Liberty Property Finance
- First-time buyers priced out of London housing market - The GuardianThe GuardianFirst-time buyers priced out of London housing marketThe GuardianMortgage payments for these buyers now takes up 79% of their income after the deduction of tax, national insurance and other essential living costs, compared to 67% a year ago. Fionnuala Earley, RBS Group UK consumer economist, said that although it ... […]
- Homeowner conundrum: To fix or not? - The IndependentHomeowner conundrum: To fix or not?The IndependentBut then last week the International Monetary Fund, in its latest assessment of the UK economy, floated the idea that the next move in base rate could be down to 0.25 per cent or even zero to wrest the economy from a eurozone-sparked recession.Cumberland Building Society keen to help house buyers and owners N […]
- First-time buyers priced out of London housing market - The Guardian
Mezzanine Finance
Mezzanine property finance is a particularly useful means of raising additional debt to assist in the purchase and development of property.
Finance to develop property is currently less readily available and that which is available now requires a far greater financial contribution. Mezzanine finance provides a convenient solution. Mezzanine finance is normally provided by taking a 2nd charge on the property behind the provider of the senior debt. Although significantly more expensive than the cost of senior debt, mezzanine finance enables a developer to proceed with a project without which would be unaffordable, and one must also bear in mind that the higher cost of the mezzanine debt only applies to a relatively small percentage of the total debt and can be considerably more efficient than giving away equity in a project.
Mezzanine finance is tailor made finance product and will be adapted to suit each individual project and applicant. The amount of debt that can be raised will be dependent on a number of factors, such as the size of the project, its profitability, the experience of the developer and the location.

