Speculative vs LDS Guaranteed?
See the difference…

Our interactive comparison model illustrates the benefits for
housebuilders, brokers and lenders.

  • No cost
  • No obligation
  • Instant results

Just choose your sector and set the GDV

Housebuilder
Lender
Broker
Gross Development Value (GDV)
£
See the difference

Speculative vs Guaranteed?
See the difference…

 
Speculative
Guaranteed
GDV
Total Cost
Lender Debt
Lender Loan to GDV
LDS Deposit Release
Total Funding
Total Funding to GDV
Total Funding to Cost
Housebuilder Cash Contribution
Broker Fees
Additional Broker Fees
  • LDS deposit is interest free and released on exchange
  • This reduces housebuilder cash contribution by up to 63%
  • Spreading equity further can treble output
  • Guaranteed purchase removes sales risk in all market conditions
  • Increase lending to new and existing borrowers
  • Maximise the opportunity by creating a joint product
  • Increase conversion by offering increased leverage and a quick completion process
  • Earn additional fees from LDS
  • Simpler, interest free alternative to mezzanine with no security required

Working with
LDS on a project – housebuilder

  • Generate Sales Guarantee

    Input site details into the LDS Sales Guarantee engine. If it fits our criteria an instant guarantee will be generated, including the amount that LDS will pay for any unsold homes and the deposit sum released at exchange.

  • Due diligence and approval

    LDS will undertake due diligence on the project ahead of confirming approval and instructing lawyers.

  • Exchange and deposit released

    Upon exchange, LDS will contract to purchase any complete and unsold homes on the site and release a 10% deposit into development cashflow.

  • Construction and sales

    Once the homes have been built, in usual course they will be sold on the open market. LDS take a small fee on the completion of each open market sale for providing the Sales Guarantee.

    However, should it be required, LDS will complete the purchase of any unsold homes.

What our
clients
say

Frequently asked questions

Below are some of the questions we get asked most.

If you have a question that isn’t answered here then please contact us and we will happily answer directly.

Who are LDS?

LDS was launched with a clear purpose: to empower SME housebuilders to build more new homes.

Why are we needed?

For the government to hit its target and build 300,000 new homes per year, increased access to finance for SME housebuilders is key. LDS created the Sale Guarantee to assure lenders and housebuilders that LDS will acquire any unsold homes on a site. On exchange, a 10% cash deposit is released into development cashflow, unsecured, and at zero coupon. This powerful combination has led to the LDS Sales Guarantee being embraced across the market.

What are the major benefits for Brokers?

Increase conversion, increase fee income.

  • Increase conversion by offering increased leverage and quick completion process.
  • Earn additional fees from LDS.
  • Simpler, interest free alternative to mezzanine.
What are the major benefits for housebuilders?

Reduce cash input, increase output and returns.

  • 10% LDS deposit is interest free and reduces project cash input.
  • Build up to 3x more new homes.
  • Increase returns by over 3x.
How long does it take to get an LDS Sales Guarantee?

Under 2 minutes. Click here to start.

What is a Sales Guarantee and how does it work?

The LDS Sales Guarantee is provided pre-construction. It assures the purchase of all unsold homes on a development site, then releases a 10% cash deposit on exchange. This removes sales risk, and improves lender credit profile, whilst also reducing developers upfront equity requirement. The unique combination of increased deal leverage and reduced deal risk is a powerful catalyst to new housing delivery across England and Wales.