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Hampshire

Southampton
development finance.

Expert property development finance in Southampton, Hampshire. Median price £248,750, 2,440 annual sales. We connect developers with competitive funding from 100+ lenders.

Start a Southampton dealOr call +44 20 3816 3693
Median price
£249k
Sales (12m)
2,440
YoY change
-2.5%
Southampton waterfront with boats

Southampton, Hampshire

Property finance
in Southampton.

Southampton - port city with major waterfront regeneration and growing student population from two universities. With a median property price of £248,750 and 2,440 transactions in the last twelve months, Southampton represents a active market with prices down 2.5% year-on-year.

Detached homes command a median of £380,000 while flats average £159,123, reflecting the breadth of Southampton's residential market. Terraced houses sit at £260,000, offering developers a range of scheme types from conversions to ground-up residential.

Whether you need development finance for a ground-up scheme, bridging finance to secure a site at auction, or mezzanine finance to stretch your capital stack, our brokers arrange the full range of property finance across Southampton and the wider Hampshire area. Each deal is structured around your specific project, with terms negotiated from our panel of over 100 lenders.

Southampton Property Market ReportHampshire County Market Report

The capital stack

Seven funding routes for
every Southampton scheme.

Senior debt, mezzanine, bridging, equity, refurbishment, commercial mortgages and exit finance — arranged for Southampton developers on the deal, not the product sheet.

Development Finance

Senior debt funding for ground-up residential and commercial developments.

From 6.5% p.a.Up to 65-70% LTGDV
Development Finance in Southampton

Mezzanine Finance

Stretch your capital stack beyond senior debt to reduce equity requirements.

From 12% p.a.Up to 85-90% LTGDV
Mezzanine Finance in Southampton

Bridging Loans

Short-term finance for acquisitions, auction purchases and time-sensitive deals.

From 0.55% p.m.Up to 75% LTV
Bridging Loans in Southampton

Equity & Joint Ventures

Equity partnerships and JV structures for developers seeking capital partners.

Profit share from 40%Up to 100% of costs
Equity & Joint Ventures in Southampton

Refurbishment Finance

Funding for light and heavy refurbishment projects including conversions.

From 0.65% p.m.Up to 75% LTV
Refurbishment Finance in Southampton

Commercial Mortgages

Long-term finance for commercial property acquisition and refinancing.

From 5.5% p.a.Up to 75% LTV
Commercial Mortgages in Southampton

Development Exit Finance

Short-term funding to repay development finance while you sell completed units.

From 0.55% p.m.Up to 75% LTV
Development Exit Finance in Southampton

Live market data

Southampton
market snapshot.

HM Land Registry sold-price data for Southampton over the last twelve months, cross-referenced with local planning pipeline. Updated weekly.

Median price
£248,750
Sales (12m)
2,440
YoY change
-2.5%
Approved (12m)
305
Pipeline units
1,094
Pipeline GDV
£241.7M

Southampton development appraisal

Model the numbers
for your scheme.

Pre-populated with Southampton median prices and typical senior-debt pricing. Adjust the inputs to match your deal and we will hand the working assumptions through to the Deal Room.

Scheme Inputs

Pre-populated with Southampton median prices. Adjust to match your scheme.

£
£
£
%

Assumes 10% professional fees, 10% contingency, 65% LTGDV senior debt, 18-month term. Full calculator →

Capital Structure

Total Cost£1,314,000
Senior Debt (65% LTGDV)£1,170,000
Equity Required£144,000
Interest (18m)£131,625
Profit on Cost24.5%
Senior Debt£1,170,000
Equity£144,000
Get Terms for This Scheme

Local market data

The Southampton
property development market.

Avg. Property Price

£250,000

Population

260,000

Rental Yield Range

5.0-6.5%

Planning Authority

Southampton City Council

Market Overview

Southampton is Hampshire's largest city with a diversified economy driven by the port, marine industries, and two major universities. The city centre has significant brownfield regeneration potential, with the Itchen Riverside and Royal Pier Waterfront schemes creating new residential neighbourhoods. Student housing demand from the University of Southampton (25,000+ students) supports HMO and PBSA development.

Development Hotspots

  • Itchen Riverside regeneration
  • Bargate Quarter redevelopment
  • Royal Pier Waterfront

Demand Drivers

  • Two universities with 40,000+ students
  • Port and marine employment
  • City centre regeneration pipeline

Planning Obligations

Southampton City Council Planning Portal

Community Infrastructure Levy

£70/sqm for residential in the city centre, £120/sqm elsewhere

Section 106 / Affordable Housing

35% affordable housing on major schemes (subject to viability). City centre and waterfront schemes may negotiate reduced requirements.

Conservation Areas

Development within conservation areas requires additional planning considerations including materials, design, and demolition controls.

  • Old Town/High Street
  • Oxford Street
  • Bevois Mount

Lender Appetite in Southampton

Moderate to good appetite. Southampton's port employment and university sector provide stable demand fundamentals. Specialist lenders active across all scheme sizes. Waterfront and city centre regeneration schemes attract wider interest.

Land Registry data

Recent property sales
in Southampton.

2,440 residential transactions in the last twelve months. Median sold price £248,750 (-2.5% YoY). 2 new-build transactions with a -100% premium over existing stock.

