Construction Loans

Helping you bring your blueprint to life!

Discover How Much
You Can Borrow

We can quickly calculate how much you could borrow based on your income, expenses, savings and credit history, so you know how much you can spend on your project.

Gain Expert
Advice & Guidance

Our construction loan experts will put their knowledge and experience to work for you, providing you with invaluable advice and guidance through every step of the construction loan process.

Find the Right
Construction Loan

Confused about all of the different loan products available? We'll guide you through the available options and recommend the construction loan that's right for your needs.

Understand Loan
Terms & Conditions

We'll explain the relevant terms and conditions, including how the progress payments work and which documents will be required upon commencement and completion.

Our Reviews

Our customers’ experience speaks for itself!

My Property & Finance
Based on 145 reviews
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Daniel FitzsimmonsDaniel Fitzsimmons
08:38 13 Aug 22
My Property & Finance provided outstanding customer services and advice. They provided prompt and timely information from first contact through to settlement and beyond. They took into account personal situations and requirements. I honestly could not recommend them more highly.
Amber LucasAmber Lucas
07:01 11 Aug 22
Easy to deal with got me a great loan with a super low interest rate. Now a year and a half on after 4 interest rate rises they have negotiate a better deal. Great service would highly recommend
Jennifer FitzsimmonsJennifer Fitzsimmons
06:03 29 Jul 22
Nick and the team have been invaluable support and source of advice during our big life change of buying vacant land and owner building. We really appreciate Nicks honesty and transparency about his services and what there is out there in the financial world. Thanks again guys.
Gavin SmalleyGavin Smalley
12:08 21 Jul 22
Nick and the team are fantastic. They went above and beyond to help us get the best mortgage to suit our requirements with excellent communication and attention to detail throughout the process. I will definitely be using their services again in the future.
Simcha LipskierSimcha Lipskier
09:48 18 Jul 22
Nick was so incredibly helpful and insightful the entire process in getting us through our home and construction loan process. From the first phone call, Nick patiently answered every small question we had, guided us through the entire process and worked diligently to ensure our loans went through even under tricky circumstances. We are highly grateful to Nick for his patience and perseverance through the entire process. Can’t recommend him enough. Thank you Nick!
Liri MernicaLiri Mernica
04:17 24 Jun 22
Nick and his team were fantastic throughout the whole process. They were detailed and informative while responding swiftly and always available when needed. I couldn’t recommend them highly enough.
Paul CrimminsPaul Crimmins
09:45 22 Jun 22
I have been working with Nick and the team at My Property and Finance for more than 5 years now. From a construction loan, SMSF mortgage and getting a better deal for our current home mortgage they have always been fantastic, friendly and helpful. Recommend them to anyone looking for mortgage advice and a good deal.
Danny PhillipsDanny Phillips
07:54 22 Jun 22
What can I say? Nick is a genius. We first came to Nick wanting to get a self employed, owner-builder loan. No other bank or broker said that they could do it, but Nick gave us a go and came through. Nick went above and beyond for us, returning emails and calls after hours, chasing up banks and doing absolutely everything he could do get us over the line. I could not recommend a broker as highly as I do Nick. We will definitely be doing any financing through him from now on.
simon lindsaysimon lindsay
03:29 31 May 22
fantastic experience from Nick and the team handling a refinance with change of title.Everything from the first appoint to settlement went without a hitch.Thanks for making everything easy!Highly recommend
Amy FrostAmy Frost
23:48 26 May 22
My husband and I highly recommend Nick and the team at My Property and Finance. From our first phone call to Nick until our most recent request for a review of our mortgage rate, he has been friendly, helpful and attentive. He’s answered all our queries in a timely and comprehensive manner and got us a mortgage lender that suits our needs well. After Nick and his team were so professional and patient with us, we would have no hesitation in using their services again in future.

Gain access to the best
rates from leading lenders!

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 My 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, My 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!

Let's talk about...

How we can help you!

Provide expert advice and guidance​

We’ll discuss your current financial position, requirements and objectives, so we can gain a thorough understanding of your goals in relation to the construction of your property.

