Stock valuation that holds
We value the unsold units the way a lender will, and build the sell-down case that supports a higher LTV.
Capital, without distress-selling stock.
Inventory Funding for Builders
Completed units sitting unsold are capital locked in concrete. Inventory funding unlocks it — a loan against your finished, for-sale stock at indicative 50–60% LTV from NBFC-HFCs and AIFs — so you fund the next project or repay costly debt without dropping prices. CA + ex-banker led. ₹4,250 Cr+ facilitated since 2011.
Post-OC stockUnlock trapped capitalNo distress sales
A track record since 2011, in numbers
₹4,250 Cr+
Capital facilitated across sectors₹550 Cr
Largest single facility structured2 pools
NBFC-HFCs · Cat-II AIFsSince 2011
Advising developers & promotersInventory funding is a loan against completed, unsold units — usually post-OC stock. It converts illiquid finished inventory into deployable capital, so a developer can launch the next phase or retire expensive earlier debt without distress-selling in a slow market. It is funded by NBFC-HFCs and Category-II AIFs against the market value of the stock.
Finnova Advisory is an advisory firm — we structure the file and negotiate terms; the lender sanctions and disburses.
The facility at a glance
What inventory funding looks like
Indicative parameters for a loan against completed, unsold stock. The saleability of the inventory — location, configuration and demand — drives both the LTV and the rate.
Loan-to-value (LTV)~50–60%Of unsold units’ market value
Interest rate~11–14% p.a.Reflects saleability of stock
Tenor2–3 yearsRepaid as units sell
StageCompleted / post-OCFully saleable stock
Funded byNBFC-HFC / AIFAgainst finished inventory
UseUnlock trapped capitalAvoid distress sales
Indicative only — not an offer. LTV and rate vary with the saleability of the stock, location and your sell-down record. We confirm the fundable figure at diligence.
Is it the right product?
Inventory funding vs LRD vs loan against property
Three ways to raise capital against built real estate — the right one depends on whether your asset is unsold, leased, or simply owned.
Inventory funding — against completed, unsold, for-sale units. Repaid as the stock sells. This page.
Lease rental discounting — against the rent from a leased, income-producing asset. Best when units are tenanted and yielding.
Loan against property — against a property you own and hold, sized to your repayment capacity. Best for general-purpose capital against an owned asset.
Not sure which fits? We assess the asset and route you to the product that raises the most, on the best terms.
Why Finnova
Sell on your timeline, not the lender’s
Six reasons developers unlock unsold stock through us instead of cutting prices.
The right pool
We know which NBFC-HFCs and AIFs are funding inventory in your micro-market and asset class right now.
No distress discount
Inventory funding lets you hold price and sell on your timeline — usually worth far more than the interest cost.
Capital recycled fast
We turn finished stock into capital for the next launch or to retire expensive earlier-stage debt.
CA + ex-banker on the file
The people valuing the stock and negotiating terms have sat on both sides of a credit committee.
Right-product routing
If LRD or a loan against property would raise more, we’ll tell you — and arrange that instead.
Consultation
Tell us about the unsold stock
One conversation tells you how much your finished inventory can raise, from which pool, and whether inventory funding or LRD is the better route. No pitch — a straight read from people who structure these deals every week.
Thank you — your enquiry has been submitted
We’ve received your details. A senior member of our team will review them and get back to you within one business day. Everything you’ve shared stays strictly confidential.
FAQ
Inventory funding, answered
Inventory funding is a loan against completed, unsold residential or commercial units — typically post-OC (Occupancy Certificate) stock — that lets a developer unlock the capital trapped in finished inventory without dropping prices in a slow market. It is provided by NBFC-HFCs and Category-II AIFs against the market value of the unsold units, usually at 50–60% LTV.
Inventory funding is against a developer’s unsold, for-sale stock, repaid as those units sell. A loan against property is against a property you own and occupy or hold, and lease rental discounting is against the rent from a leased, income-producing asset. If your units are leased and yielding rent, LRD is usually the better route; if they are completed but unsold, inventory funding is the fit.
Indicatively 50–60% of the market value of the unsold units, at roughly 11–14% p.a. over a 2–3 year tenor. Pricing reflects the saleability of the stock — its location, configuration, demand and your sell-down track record. Completed, OC-received inventory in a liquid micro-market raises more, on better terms, than slow-moving stock.
Most inventory funding is for completed, OC-received stock, because that is when units are fully saleable and the value is clearest. Near-completion stock can sometimes be funded, but it shades into construction or last-mile finance. We assess the stage and route the file to the right structure — inventory, construction or last-mile.
Anything from launching your next project, to repaying expensive earlier-stage debt, to funding working capital — without distress-selling finished units. It effectively converts illiquid completed stock into deployable capital, so you sell on your timeline, not the lender’s.
We are an advisory firm, not a lender. We value the unsold stock, build the sell-down case, place the file with the NBFC-HFCs and AIFs active in inventory funding, and negotiate LTV and pricing — the lender sanctions and disburses.
Further reading
Guides on the funding stack
Where inventory funding sits, and how the capital pools compare.