Detached

£380,000

Semi-Detached

£300,000

Terraced

£260,000

Flat

£159,123

DateAddressTypePrice
25 Feb 20264, TENTERTON AVENUESO19 9HTSemi-Detached£295,000
25 Feb 202614, CUNARD AVENUESO15 5GPSemi-Detached£160,000
20 Feb 20263, GLEN EYRE CLOSESO16 3GBFlat£202,000
20 Feb 2026FLAT 15, WESTWOOD COURT, WESTWOOD ROADSO17 1UXFlat£245,000
20 Feb 202645, CHADWELL AVENUESO19 8GESemi-Detached£325,000
20 Feb 202667, ADELAIDE ROADSO17 2HUSemi-Detached£267,500
20 Feb 202680, FRANKLYN AVENUESO19 8APSemi-Detached£315,000
20 Feb 202637, IVY ROADSO17 2JPSemi-Detached£183,500
20 Feb 2026FLAT 1, MELBURY COURT, 7, WINN ROADSO17 1ANFlat£205,000
19 Feb 202669 HENDY COURT, SELBY PLACESO15 3NUFlat£90,000

Planning pipeline

Planning activity
in Southampton.

25 approved (12m)
·
64 pending
·97 units in pipeline·£16.5M estimated GDV·93% approval rate

Recently Approved

RefProposalUnitsEst. GDVStatus
26/00230/FUL

Conversion of existing garage into a residential annex.

210B Bassett Green Road Southampton SO16 3NF

1£249,000Approved
26/00225/FUL

Installation of air conditioning unit to side of dwelling

6 Blenheim Avenue Southampton SO17 1DU

--Approved
26/00213/LBC

Listed building consent sought for internal repair works.

21 The Polygon Southampton SO15 2BP

--Approved
26/00204/DIS

Application for approval of details reserved by condition 10 (archaeological wor…

Land to rear of 104 - 107 East Street Southampton SO14 3HH

16£2.5MApproved
26/00205/DIS

Application for approval of details reserved by conditions 6 (materials storage)…

Land to rear of 104 - 107 East Street Southampton SO14 3HH

16£2.5MApproved

Current Applications

RefProposalUnitsEst. GDVStatus
26/00211/FUL

Change of use of the ground floor to residential and reconfiguration of all floo…

71 - 73 Victoria Road Southampton SO19 9DZ

2£498,000Pending
26/00490/PA56

Permitted Development Assessment - Prior Approval sought for a change of use of …

72 - 74 Anglesea Road Southampton SO15 5QS

6£954,798Pending
26/00474/FUL

Installation of new security fencing and creation of pedestrian access from Hill…

Tauntons College Hill Lane Southampton SO15 5RL

--Pending
26/00467/FUL

Roof alterations including hip to gable with front and rear dormers to facilitat…

15A Fernwood Crescent Southampton SO18 4FF

--Pending
26/00462/PA56

Prior Approval sought for a change of use of the first and second floor from Com…

150 - 152 High Street Southampton SO14 2BT

7£1.1MPending

Common questions

Property finance in Southampton
— answered.

What is the average property price in Southampton?
The median property price in Southampton is £248,750, based on Land Registry transactions over the past 12 months. Broken down by type: detached homes at £380,000, semi-detached properties at £300,000, terraced houses at £260,000, flats at £159,123.
Is Southampton a good area for property development?
Southampton recorded 2,440 property transactions in the last 12 months, with prices adjusting 2.5% year-on-year - creating potential value opportunities for developers. Port city with major waterfront regeneration and growing student population from two universities. Active transaction volumes indicate a liquid market where completed developments can achieve timely sales.
What types of property finance are available in Southampton?
We arrange the full range of property development finance in Southampton: development finance for ground-up schemes, bridging loans for auction purchases and chain breaks, mezzanine finance to stretch your capital stack, refurbishment finance for conversion projects, commercial mortgages for income-producing assets, equity and joint ventures for larger schemes, and development exit finance for completed projects awaiting sales.
How do I apply for development finance in Southampton?
Start by submitting your deal through our Deal Room with your project details - site address, purchase price, build costs, and expected end value. Our team will review your scheme, model the funding structure, and present you with terms from our panel of over 100 lenders within 48 hours. There's no upfront fee and no obligation until you choose to proceed.
What are typical development finance rates in Southampton?
Development finance rates for Southampton projects typically range from 7-11% per annum, depending on scheme size, developer experience, and leverage. For a scheme with a GDV of around £1.8M, you could expect senior debt at 60-70% of GDV with rates from 7.5%. Arrangement fees are usually 1-2% of the facility. We negotiate the best available terms from our lender panel for each deal.

Expert guides

Further reading
on development finance.

Hidden Arrangement Fees in Development Finance: What Lenders Don't Tell You

9 min read read

Insurance Requirements in Development Finance: Costs You Can't Avoid

9 min read read

Building Control Fees and Development Finance: Satisfying Lender Requirements

9 min read read

Development Exit Finance: Avoiding Default When Sales Are Slow

12 min read read
View all guides

Where we fund

Southampton,
Hampshire.

Nearby markets

Adjacent towns
we also fund.

Portsmouth

Median · £254,750

Naval city with waterfront development opportunities and strong rental demand from military personnel

Winchester

Median · £450,000

Historic cathedral city commanding premium values with conservation area development opportunities

Basingstoke

Median · £367,000

M3 corridor commercial hub with corporate headquarters presence and growing residential demand

Andover

Median · £345,000

Army garrison town with steady housing demand and development land availability

Farnborough

Median · £357,000

Defence and aviation hub with commercial property demand and Blackwater Valley growth

Eastleigh

Median · £330,000

Southampton overspill town with good rail links and growing town centre regeneration

Ready when you are

Tell us the deal.
We’ll recommend the structure.

Submit your development finance enquiry in Southampton and a partner will come back with an initial structure and indicative terms within one working day. No forms-for-forms’-sake — a short note on the scheme is enough.

Enter the Deal RoomOr call +44 20 3816 3693