Construction Loans

We'll help you fund your new build or renovation with a Construction Loan

Building a home or undertaking major renovations can be an exciting venture, yet it comes with its complexities. Construction loans provide a tailored financial solution for those looking to embark on such projects. At Influence Finance Group, we specialise in helping clients across Melbourne and nationwide access Construction Loan options from banks and lenders across Australia. Whether you're planning a new build in your ideal location or considering home improvement loans for major renovations, our goal is to simplify the process and help you achieve your dream home.

Construction loans differ from traditional home loans in several key ways. One of the primary features is the progressive drawdown system. This means that funds are released in instalments at various stages of the project, allowing you to pay sub-contractors like plumbers and electricians as work is completed. With this system, you only charge interest on the amount drawn down, making it a cost-effective option. Moreover, interest-only repayment options are available during the construction phase, providing you with financial flexibility.

Another important aspect to consider when applying for a loan is the Progressive Payment Schedule. This schedule outlines the progress payments required as construction milestones are achieved. Before commencing building, you must ensure council plans and permits are in place and that the development application has been approved. An ‘as if complete’ valuation will be conducted to assess the property's final value, influencing the loan amount you can secure. Additionally, it’s critical to account for Out of Contract Items not included in the initial budget that may require additional payments.

Our streamlined application process is designed to make applying for a loan straightforward and stress-free. We assist in ensuring that all necessary documentation, such as council regulations and permits, is in order before you commence building. Clients often wonder about buying off the plan or demolishing an existing property—our expertise can guide you through these choices, considering factors like suitable land and price range.

Working with registered builders is essential to meet construction milestones within a set period from the Disclosure Date. This ensures a smooth transition between the various stages of the project. The Progressive Drawing Fee applies with each drawdown, but our team will help you make a plan that effectively manages these costs. By choosing Influence Finance Group, you benefit from our extensive network and knowledge, ensuring you secure favourable interest rates that align with your financial goals.

As construction progresses, it is crucial to maintain communication with your builder and lender to address any unexpected changes or additional payments. Ensuring everything is on track helps prevent delays and cost overruns. Whether you're paying sub-contractors or navigating council restrictions, our team is here to support you every step of the way.

In summary, accessing a Construction Loan through Influence Finance Group provides a structured way to finance your building projects. From understanding interest rates and loan amounts to managing construction milestones, our expert guidance simplifies the process. If you're ready to turn your property dreams into reality, contact us today to explore how we can assist you in making your vision come to life.