Share the basics
Tell us what you need and how a broker can reach you.
Fund the build, stage by stage
Construction loans for Australian builds
Understand progress payments, approvals and construction loan options for a new home or major renovation.
Request a reviewA clearer starting point
What the conversation can cover
Construction lending works differently from a standard purchase loan. Funds are usually released in stages, and the lender will need particular documents before and during the build.
- Plan for the land, build contract, variations and contingency
- Understand staged progress payments and interest charges
- Prepare the documents required for approval and each drawdown
- Discuss lender requirements for the builder, plans, permits, insurance and project valuation
- Understand how the land loan and construction facility may work together when land is owned or purchased separately
What happens next
Simple to request. Personal from there.
Talk it through
A broker learns about your circumstances, priorities and timeframe.
Consider the next step
If you continue, the broker can assess and explain suitable options.
Helpful to know
Common questions
How do construction loan payments work?
Approved funds are generally released in stages as construction milestones are completed. The lender may require invoices, inspections or other evidence before each payment.
Do I need a fixed-price building contract?
Many lenders prefer or require one, although criteria vary. A broker can explain lender requirements; your lawyer and building professionals should review the contract itself.
When do repayments begin on a construction loan?
Interest is generally charged as approved funds are drawn during construction, although repayment arrangements vary between lenders. The broker can explain the proposed lender's requirements and how repayments may change after completion.
What happens if construction costs exceed the approved amount?
Contract variations and cost overruns may need to be funded from your own resources, and significant changes may require further lender assessment. Allowing an appropriate contingency and discussing changes before committing to them can reduce unexpected funding gaps.
Your next step
A clearer mortgage conversation starts here.
Share a few details and request a call from an appropriately licensed or authorised mortgage broker. No pressure and no obligation to proceed.
- Australia-wide support
- A human follow-up call
- No sensitive documents in the first step