LDS

LDS cuts fees and now offers sales guarantees on apartments



LDS Sales Guarantees is offering a new lower fee band and expanding its criteria to now include apartments.


Developers will pay 2.99% of day-one GDV for the sales guarantee when they exchange all units on site within 18 months — a reduction of 0.5 percentage points.

Additionally, suburban apartment projects in England and Wales are now eligible for sales guarantees if they fall between £1.5m and £35m GDV.

Taking place with immediate effect, the enhancements allow developers, lenders, and brokers to join forces and get more homes built.
 
“In a world of increasing uncertainty, reducing margins and spiralling costs, we are proud to be able to reduce our fees and open up more opportunities for SMEs and their lenders,” said Mark Hawthorn, CEO at LDS Sales Guarantees.

“The fee reduction recognises and rewards housebuilder performance, something we strongly believe in. 

“Our decision to open up sales guarantees to apartments is simply in response to demand — it is too large an area to overlook.”

Mark added the improvements, as well as the company’s growing number of lender partners and products, would help release pressure on SMEs and keep supply moving. 
 
With ongoing cost inflation and market uncertainty growing, getting hold of competitive development finance could get trickier. 

By helping create more new homes — whatever the market condition — through increasing lenders’ confidence and developers’ capacity, the LDS sales guarantee aims to provide a solution.

It reduces project risk by assuring the purchase of any unsold homes on a site and releasing a 10% interest-free deposit to allow equity to be spread further. 



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