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Construction Loans

Build Your Dream Home

Specially curated loans for home construction as per your needs to enable you to build your dream home or make improvements to an existing one. Our loan experts help you compare and find the right construction loan in Melbourne. 

What Is A Construction Loan?

A construction loan is a financial arrangement to get funds for building a new home, renovating a home, or making structural changes to your existing home. You can draw down your construction loan in Melbourne as needed to pay for the different stages of the construction or renovation. Our loans for home construction are interest-only during the construction period and revert to a standard principal and interest loan after that. 

Construction Loans in Melbourne

Why Choose Our Construction Loan?

Progress Payments

As mortgage lenders in Australia, we let you draw down your loan in stages (such as slab, frame, lockup, fit out and completion). Draw down the funds only once you have approved the inclusions, finished quality, and achieved pre-determined milestones.

Manage Cash Flow

Constructing or renovating your house can drain your finances and make it difficult to manage your cash flow. The lenders we are associated with provide interest-only loans during construction, lowering the repayment during construction and helping free up cash flow. After the completion of construction, the construction loan in Melbourne reverts to a standard principal and interest loan.

Up To 90% LVR

As mortgage lenders in Australia, we assist you in getting a Loan to Value ratio of up to 90%. However, you will require an LMI if your LVR exceeds 80%.

Minimise Interest

Since the construction loan in Melbourne amount is released in stages, you have to pay interest only on the funds you draw down and not on the whole amount upfront. It means you have lower repayments.

Borrower Protection

Most of the lenders tied with us conduct periodic project inspections prior to releasing the next progress payment to the builder. For you as a borrower, it means the builder will have to fix incomplete or unsatisfactory work before they are paid for it.

What Is The Eligibility Criteria and Documents Needed For
A Construction Loan in Melbourne?

To be eligible for a construction loan in Melbourne, an applicant must:

  • Be a citizen of Australia or a permanent resident of Australia.
  • Have at least 20% of the total project cost.
  • Have a good credit history.
  • Provide income and asset proof.
The lenders tied up with us usually ask for a detailed breakdown of the estimated construction costs, including the cost of labour and material and contractor fees. As a borrower, you must provide the lending institution with the following documents:

  • Documentation of the land registration.
  • Council approvals.
  • A building plan approved by the local council.
  • A copy of the building contract with a registered and approved builder.
  • Quantity surveyor report.
  • Soil tests and engineering reports.
  • Quotes for additional building work.
  • A copy of the company licence and insurance policy of your builder.
  • Other information, as needed.
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How Our Loans For Home Construction Work?

  • Discuss Your Goals
    Firstly, we discuss your construction goals. Understanding your goals better helps us find the right construction loan in Melbourne for your needs.
  • Review Your Borrowing Capacity
    At the next stage, we determine your borrowing capacity by reviewing your income, expenses, liabilities and savings. This helps us calculate your maximum construction loan limits and deposit requirements.
  • Propose a Lender and Seek Approval
    After we have all the necessary information, we compare and find a loan for home construction at the lowest possible rates. Once you choose the lender, we help you with the paperwork, submit your application, and finalise the approval.
  • Settlement and Progress Payments
    Once the lender approves your loan for home construction, our team of mortgage lenders in Australia will coordinate the settlement and confirmation to your builder. As the construction of your property begins, the lender will request invoices as part of a progress payment schedule. Our construction loan specialists manage the payments from the bank to the builder throughout the loan tenure.
  • Completion and Handover
    After the completion of construction, your lender will order a final inspection and make the last progress payment. Once the final payment is made, your construction loan in Melbourne will revert to the standard loan package that you have agreed upon.

The Jump Financing Advantage

As mortgage lenders in Australia, we specialise in construction loan solutions and provide customers with the best possible rates. With us, you benefit in the following ways:
  • We have in-depth knowledge and understanding of the lending policies and criteria of all lenders, banks and credit unions.
  • We have an experienced team of mortgage lenders in Australia who put your needs first.
  • We are committed to providing you with honest, ethical and genuine advice.
  • Our strong relationships with our lenders help us negotiate the right construction loan deals at the best possible rates.
Jump Financing Advantage

Want A Construction Loan in Melbourne?

As mortgage lenders in Australia, we take care of everything from application right through to settlement, so you can focus on building or renovating your dream home. We provide you with expert advice and negotiate for the best loan for home construction that suits your needs on your behalf. If you want to take a construction loan in Melbourne, speak to our team today to enquire more about our loan services. 

 

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