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Writer's pictureSabiene Münch

What documents do you need for a real estate financing request?

Updated: Dec 5, 2022


Since this question comes up again and again, here is a brief summary of the essential data required in the first step. Of course, this list is not exhaustive and may vary depending on the investor. Of course, further questions will arise during the due diligence and additional documents will be required.


The important thing is that the banker understands your project right away, can comprehend your intention and background, and considers the concept to be so coherent that he can assume that there will be no difficulties (including in communication) or delays in repaying the loan.


The first step for the real estate financing request

Therefore, in the first step, you should outline the project in a short teaser with the main parameters. These include a property description with the exact address, the background of the sponsor/real estate project developer/buyer, company presentation if available, construction costs or purchase price, desired loan amount and type, information on building permits, exit, and previous financing partners.


Please keep in mind that investment managers also prefer well and attractively prepared documents, from which all essential parameters can be seen at first glance. \


For more information, here is our checklist:


Real estate entity information

  • A detailed description of your project incl. photos

  • Information on building law (preliminary building application, development plan, building permit)

  • Purchase contract or contract for the purchase of land

  • Land register excerpt, building plan, cadastre, flight map/site plan, real estate register

  • The valuation report, soil expertise, contaminated sites, and building encumbrance register, if available

  • Building description

  • Area calculation NGF, BGF as well as cubature (BRI)

  • Pre-letting/pre-sale rate

  • If applicable, information on the operator

  • If applicable, list of tenants


Real Estate Developer/Borrower Information

  • History - track record of the project developer/buyer.

  • Presentation of the project organization and company organization chart

  • Cost breakdown according to DIN 276

  • Annual financial statements, excerpt from the commercial register, articles of association, list of shareholders

  • Information on the management of the property company

  • Financing structure

  • Collateral


Credit information

  • Loan amount and type (in phases, if applicable)

  • Financing plan incl. terms (debt, equity, mezzanine capital, etc.)

  • Equity capital of the project developer (proof)

  • Business plan - 3 scenarios, liquidity plan

  • Presentation of the total financing

  • Cost overrun guarantee

  • Information on exit or redemption

  • Information on existing term sheets or other capital commitments

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