Development finance calculator
Development finance funds a build against its end value (GDV). Lenders cap the loan by the lower of loan-to-GDV (often around 65%) and loan-to-cost (often around 90%). Enter your GDV, land and build costs to see the maximum loan, the equity you need to put in, the finance cost and your projected profit.
The expected value of the finished scheme.
Lenders commonly cap at 60 to 70% of GDV.
And at around 85 to 90% of total costs.
Development rates commonly run from about 7% to 12% a year, rolled up.
The lower of the loan-to-GDV and loan-to-cost caps.
Lenders often want 15 to 20% or more.
Indicative estimate for limited-company business finance, not a quote or a credit decision. Rates you enter are your own; no credit search is run. Reviewed July 2026.
Profit on cost
Where the GDV goes
How it is funded
Get an indicative development finance quote
No obligation, no credit search. We are a broker for limited-company business finance and may receive commission from the lender.
Worked example
For £1,500,000 development finance at 65.0% over 18 mo, the maximum loan is £900,000. Equity you need: £100,000. Loan-to-GDV: 60.0%. Loan-to-cost: 90.0%.
How it works
- Development finance is sized against the finished value (GDV), not just the cost.
- Lenders cap the loan by the lower of loan-to-GDV (often around 65%) and loan-to-cost (often around 90%).
- You put in the difference as equity, usually into the land and the early build.
- Interest is rolled up and charged on the balance drawn as the build progresses, then repaid on sale or refinance.
- Lenders look for a healthy profit on cost, commonly 15 to 20% or more, before they lend.
Frequently asked questions
How much can I borrow for a development?
The loan is the lower of the loan-to-GDV cap (often around 65% of the end value) and the loan-to-cost cap (often around 90% of land plus build). The calculator works out both and shows the binding one, plus the equity you need to make up the rest.
What profit do lenders want to see?
Most development lenders want a profit on cost of around 15 to 20% or more, so the scheme has a margin to absorb overruns. The calculator shows your profit on cost and on GDV against that benchmark.
How is development finance interest charged?
It is usually rolled up, meaning no monthly payments, and charged on the balance drawn as the build progresses, then settled from the sale or a refinance. The calculator uses a conservative full-term figure, so your real interest is often a little lower.
Is this a quote?
No, it is an indicative estimate for planning. Real terms depend on the scheme, the exit, planning and the lender. CoreFi is a broker for limited-company development finance and can source indicative terms from the panel.
This calculator gives an indicative estimate of business finance for limited companies. It is not a quote, an offer, or a credit decision, and no credit search is run. CoreFi is a trading name of JG Core Ltd (company 16218779), a finance broker not a lender, and may receive commission from the lender. Figures reviewed July 2026.