Residual Stock Loans are secured by a property developers’ unsold stock. The purpose of this loan is firstly to refinance any remaining construction loan/s, which may need to be refinanced prior to their loan expiry.
Benefits of a Residual Stock Loan
- Release cash equity from unsold stock to fund land settlements and construction costs for your next project
- Typically ‘No-Doc’ – dont’ have to prove serviciability
- LVRs are typically between 65% to 75%
Residual Stock Loan: Case Studies
Key examples of successful Residual Stock Loan solutions that Development Finance Partners have facilitated include:
- Residual stock loan of $15.45m for a recently completed townhouse project
- Refinance an existing construction facility to allow selldown of townhouses – Heidelberg, VIC
- Site refinance and construction with a 67.5% net realisable value
Contact us for a Residual Stock Loan finance solution
Get in touch to discuss Residual Stock Loan options for your development or portfolio.
