Multi-Dwelling Finance

Multi-dwelling development covers a wide range of project types and scales, from three dwellings on a single lot through to 20-plus unit medium-density developments. Because this category spans so many project sizes, the right lender depends heavily on the dwelling count, the total development cost, the developer's experience, and the presales position. Settled Funding Group works with developers across the full spectrum. Joseph Farhat reviews each project and identifies the right lender tier from the 90+ panel, whether that is a major bank, a non-bank lender, or for unique scenarios, an introduction to private finance.

Who This Is For

• •Developers building any number of dwellings (3 to 20 or more) on a DA-approved site who need a flexible development finance solution.
• •Investors building multi-dwelling projects as a rental portfolio or for individual sale on separate titles.
• •Those whose project does not fit neatly into a specific category (duplex, triplex, townhouse) and who need a lender comfortable with mixed or hybrid dwelling configurations.
• •Developers scaling up from smaller projects (single dwellings or duplexes) and seeking their first multi-dwelling finance facility.
• •Those building a combination of dwelling types on a mixed-use or mixed-configuration site.
• •First-time developers with a DA-approved site, a strong feasibility, and a fixed-price builder contract.

How Multi-Dwelling Finance Works

Multi-dwelling lenders assess the project holistically, looking at the DA approval, project feasibility, total development cost, GRV, LTC, presales position, builder contract, QS report, developer experience, and exit strategy. The dwelling count and project scale determine which tier of lender is appropriate. Smaller projects of three to six dwellings may suit non-bank lenders who do not require presales, while larger projects of ten or more dwellings typically need major bank or institutional non-bank lenders with more structured requirements. Joseph Farhat identifies the right lender tier for each project before anything is formally submitted.

A strong example of multi-dwelling development finance in practice is the Wallsend townhouse case study. Four dwellings built to hold, funded by a non-bank lender, it shows how a well-structured project can access competitive development finance even without a major bank. For more complex structures or unique income situations, there are private finance options worth exploring.

What Lenders Assess for Multi-Dwelling Finance

• •DA approval: the DA must be current and cover the full project scope. Any condition that restricts the dwelling count or configuration must be addressed before submission.
• •GRV and LTC: the gross realisation value of all dwellings combined and the loan-to-cost ratio against the total development cost. These are the primary metrics lenders use to determine maximum exposure.
• •Presales position: major banks typically require presales to cover the loan amount. Non-bank lenders may waive or reduce the presales requirement for smaller projects (three to six dwellings) in strong locations.
• •QS report: a quantity surveyor report is required by most lenders to verify the construction cost budget and confirm project viability.
• •Developer experience: prior multi-dwelling projects strengthen the application. First-time developers are considered by non-bank lenders when the project is well-structured and the builder has a strong track record.
• •Builder contract: a fixed-price contract with a licensed builder is the standard requirement. Variations or cost-plus contracts may be acceptable to some non-bank lenders in limited circumstances.
• •Exit strategy: individual lot sales, portfolio refinance, or a combination. The lender needs to understand how the facility will be repaid and on what timeline.

The Multi-Dwelling Finance Process: What to Expect

1. 1.Initial review: Joseph Farhat reviews the project scale, feasibility, dwelling count, and developer experience to identify the right lender tier before submission.
2. 2.Application prepared and submitted with DA, QS report, builder contract, presales (if any), feasibility study, and income documents.
3. 3.Development valuation: an independent valuer assesses the GRV on a per-dwelling and whole-project basis.
4. 4.Approval: typically two to four weeks from submission depending on the lender and project complexity.
5. 5.Staged construction drawdowns released at milestones. At completion, individual lot sales settle progressively and discharge the facility, or the whole portfolio is refinanced to a long-term investment loan.

Indicative Finance Options

Multi-Dwelling Finance Broker

Multi-dwelling development spans three dwellings on a single lot through to 20-plus unit medium-density projects, and the right lender depends heavily on the dwelling count, total development cost, developer experience, and presales position. A lender that is ideal for a three-unit project is wrong for a twenty-unit one, and appetite, LVR, GRV limits, and presales thresholds vary widely across the market. A broker who knows which lender tier fits your specific project saves wasted applications, protects your credit file from needless enquiries, and reaches non-bank and specialist development funders most developers cannot approach directly. For complex or declined deals, a broker knows where the project will actually get funded.

Settled Funding Group represents you, the developer, not the lender. Joseph Farhat reviews your dwelling count, total development cost, feasibility, DA, and presales position, then matches the project to the right lender tier from the 90+ panel and negotiates terms on your behalf. We prepare and manage the submission end to end, and for unique scenarios we can introduce you to private finance options. As a broker, we are typically paid by the lender on settlement, so in most cases there is no direct cost to you. If you are planning a multi-dwelling development, talk to us early and we will tell you honestly what is achievable.