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Home build planning and loan support

Construction home loans.

Construction home loans work differently to standard home loans. We help compare lender options, progress payment rules and approval conditions before the build begins.

LandStructure land settlement and build funding together.
StagesMatch funding to progress payment milestones.
BufferPlan for variations, delays and valuation movement.
ReviewRefinance after completion if a better structure fits.

Build with the right loan structure from the start.

What matters with construction finance:

  1. Land, build contract and valuation are assessed together
  2. Progress payments need to match lender drawdown rules
  3. Cash buffers help cover variations, delays and valuation gaps
  4. Builder, licence, insurance and contract details matter
  5. Interest-only during construction can affect cash flow
  6. After completion, your loan may be worth reviewing again

Construction calculator

Estimate total project cost, required loan and interest-only cost across a 12-month land/build schedule.

Progress payments and monthly interest-only estimate

Shows a 12-month total estimate: month 1 allows for land holding and council approvals before the first build payment, then months 2 to 12 use standard progress-payment stages with separate land/build interest.

Land interest$0
Build interest$0
Total interest$0
MonthStageProgressLand IOBuild IOTotal IO
What are progress payments?

Construction loans are usually paid in stages as the builder completes each part of the build. The exact names and percentages can vary by builder, lender and contract.

  • Deposit - 5%The first payment to secure the building contract before major work begins.
  • Base / slab - 10%Funds released once the site preparation, base or slab stage is completed.
  • Frame - 15%Payment for the main frame structure, usually after the walls and roof frame are up.
  • Lock-up - 35%The stage where external doors, windows and roof are in place and the property can be secured.
  • Fixing / fit-out - 25%Internal work such as plaster, cabinetry, fixtures, fittings and finishing items.
  • Completion - 10%The final payment once the build is complete and lender checks are satisfied.
Estimated construction loan $0

Project cost less your cash contribution. The schedule combines standard progress payments with separate land and build interest-only estimates.

Estimated LVR0.0%
Total IO interest$0
Average drawn balance$0
Peak drawn balance$0

Construction lending depends on fixed-price contracts, valuation, progress payments, contingency, permits, cash contribution timing and lender policy.

Talk through the numbers

Common construction loan situations

1

Land already owned

Use available equity or structure the build facility against the land and new construction value.

2

House and land package

Line up separate land settlement and build funding so the timing works from approval to first drawdown.

3

Knockdown rebuild

Review current loan, demolition timing, temporary accommodation costs and the new construction approval.

4

Major renovations

Check whether the works need a construction loan, renovation loan, equity release or another structure.

Get the loan sorted before the slab is poured.

We can help compare construction loan options, explain lender requirements and map the progress payment process before you sign the final contract.

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