Building your
dream home?
Feeling
overwhelmed?
We are here to take out the guesswork
for you and simplify the building
process. We are experts in managing
construction loans for our customers
and making the process of building
their dream home as stress free and
seamless as possible.
STRESS-FREE CONSTRUCTION LOANS
WE HELP YOU TURN YOUR DREAM HOME INTO REALITY
Most of us have a vision of our dream home. If you’re considering the idea of building your own home, it’s a wise decision to explore your financing options thoroughly before committing to a building contract.
Building your home can be confusing with all the finance options as all banks have different policies on what they will lend on land and construction packages.
The great news is we have over 25 years experience as mortgage brokers and can guide you through the whole process. We will help compare the lenders to ensure you’re getting a competitive loan to fund your project.
DIFFERENCE BETWEEN BUYING AN ESTABLISHED PROPERTY VS BUILDING YOUR DREAM HOME
Distinguishing between financing for a construction project and financing for the purchase of an existing home is crucial. This is why it’s best to have an expert on your side. Different banks have different policies around how they look at land and construction loans. Picking the right lender could literally make the difference between being able to build a pool or not. We understand the various grants and concessions that are available to you when building and will guide you through this.
We manage the entire building process and all the various progress payments throughout the building stages for you. This ensures your builder is being paid quickly and on time which ultimately minimises the overall building time. Mortgage Innovations will be there for you the entire time until you receive the keys to your new dream home!
HOW DO LENDERS APPROACH
CONSTRUCTION LOANS?
During the loan application process, lenders will inquire about various aspects related to your construction project, such as:
- Is your builder offering a fixed price contract?
- Are you contemplating being an ‘owner/builder’?
- Have you made provisions for unexpected expenses and potential budget overruns?
- What inspection procedures are planned during the construction phases?
- What are the payment requirements set by the builder for each stage of the project?
We understand which banks have an appetite for construction finance and who make the process easy when it comes to funding and progress payments.
The good news also is that we will also help with the progress payments with the lender to ensure they make the payments ot the builder in a short time frame.
OUR GOAL IS TO makE the finance process stress-free for yoU
If you’re considering building your own home, there are two essential points to keep in mind:
- First-time buyer grants and concessions are often more favorable for those constructing their first home rather than purchasing an existing property.
- When building a new home, you generally only pay stamp duty on the value of the land, not on the construction price of your new property.
We will guide you through all the potential grants and stamp duty implications that apply to your unique situation. We are here to assist you every step of the way.
HOW TO APPLY FOR A construction LOAN
HERE’S HOW WE MAKE GETTING YOUR HOME LOAN EASY
HERE’S HOW WE MAKE GETTING CONSTRUCTION LOANS EASY
We created the process to:
- Find the right construction loan product to suit your needs
- Save you time
- Give you the best chance of approval
- Make it easy for you
- Support you throughout the process
TALK TO YOUR LOCAL BROKER
- We listen to your financial goals and will talk you through the loan process, so you better understand the requirements.
SELECT A BUILDER
- Here are some tips to help select the right builder.
- Select a builder on recommendation.
- Intuition is key.
- Check qualifications.
SUPPLY DOCUMENTATION TO BROKER
- Be sure to send through the land contract, the land specifications for the build, the build contract and any quotes you have received.
- These will form part of your loan documentation requirements.
SUPPLY VARIATIONS TO BUILD CONTRACT
- If there are any variations to your contract and these are supplied prior to the valuation & loan approval they can form part of the loan.
- If additional variations come afer this, the client needs to advise their broker, as this can affect the funds required and/or the valuation.
FIRST HOME OWNERS GRANT (FHOG)
- If a FHOG is applicable then this needs to be completed so that funds can be used for the construction.
COMPLETE PAYMENT
- Shortfall will need to be paid by the client prior to the bank releasing funds for the progress payments.
- The bank will always ask for their contribution first – this is to make sure that they don’t get to the final stages of building and find out that clients have spent their contribution.
PROGRESS PAYMENT REQUEST
- Once construction has commenced clients will receive a progress payment request – this needs to be forwarded to the broker immediately so that they can send to the bank for fast payment to the builder.
- Some lenders have their own progress payment form that needs to be signed/sent in addition.
- The bank will then order a valuation in some cases and then make the payment to the Builder.
FINAL PROGRESS PAYMENT
- When clients are nearing the end of the build they need to allow time for the very final payment – this can sometimes take a little longer as the bank will organise a final valuation for the property.
- For the final payment to be made, a copy of the Certificate of Occupancy and Building Insurance also needs to be supplied.
- We will liaise with the client and builder to work out the handover date.
MOVE IN TIME
- At this stage, you can move into your new home.
YOUR NEXT PROJECT
- We keep in contact throughout the life of your loan.
- So when you’re ready for your next project, we are here ready to assist with your finance needs.
WE MAKE IT EASY FOR YOU!
DOWNLOAD OUR CONSTRUCTION LOAN PROCESS BELOW
We are dedicated to making the loan process as simple and quick as possible for you. That’s why we created a downloadable version of the construction loan process.
The first step in finding your finance is a chat with one of our friendly team. We won’t waste your time and will let you know if you’re eligible for a loan:
We Compare. You Save.
Know that you’re getting the right deal and loan to suit you from our range of over 60 lenders and 1000 loan products:
Find out what your numbers are
Work out how much you can borrow, what your repayments will be and plan how much you could save with our free calculators (or you can request a free consultation to get your questions answered).
MORTGAGE INNOVATIONS
We’re a family-owned business with around 8 staff, 15+ years experience and more than $500M of approved loans. By taking time to understand your requirements, we help make your dreams come true with caring, professional service.
Our team of specialists including Gold Coast Finance Brokers, Medical Mortgage Brokers, Varsity Lakes Mortgage Brokers, Gold Coast Mortgage Brokers and Southport Mortgage Brokers will find the right loan for you.
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IMPORTANT LEGAL STUFF:
This page provides generic information only; it was created without considering your individual goals, requirements, or financial condition. Before accepting any offer or product, we advise you to think about whether it is appropriate for your situation and to assess your entire financial status. It is not intended to be legal, tax, or financial advice, and you should always obtain a professional's opinion regarding your particular situation. All loan products are subject to lender requirements and approval. Fees, terms and conditions apply.
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