Calculate how much you can borrow

After we’ve collected some paperwork and personal details from you, we’ll calculate your borrowing capacity based on your income, expenses, credit history, current savings, deposit and available equity in your land.

Explain the costs

We’ll explain all the upfront costs, allowing for any application fees, progress payment inspection fees and Lenders Mortgage Insurance (LMI) if you’re borrowing more than 80% of the property value.

Compare lenders and secure a better construction loan

With access to hundreds of loan products available across 35+ leading banks and lenders, we’ll compare the most competitive construction finance options and match you with the loan that best suits your needs.

Get your loan pre-approval

If you’re looking to build or renovate, we’ll organize a pre-approval, so you can be confident knowing how much you can afford to spend on your project.

Handle the paperwork, negotiations and details

We’ll handle all the paperwork and liaise with the lender on your behalf. We’ll also deal with any on-going communication with your builder until your loan is approved and settled.

Sometimes the best things in life really are free! We provide a wealth of experience and specialised knowledge, all complimentary to you. That’s because lenders pay us once your construction loan has successfully settled.

Break new ground with your Construction loan!

Call My Property & Finance on 1300 672 633, or submit your details and one of our Mortgage Specialists will contact you within 24 hours (Mon - Fri) to chat about your finance options.

Like to stay well-informed?

Construction Loan FAQ's

A construction loan is a type of loan intended for those building or renovating a property rather than purchasing a pre-existing property.

Construction loans aren’t set up in the same way as traditional home loans, in so far as the lender considers the total amount you need pay for the construction loan then breaks down the full amount into separate payments called progress draws. Most lenders will require works to be completed for each stage before any progress payment is made. Whilst progress payments are being made, the majority of lenders may only expect you to pay the interest due on the amount that has been drawn hence providing potential cash flow benefits to you.

After completion the loan generally reverts to a standard Principal & Interest repayment loan. Once the construction loan is draw down completely, you then have the option of choosing between different loan types, including Fixed Rate loans.

Most lenders will only ask you to make interest repayments on the money that has been drawn down (paid to the builder), whilst your building is in progress. This means you’ll only be charged interest on the amount used, not the full approved loan amount. Construction loans can provide potential cash flow benefits to you, because you’re not paying interest on the entire loan amount while you wait for your house to reach completion.

The usual stages of construction are:
  1. Deposit – Paid to your builder before construction begins.
  2. Slab or Base – Payable after the slab is poured or sub-floor being completed.
  3. Frame – When the walls are established.
  4. Lock-up – Roof, windows, doors, etc.
  5. Fit-out or Fixing – Appliances, Interiors like cabinetry & tiling.
  6. Practical Completion – The home is ‘fine tuned’ blemishes buffed out and handed over to the purchaser.
These stages may vary for more complex or larger scale projects.

As a general rule, the amount you pay at the different stages of construction is as follows:

  1. The deposit: 5%
  2. The slab or base stage: 15%
  3. Frame stage: 20%
  4. Lockup stage: 20%
  5. Fit-out or fixing stage: 30%
  6. Practical completion stage: 10%

To apply for a construction loan, you’ll need to provide more documentation in comparison to a traditional mortgage. In addition to the standard documents for a home loan application, you’ll also be required to provide a copy of:

  1. A “fixed price” building contract with a registered builder.
  2. The Council approved plans.
  3. Construction specifications.
  4. A copy of your builder’s current building insurance.
  5. For house & land packages, you’ll be required to provide the purchase contract for the block of land.

You must use a Registered Builder who is licenced and insured. Your lender will need to approve your choice of builder.

Depending on the lender, you may have to source the extra funds yourself. It’s important to calculate expenses accurately before starting the project and before applying for your construction loan. If you anticipate exceeding approved funds, contact your My Property & Finance immediately, so we can work out how best to assist you.

The good news is yes. Contrary to popular belief, there are a few lenders that will allow you to fix your home loan before construction commences.

For construction loans, lenders typically allow up to 12 months for your builder to complete the project.

If you’re purchasing a block of land, some lenders allow up to 2 years to complete construction of the dwelling after the purchase of the land has settled.

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