|
You are here: Loans > Home & Investment Loans > Building Loan
If you've decided to take the plunge and build your dream home, we can help you with a flexible and uncomplicated construction loan to ensure that at least one part of your building process is hassle-free!
To be eligible for a construction loan, we require the agreement between you and your builder to be a Housing Industry Association (HIA) contract. By using an HIA member, you can be sure a professional is building your home. You can borrow up to 95% of our valuation of your completed home, and we will make progressive payments to your builder according to a pre-arranged schedule. In general, 5-6 drawdowns take place during the construction of your home, and take place in accordance with the schedule agreed between you and your builder. We require that you cover the interest charged to your loan each month on the balance outstanding. Payments to your builder are progressively drawn, and the interest payable will increase following each drawdown. We will write to you each month advising of the interest payable for the following month. Fixed interest rates are available for terms of 1 to 5 years at the time of the first progressive drawdown, or a standard variable rate will fluctuate in accordance with economic conditions at the time.
Terms, conditions, and normal lending criteria apply. Fees and charges are payable. For current interest rates, please refer to our Home Loan Comparison Rate Schedule which can be downloaded here. |
