Boverket makes available credit guarantees, which are agreements between Boverket and the lender. Boverket may also provide a preliminary assessment. Boverket examines all cases and carries out a valuation of the object, assesses the borrower's ability to pay and the project's market conditions etc.
Credit guarantees for you as a developer
Reviewed:
It is the bank that applies for a credit guarantee. However, as a developer you may obtain a preliminary assessment of taking out a credit guarantee before the building project starts. A preliminary assessment can be important for arranging financing, both for loans during the construction period and final financing.
A credit guarantee gives the lender protection against losses and reduces the need for final borrowing or own capital, for those building housing/borrowers.
When you as a developer apply for a preliminary assessment, Boverket only looks at the project as it will be when it is completed. It is above all the property's long-term sustainable market value which is estimated, to determine the levels for which a guarantee is possible.
Credit guarantees may only cover a maximum of 90% of the market value of the completed property, which is assessed without regard to speculative and temporary conditions. In areas with low market values, the amount of the credit guarantee may correspond to a standard calculated amount.
To obtain a preliminary assessment of your application, you must submit the following:
- a project description
- a market valuation of the property, if possible
- a cash flow calculation.
If your project is owner-occupied housing, we only need a market valuation. It is possible to submit the application via e-mail.
Boverket can give a preliminary assessment within approximately 1-3 weeks of receipt of the application.
Who does what?
Boverket
The lender
The lender grants a loan for the construction period and/or final financing after one single credit rating, regardless of whether a guarantee is taken out or not. The lender may apply to take out a credit guarantee for the loan. It is always the lender who applies for a credit guarantee.
The developer/borrower
The developer/borrower may apply for a preliminary assessment of the possibilities for a credit guarantee. The application is made to Boverket. The developer/borrower then applies for a loan with the lender as usual.