2021 Development Finance Survey Has Launched - WIN AN IPAD PRO -
43.75%withBanksutilised in56.2%of thecases. Itwill bevery interesting toseewhat the2021 Survey reveals.”SaidMichael.
SolidoCapital has just launched its 2021Development FinanceSurvey. Responses fromindustryprofessionals including, PropertyDevelopers,Development Financiers, FinanceBrokers, Valuers andDevelopmentConsultants areencouraged. EveryonewhocompletesaSurveywillreceiveacopyoftheresultsandplus thechancetowinaniPadPro.
BanksVsNon-Banksas SourceofFinance
Bank
Non-Bank
64.80% 35.0% 56.20% 43.7%
2018 2020
Tocompleteour5minuteSurveysimplygoto: https://www.surveymonkey.com/r/P8TK7XT
Another keyquestion inpreviousSurveys askedrespondents tonominate thebiggest issue facing theDevelopment Industry. "Back in2018, 41.5%of respondentsnominatedsourcingofDevelopment Financing as thebiggest issue. In2019PurchaserFinancewas thebiggest issue (42.2%) followed byDevelopment Financeat 26.1%.And in2020,DevelopmentApprovals rankedas thebiggest issue (25%)withDevelopment Finance followingaclose secondat 23%."
Thismarks the fourthFinancingSurvey that Solidohas conducted. ThisNational Survey is a lead indicator to themarket conditions andkeychallenges facing thedevelopment industrywitha specific focusonthe developmentfinancingmarket. MichaelCorcoran,ExecutiveDirectorofSolidoCapital said "Therehasbeensignificant challenges facingDevelopers attempting tofinance their acquisitions andconstructionover thepast 5years and thiswas clearlyevident inour first Survey results in2018 - 49.45%of respondents stated that thecurrentfinancing marketwas either “poor or verypoor”. Solido’sSurvey in2019 indicated that this situationwasworseningwith52.2%of respondents stating thefinancingmarketwas “poor or verypoor”. However therewas adramatic improvement inthe2020Surveywhere this response fell to21%. “Thiswaspresumablydrivenby the increasedavailabilityofNon-Bank finance” saidMichael.
Response %
Biggest Issue
41.5% 42.2% 25.0%
2018 Sourcing Development Finance
2019 Purchaser Finance
2020 Development Approvals
This category of data isn’t readily available within the market therefore these Survey results provide invaluable insights in to what is happening in the Development financing market. The 2021 Solido Development Finance Survey is now live and will be running
2018 2019 2020
% Of Respondents Who Rated The Finance Market "Poor or Very Poor"
49.4% 52.2% 21.0%
throughout August and September - access here: https://www.surveymonkey.com/r/P8TK7XT
Other keysurveyquestions seek to identify the specificfinancingconditions facing developers includingdebt pricing, debt availability, availableLoantoValue ratios, requiredDebt covenants and the split offinancingbetweentraditional Banks and the Non-BankFinanciers. Previous surveyshave tracked the rise inmarket shareof theNon-BankFinanciers - this trend is expected tocontinue inthe latest 2021 Survey. "In2018, 64.8%of Survey respondents sourced theirDevelopment Finance througha Bankand35%throughaNon-Bank. By2020’sSurveyNon-Banks’ sharehadrisento
As stated earlier, everyone who completes a survey will receive a copy of the consolidated results when they are released in October and, if they choose, they will be entered in the draw for a free iPad Pro. Individual respondents and their answers will be kept anonymous and confidential. If you’d like more information on the Survey or you’d like to contact Solido regarding financing your Development acquisition or construction, email Solido on info@solidocapital.com
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This advertisement is issued bySolido Capital Partners PtyLtdACN615 299 922 (AFSL501143). The content on this advertisement has been prepared for information purposes only. This information does not take into account you or your client’s personal objectives, financial situation and needs, and you should seek your own independent advice. Solido does not accept any responsibility or liability for any errors or omissions contained within this advertisement and reserves the right to amend it at any time. All terms and conditions quoted are subject to assessment of individual borrowers’capacity, experience and project viability, and are subject to change. WITH SOLIDO, YOU CAN. Solido provides Acquisition and Construction finance to residential property developers in Sydney, Melbourne and Brisbane without any presale requirements or conditions - providing a preliminary approval within 48 hours. With decades of direct property development experience, it’s safe to say you’re in good hands with Solido. borrow.solidocapital.com
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