integral to the Dragonfly proposition and, after discussions with brokers and clients alike, we have created a product that we believe provides them with considerably more flexibility and firepower — and has flipped refurb on its head.

“Our goal is to make ourselves the first port of call for the serious property professional and our refurbishment revamp will hopefully take us a step closer to achieving that.”

The maximum LTGDV is 70 per cent and the maximum LTC is 80 per cent.

 



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