Construction Loans
Break ground without breaking the bank
We’ll secure the right construction loan to help you build the home of your dreams.
We’ve spent years helping clients secure construction loans to build houses that become homes
Construction loans are used to fund the construction of a new home or significant renovations. Unlike traditional mortgages, where the entire loan amount is disbursed upfront, construction loans release funds in stages as the project progresses (also known as “progress payments”). This means you only pay interest on the amount disbursed, not the total loan amount.
How can we help you?
We have access to a wide network of lenders; meaning we can shop around on your behalf to find the best terms and interest rates for your construction loan.
Applying for a construction loan involves extensive paperwork and documentation. We help you gather the necessary documents and guide you through the application process, saving you time and hassle.
We are skilled negotiators who can advocate for you during the loan negotiation process. We will help secure favourable terms, such as competitive interest rates and flexible repayment schedules.
We manage progress payments. This means we’ll handle the disbursement of funds to the builder at each stage of construction, ensuring that payments are made promptly and in accordance with the agreed-upon schedule. This service provides peace of mind, allowing you to focus on other aspects of the project.
We have access to more than 60 lenders including major banks, second tier & private lenders
Meaning we will find you the options that best suit your needs. Each lender has different application requirements, ever changing policy and risk appetites, so it pays to work with an experienced mortgage broker to find the right fit.
Want to know more about us? Meet the faces behind Achievement Finance.
Broker vs. Bank — Who should you choose for your construction loan?
The alternative to working with a Finance Broker is to go directly to a bank to secure your construction finance. However, you are then restricted to that bank’s specific loan products, interest rates and policies.
This could result in missed opportunities for you for potentially better (lower) rates or products available from other banks, as well as limited flexibility in customising the loan to fit your specific needs.
As your Brokers, we have access to multiple banks, which means we will present you with multiple loan options tailored to you, rather than favouring any single bank. Once the options are presented to you, you can then select your preferred bank, and don’t worry, we will provide you with guidance and recommendations to make this decision!
Alicia Papadopoulos13 September 2024Terry, Luke, and the team at Achievement were highly professional and efficient, delivering exceptional results. Their expertise instilled confidence throughout the process. I highly recommend their services.Steven Miller10 September 20245 star experience. Terry, Lucy and Luke showed a great level of care and understanding helping me along the road to securing my first property. Can’t thank the team enough, and can’t wait to come back for the next one🤞Rebecca Salsano31 August 2024Terry and the team at Achievement Finance have been wonderful to work with. They are genuine people with genuine advice. I can’t thank them enough for helping us restructure our loan and in the process reducing our interest rates! I would highly recommend their services.maryse emery30 August 2024The service and communication offered by achievement finance has been amazing. They got me the best loan that suited my financial position and got it lodged and approved very efficiently. Highly recommend!Lisa19 August 2024Terry and Luke were fantastic as my mortgage brokers. They organised everything that I wanted in the loan, were very communicative and there were no surprises when it came to signing. Cannot recommend them enough.Josh Carulli12 August 2024Terry and the team are amazing over at Achievement finance! Despite doing everything the wrong way around (put an offer on a house before getting pre-approval) Terry did everything in his power and successfully lodged and got our approval well before the due date and got all our ducks in a row so we're ready for what the future holds for us a new home owners! a BIG thank you to Terry!! They are very easy to deal with and there's no such thing as a silly question and whenever you talk with them it's like you're talking with an old friend which is very reassuring throughout a stressful process. I couldn't recommend them enough!Aussiie24 July 2024Very easy to deal with, all questions asked where answered and if not understood would be re explained, and found us a better deal after we found one we were already happy with 💪🏽 thanks terryBrandon Malpuss23 July 2024Terry at Achievement Finance is a top bloke and provided exceptional service. His professionalism and keen eye for detail not only made the mortgage process smooth and stress-free but he also reached out and saved us more money a few years down the line. I highly recommend Terry and the team for anyone in need of a top-tier mortgage broker!Lara McCoubrey10 July 2024Terry and the team have been amazing through the whole journey. It’s been a long process trying to purchase a house in this market but Terry made is so much easier having him there to lean back on and ask questions and advise at any time on each of the houses we put offers in on. He made the process very easy for us and we ended up finally getting a place in the end. Would recommend to all my family and friends. Very happylouis hager2 July 2024Great service. Terry was extremely helpful at every stage of the process. Wouldn’t hesitate to recommend.Google rating score: 5.0 of 5, based on 88 reviews
Questions?
We have answers.
A construction loan is specifically tailored to finance the construction or significant renovation of a property. Unlike a standard mortgage, where the total loan amount is provided upfront, a construction loan disburses funds gradually as the project progresses. This phased approach ensures that funds are available at each stage of construction, from laying the foundation to completing interior finishes.
A progress payment schedule, (also known as the loan drawdown process), outlines when funds are released during the construction process. Payments are typically tied to specific milestones, such as completing foundation work or reaching the framing stage. Before construction begins, the borrower, builder, and lender agree on the schedule. As each stage is completed, the borrower requests a drawdown, and the lender inspects the progress before releasing the funds.
Yes, your broker can assist you in managing the progress payments to the lender. Brokers often play a vital role in coordinating communication between borrowers, lenders, and builders throughout the construction process. They can help ensure that drawdown requests are submitted accurately and on time, liaise with the lender to expedite the inspection and approval process, and provide guidance on navigating any issues that may arise during construction. Having a broker involved can streamline the process and provide valuable support to borrowers throughout the loan drawdown process.
Yes, obtaining a construction loan often requires meeting specific criteria. On top of the usually requirements to obtain a loan, Lenders also typically require detailed construction plans and cost estimates from licensed contractors.
Unforeseen costs are not uncommon during construction, and how they’re handled can vary. Some construction loans include contingency funds to cover unexpected expenses, while others may require the borrower to cover these costs out-of-pocket. It’s essential for borrowers to discuss potential contingencies with their lender and builder upfront to mitigate the impact of unforeseen costs on the project.
Yes, it is possible to refinance a construction loan once the project is finished. Refinancing allows borrowers to replace their existing construction loan with a new loan, often at more favourable terms such as a lower interest rate or longer loan term. By refinancing, borrowers can consolidate their construction loan and any other debts into a single mortgage, simplifying their financial obligations. However, it’s important to carefully consider the costs and benefits of refinancing and consult with a finance broker to determine if it’s the right option for your situation.
$0. Our services come at no cost to you – This is because we are paid a commission by the bank of your choice once your loan has settled. This means you benefit from our expertise and support without an additional out-of-pocket expense.
In the (very) rare event that a fee-for-service is required, we will notify you upfront.
Ready to secure your construction finance?
We’re here to help.
