Construction loans
A building loan is paid out in stages. We line the lender, the builder and the paperwork up so the build keeps moving.
How progress payments work
The lender releases the loan in stages, usually at the slab or base, frame, lock-up, fixing and completion. Your builder invoices each stage, you sign it off, and the lender pays the builder. During the build you pay interest only on the amount drawn so far.
What the lender needs
- A signed fixed price building contract with a licensed builder
- Council-approved plans and specifications
- The builder’s insurance details
- A valuation of the finished home, called an “on completion” valuation
- Quotes for anything outside the contract, such as driveways or landscaping
Lenders differ on owner builders, kit homes and builds on rural land. We match the project to a lender that accepts it.
Budget for the gaps
Variations, site costs and delays are common. Lenders will not always fund them after approval, so we build a buffer into the plan at the start. If you are renting while you build, we also check you can carry rent and loan interest together.
First home buyers who build
Building a new home may qualify you for Tasmania’s $20,000 First Home Owner Grant on eligible contracts from 1 July 2026 to 30 June 2027. Some lenders count the grant towards your funds. How the grant works.
How we handle it
The same four steps on every loan, whatever the size.
Talk
A 20-minute call about what you want to do. No documents needed yet.
Compare
Your scenario priced across 40+ banks, mutuals and non-bank lenders, explained in plain English.
Settle
We package the application, lodge it and chase the lender through to settlement.
Stay sharp
Every year we check your rate against the market, so the loyalty tax never gets a grip.
Questions people ask
Do the grants for building differ between states?
Yes. Each state has its own building grant rules, value caps and contract requirements. Check the rules for the state where you are building.
Can I buy land now and build later?
Yes. You can take a land loan first and add the construction loan when the contract is ready. Some lenders set a time limit to start building.
What if the valuation comes in under the build cost?
You may need to add more of your own funds, or we can look at lenders whose valuers see the project differently.
Do I make repayments during the build?
Usually interest only on the amount drawn. Full repayments start once the home is finished.
General information, last updated November 2026. Scheme figures, lender policies and duty rates change, so confirm them before you rely on them.
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Let’s talk about your next move
Twenty minutes on the phone. No documents and no sales pitch.