Construction Loans

We'll help you fund your new build or renovation

At Abundance Home Loans, we understand the dream of building your ideal home or undertaking major renovations can be both exciting and complex. Construction Loans are specifically designed to ease this process, providing the financial support needed to bring your vision to life. Whether you're buying off the plan or planning a new build on the Mornington Peninsula or anywhere in Australia, our team is here to help you access Construction Loan options from banks and lenders across Australia. We aim to simplify your journey, ensuring you can focus on creating a home that suits your lifestyle and budget.

When considering Construction Loans, one of the essential factors is understanding how the loan amount is managed. Unlike traditional loans, a Construction Loan offers a progressive drawdown feature. This means that the loan funds are released in stages, or instalments, as your project progresses. This approach enables you to pay sub-contractors like plumbers and electricians, manage council plans and permits, and adhere to the Progressive Payment Schedule. Importantly, interest is only charged on the amount drawn down, offering cost-saving benefits during the construction period. Additionally, interest-only repayment options are available, allowing more flexibility in managing your finances during development.

Another crucial aspect of Construction Loans is the process of applying for a loan. At Abundance Home Loans, we offer a streamlined application process designed to make it as straightforward as possible. We work closely with lenders to secure competitive interest rates and terms that match your specific needs. It's important to commence building within a set period from the Disclosure Date and have a clear plan in place. This includes selecting a registered builder, understanding council restrictions and regulations, and ensuring you have suitable land and development application approvals. Our expertise can guide you through these steps, helping you stay informed and prepared for each stage of your project.

Construction Loans also cover various stages of the project, including ‘as if complete’ valuation—this ensures that additional payments align with construction milestones. These loans are not only ideal for new builds but also for major home renovations or when you need a home improvement loan. They can also address scenarios where you need to demolish an existing property before rebuilding or when Out of Contract Items are not included in your initial agreement. Understanding Progressive Drawing Fees and having a structured Progressive Payment Schedule will keep your project financially on track.

Building or renovating a home in your ideal location within your price range is an achievable goal with the right financial solutions. At Abundance Home Loans, we are committed to helping you access Construction Loan options from banks and lenders across Australia. Our expertise ensures you receive the support needed to make informed decisions and successfully manage your home construction or renovation project. If you're ready to take the next step in making your dream home a reality, contact us today for personalised advice and support tailored to your needs.