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Building a home?
Let’s plan the finance.

We help you understand construction lending, prepare the documents and coordinate with your lender as the build progresses.

Your complete financial situation will need to be assessed before acceptance of any proposal or product. Lender criteria, terms, fees and charges apply.

Get StartedCall 0426 299 702
Construction Loans

A clear plan for your build.

Construction finance works differently from a standard home loan. Lenders usually release funds in stages as the build progresses, with requirements for contracts, plans and valuations.

We explain the documents your lender needs, compare suitable options and help you prepare your application. During the build, we follow up on progress payment requests and keep you informed.

Whether you are planning a new build, a knock-down rebuild or a major renovation, speak with us before committing so we can work through the finance requirements together.

Why it works

Why builders' clients choose us

We Speak Construction

We help organise your building contract, plans and cost breakdown so the lender has the information needed to assess your application.

Drawdowns That Keep Pace

We follow up with the lender on progress payment requests and explain the steps involved. Release of funds depends on the lender and any required valuation.

Contingency Built In

We structure your facility with sensible buffers for variations and out-of-contract costs, so a surprise doesn't become a crisis halfway through the build.

Run the numbers

Construction interest estimator

During construction you typically pay interest only on what's been drawn down. Estimate what that looks like across your build.

Planning tool only. Any pre-filled figures are hypothetical assumptions, not advertised lender rates, quotes or offers. Change the inputs to reflect your circumstances. Results exclude costs described below.

Average monthly payment during build
$3,500 /mo
At start (land only drawn)
$2,250 /mo
At completion (fully drawn)
$4,750 /mo
Estimated interest during build
$42,000

Estimates only. Assumes interest-only payments during construction, with the land amount fully drawn from day one and the build amount drawn progressively (averaging ~50% across the build period). Actual interest depends on your drawdown schedule and rate. Results do not constitute credit advice or an offer of finance, and your eligibility depends on a full assessment of your circumstances. Talk to us for figures based on your actual situation.

Common questions

Construction Loans FAQs

How is a construction loan different from a normal home loan?
Instead of receiving the full amount at settlement, the lender releases funds in stages, usually deposit, slab, frame, lock-up, fixing and completion, as your builder completes each one. You typically pay interest only on what's been drawn, and the loan usually converts to normal principal-and-interest repayments at handover.
What documents do lenders need for a construction loan?
Typically a signed fixed-price building contract, council-approved plans and specifications, builder's insurance certificates, and any quotes for work outside the contract (landscaping, driveways, pools). We'll give you a complete checklist up front, having it right the first time is what keeps approvals fast.
What happens if my build goes over budget?
Variations and out-of-contract costs can arise. We discuss a contingency budget early, subject to your circumstances and lender requirements. If costs rise mid-build, options include contributing savings or applying for a loan increase; we'll manage that process with the lender.
Do progress payments go to me or the builder?
Directly to the builder, after you approve each invoice and the lender (usually via a valuer) confirms the stage is complete. It protects you, the builder only gets paid for work actually done. We follow up on valuations and approvals to help keep you informed.
Can I get a construction loan as an owner-builder?
It's harder, many lenders won't touch owner-builder projects, and those that do usually cap lending at a lower percentage of cost and want detailed costings and evidence of your capability. Availability depends on the project, your circumstances and lender criteria. Talk to us early, before you commit.

Building something? Let's talk early.

The best time to involve us is before you sign the building contract, we'll spot the finance issues before they cost you.

Get StartedCall 0426 299 702
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Your information is kept confidential and used only to respond to your enquiry, as described in our Privacy policy. Daniel Toukan, Credit Representative Number 577748, is authorised under Australian Credit Licence 384324 held by Outsource Financial Pty Ltd.

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