Funding Your Next Property Deal

At our April networking event, I shared my insights and experience on one of the most frequently asked questions in the property world: How do I fund my deal? The truth is, there’s no single answer — and understanding the full range of options available is crucial to making your deal work.

Start with the Deal

Every property project is different. The funding solution that works for a straightforward buy-to-let won’t necessarily apply to a complex development or a commercial conversion.

That’s why the first step is always understanding the particulars of your deal:

• What stage is the property at?

• What’s the expected timescale?

• What’s the end goal – flip, rent, refinance?

Traditional Lending Options

For many, mortgages and bridging loans remain the backbone of property finance. These routes are typically more regulated and can offer stability and lower interest rates — assuming the deal fits the lender’s criteria.

Common traditional options include:

• Buy-to-let mortgages – for longer-term rental strategies.

• Bridging loans – for quick purchases, auction buys, or refurbishments.

• Development finance – for ground-up or major renovations.

But traditional lenders don’t always say yes — especially if the property or investor doesn’t tick all the boxes.

Other Finance Explained

That’s where other strategies come in. These require more out-of-the-box thinking and often involve leveraging relationships and trust — but they can be game-changers.

Alternative finance might include:

• Private finance - borrowing from individuals, with a legal loan agreement. Although there can be complex processes and legal work involved in this, it can prove to be a good way of raising funds

• Joint ventures (JVs) - partnering with others who bring capital in exchange for a share of the project.

• Lease options - securing control of a property with minimal upfront cost, but without actually owning it.

• Angel investors or pension funding – accessing capital from other sources, like private finance this will require a legal contract and usually some security guarantees.

During the session, I also highlighted the importance of layering - combining different forms of finance to make a deal work, such as bridging for acquisition and private finance for refurb costs.

Legal & Ethical Considerations

Private finance is powerful, but it must be handled carefully. Clear contracts, transparency, and a mutual understanding of risk are vital. You’re not just raising money - you’re building trust. Not being able to fulfil your financial obligations can seriously harm your business and maybe even your personal finances, that is why it is so important not to over leverage and to ensure that the project you have is strong enough to be able to borrow the funds you need.

Final Thoughts

The right funding strategy is about balance:

YOU + YOUR DEAL = THE RIGHT FUNDING.

You need to understand your risk profile, your goals, and your comfort level — and match that with the demands of the deal.

want to learn more?

Join a waiting list for a free webinar on funding deals.

Want to connect?

Join us for our next Property Edge event, where we continue to explore topics like this, connect with experts, and grow your network in a trusted, friendly environment.