Construction Loan - Helping you bring your blueprint to life!
Your construction finance specialists
As construction lending specialists, we know exactly what’s required to get the job done. We’ll be by your side, to guide through each step of the construction loan journey from start to completion. We’ll also work closely with your builder and other parties involved to ensure that the finance process runs smoothly. At Square 1 Property & Finance, we’ve spent many years helping everyday Australians secure finance to build their dream homes – now it’s your turn!
How construction loans work
Construction loans are not like regular home loans, the main difference being that you don’t draw down your funds in one lump sum. Instead, the lender will release funds to you in stages, which tend to follow certain milestones in the building process. There are usually six progress payments stages which include; deposit, base/slab down, frame, lock-up, fit-out and practical completion.
Most lenders will require works to be completed for each stage before any progress payments are made. At certain stages of construction, a valuer will assess the work and then authorise the lender to provide the next progress payment. Once the construction loan is drawn down in full, your loan will generally revert to a standard Principal & Interest repayment loan, unless otherwise arranged with the lender. Then you’ll have the option of choosing between different loan types or features, such as a fixed rate loan.
Finding the right construction loan
Whether you’re building a new home, renovating or extending, Square 1 Property & Finance will recommend a finance package to help you reach your construction goals sooner. Of course, our construction loans aren’t just stress-free, easy and convenient – they’re also affordable, with competitive interest rates, low-deposit options and flexible feature to boot. Talk to My Property & Finance today to secure the right construction loan to get your project off the ground faster!
