Land & pre-development loans
For raw, designated or draft-approved land. Present planning documents, current value and a credible sale, joint-venture or construction-financing exit.
Land finance · Ontario
Capital for landowners with approvals — even when the file is complicated.
Draft-approved land, landowners group cash calls, maturing or defaulted mortgages, thin credit. I structure the file so lenders can assess a clear path forward.
Sarah Colucci · Mortgage Agent Level 2 · Sherwood Mortgage Group
Where I can help
A financing strategy built around the land, not just the credit score.
Land files do not fit a residential mortgage checklist. The planning status, valuation, registered debt, development costs and route to repayment all affect which lenders may consider the request.
Refinance before power of sale
Work from the written payout and legal timeline, not an assumed deadline. Where equity and time permit, explore replacement financing alongside advice from your real estate lawyer.
Landowners group / cost-sharing contributions
Explain the contribution, payment schedule and how it supports the value and development of your parcel so a lender understands the purpose of funds.
The process
Make a complicated file legible to the right lender.
Good packaging does not replace underwriting. It helps surface risks early and lets lenders evaluate the actual plan.
STEP 01
Tell me about the land
Where is it, what is the planning status, what funds are needed and by when?
STEP 02
Review the whole file
We examine the current value, appraisal, existing charges, credit and repayment timeline.
STEP 03
Package the request
I organize the documents, explain the complexity and approach lenders suited to the file.
STEP 04
Compare written terms
If a lender is interested, review its conditions, fees, repayment terms and exit before proceeding.
About loan size: Some land lenders may work around 50% of a current, lender-accepted appraised value as an initial planning guide. This is not a maximum offer or an approval. A lender may require a recent appraisal addressed to it and a credible exit such as a sale, builder joint venture, construction loan or refinance. Actual terms depend on the complete file.
An anonymized file example
$9M request on draft-approved land under power of sale
An experienced York Region developer held a residential site with draft plan approval. A mortgage on that land had entered power of sale, while a contribution under a landowners group cost-sharing agreement was due on a second parcel. The credit file was thin and an inaccurate net worth calculation understated the equity picture.
The financing package corrected and documented net worth, explained the cost-sharing obligation, set out a letter addressing the credit history, and organized the developer's long track record and a proposed exit for private land-lender review.
This describes a financing request and file preparation, not a confirmed approval, funded transaction or representative outcome. Details are generalized to protect privacy.
What made the file complex
- Power-of-sale timeline and payout requirements
- Appraisal that needed updating
- Thin credit file and a recent collection
- Multiple properties and corporations
- Landowners group cost-sharing cash call
Ontario service areas
Land financing across York Region, Simcoe County and Toronto.
From a landowners group contribution in York Region to an urgent refinance in Simcoe County or an infill site in Toronto, the lender still needs a property-specific case: current value, the right planning documents, registered debt and a realistic exit.
Explore the 40 individual local land-financing guides for planning references and documents to prepare in your community. Location alone does not determine loan eligibility or confirm the property's approval status.
Explore all areas servedLocal coverage
York Region: Newmarket, Aurora, King City, Richmond Hill, East Gwillimbury, Georgina, Vaughan, Markham, Stouffville and their surrounding communities.
Simcoe County area: Bradford, Barrie, Innisfil, Alliston, Tottenham and nearby communities.
Toronto: North York, Scarborough, Etobicoke, East York, Downtown Toronto and Midtown Toronto.
See the full list and what to prepare for a local land-financing review.
Common questions
What landowners ask before speaking with lenders.
Can I borrow against draft-approved land in Ontario?
Potentially. A lender will review the planning approvals and conditions, current appraised value, existing debt, ownership, requested use of funds and a credible exit plan. Draft approval is not itself a financing commitment.
How much can a land lender advance?
Some land lenders may consider financing around 50% of a current lender-accepted appraisal, but that is only a planning illustration. The actual advance can be lower or unavailable depending on the site, approvals, borrower, existing charges, costs and exit strategy.
Can land be refinanced if a mortgage is in power of sale?
It may be possible when sufficient equity, time and a viable exit are available. Obtain the lender's written payout and all legal deadlines immediately, and speak with an Ontario real estate lawyer. Replacement financing is not guaranteed.
Can financing cover a landowners group cost-sharing contribution?
A lender may consider the contribution as part of a well-documented request. Be ready to show the cost-sharing agreement, payment schedule, planning status, land value, other debt and why the contribution supports a realistic development or sale plan.
Who you'll work with
Sarah Colucci
Sarah is a Senior Mortgage Agent Level 2 with more than 20 years of experience in the Greater Toronto Area. Her work includes complex residential, land and private-lending files. For landowners, she focuses on making the planning history, equity position, outstanding obligations and exit understandable to a prospective lender.
A clear file before a lender conversation
Bring the property facts, not a polished story. If a valuation is stale, a mortgage is in default or a cost-sharing payment is due, those issues should be documented and discussed early.
No site or borrower is guaranteed financing. Sarah can discuss lender options once the file can be reviewed.
Start with the facts
Check if your land qualifies for a closer look.
Tell Sarah what you own, the amount needed, the deadline and the planned exit. She can help you understand whether the file is ready to approach lenders—or which documents or risks need attention first.
Email your file overviewThis opens your email app. The page does not collect or save your answers. Please do not include SIN, account numbers or other sensitive identifiers.
Helpful to have ready
- Municipality, acreage and planning approvals
- Recent appraisal and the party it is addressed to
- Current mortgage balances and written payout statements
- Requested amount and use of funds
- Cost-sharing agreement, if relevant
- Exit strategy and key dates
An initial conversation is not a lender approval, commitment or legal advice.