Flexibility During Building Stages

Construction loans disburse your approved borrowing limit across multiple pre-set instalments during the project, not as a lump sum. This matches cash flow to the building progress without paying full loan interest costs immediately. Here at Investors Mortgage, we can also offer you product options featuring customizable interest-only periods to further easing short-term financial burdens amidst major works. And for interest, it’s only calculated based on the amount already drawn, not the full approved amount.

Progress Payments

Instalments only release upon validating completion of each stage through required paperwork like signed invoices and inspections. This responsibly governs deploying funds in alignment with the project progression and help with adhering to budgets.

The main stages are:

Preparation: plans, permits, fees
Base: slab, footings
Frame: structural skeleton
Lock-up: roof, windows, exterior
Fixing: kitchen, bathrooms, electrics
Completion: fences, tidy up, handover

Other Construction Loan Requirements

Requires “as if complete” valuation estimating future property worth to govern viable lending amounts.
We need fixed price builder contracts meeting industry body standards.
Further valuations done during the project to ensure on-budget delivery.
Final payment is only released after all verifications are received.
Once construction is complete, your loan transitions into a standard mortgage. At this point, you begin making principal and interest payments, just like a traditional home loan.

Get Specialized Guidance

Construction lending allows custom building, making that unique dream home or property development plan within reach. Our experienced team at Investors Mortgage will guide you through the construction loan process seamlessly.

Contact us today to discuss tailored solutions.

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