Securing A Toronto Construction Loan

August 30th, 2011

Because of the strength of the Toronto real estate market, there is likely a very good chance of securing a Toronto construction loan, even for builders and property owners with weak financial and/or credit profiles.

This is because the lender will focus on the value of the completed project and if the borrower cannot meet their commitments, there is a high probability that the project can be completed and sold for more than what the construction lender is owed.

The key will be having a solid builder involved so that there is minimal construction risk exposure to the lender funding the project.