The key difference between a residential mortgage and development finance is the duration. A typical residential mortgage runs for around a 25-year term, whereas development finance tends to be for between three months and three years.

When applying, the most significant factor is your exit strategy - i.e. how you will repay the loan at the end of the term.

In development finance, the exit strategy is usually the sale of the development when work is complete, or remortgaging to pay back the short-term loan.

The more secure your exit strategy, the better a deal you will be able to negotiate.

Residential development lending isn't quite the same as for commercial developments. In many cases, it is wiser to opt for a self-build mortgage.

However, the right form of lending depends on your circumstances and the details of the development project, so it is always crucial to consult an expert broker for independent advice.

Every lender has different rates, terms, criteria and products. The Revolution team often works with clients who have been turned down for development finance simply because they have applied to the wrong lender.

Using a non-competitive loan can severely impact the profitability of your development, and cost thousands of pounds in additional interest and lending fees.

The Revolution team are experts in development finance, and use our experience to leverage outstanding deals tailored to your borrowing requirements.

To ensure you apply to the right provider, and get the best deal, you need to understand the eligibility criteria of the lender. This enables you to short-list lenders who are likely to approve your application.

Some of the most common requirements include:

• Having prior experience in property development.
• Proof of a viable exit strategy to repay the loan at the end of the term.
• Clean credit history - although specialist lenders can offer bad credit development finance.
• Building plans, including material specifications and detailed budgets.
• A deposit of around 30% as a typical minimum for the land purchase. Most lenders will finance about 70-75% of the initial cost, and 100% of the build cost.
• Alternative security - such as in another development or property - if you don't have a sufficient deposit.

No, it isn't vital - but it is an advantage.

If you have prior experience in development, you can apply to a broader number of lenders. Mainstream lenders can turn down new developers on these criteria, but a broker can identify lenders who are happy to consider applications from first-time developers.

Should you be seeking development finance for your first project, give the Revolution team a call on 0330 304 3040.

It depends on who you apply to. If you fall outside of any of the 'standard' criteria, it can be trickier getting an offer from a high-street lender.

For example, being self-employed or having an adverse credit history means you have a much better chance of approval working with a broker who can negotiate with niche lenders on your behalf.

Indeed they can - the key is to know the lenders, and which ones are best suited to your development finance needs.

Revolution works with lenders who can offer development finance in the form of:

• Self-employed development finance
• Bad credit mortgages
• Buy to let investment lending
• Unusual property development loans

It can be easy to feel disheartened if you have been rejected for lending because your circumstances fall outside of the norm. However, by working with a broker who knows and understands the development finance market, you have a great chance of finding the lending you need.