Get the construction of your investment property underway
Construction loans for investors building from the ground up.
Green Construction Investor
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Borrow up to 90% LVR at a discounted rate++ -
Discounted 5 year green construction rate++
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Interest only during construction period
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Offset sub-account available after completion
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No monthly or ongoing fees
Our construction loan will help bring your investment property blueprint to life. Speak to our Australian-based home lending specialists to start the process with ease.
You’ll benefit from our competitive rates, interest only repayments during construction, and unlimited redraws plus the flexibility of an offset sub-account after the completion of your build.
Our online process makes applying and settling easy, with expert support at every step just a phone call or email away. Whether it’s your first build, or you’re a seasoned expert, we’ll make sure your financing works for you.
Why Aussies Choose Us
Apply anytime, and from anywhere.
Fast tracked pre-approval in minutes.
Smarter lending to get you moving sooner.
Online convenience, local support.
Our home loan interest rates
| Home Loan | Interest Rate | Comparison Rate | Monthly Repayment | Product Features | Details |
|---|---|---|---|---|---|
Green Construction InvestorBorrow up to 90% LVR at a discounted rate++ |
6.19% p.a. | 6.15% p.a. | $3,280 |
|
Do I Qualify? |
Solar Construction InvestorBorrow up to 80% LVR at a discounted rate~ |
6.19% p.a. | 6.15% p.a. | $3,280 |
|
Do I Qualify? |
Construction InvestorBorrow up to 80% LVR |
6.54% p.a. | 6.32% p.a. | $3,389 |
|
Do I Qualify? |
Free guides & reports
Create a property report
Get a list of the similar property sales in the area.
Get a list of properties currently on the market, similar to the one you are looking at.
Get an estimation of the value of the property.
Your guide to Construction
Your step-by-step guide to construction loans with loans.com.au so you can build your home your way. We can help you get your finance sorted so you can build your home, or complete your renovations.
Why choose our Construction Loan?
Discounted green rate~~ on your construction loan
Interest only during construction period
Make additional repayments on your green loan
No monthly or ongoing fees
As seen on...
Katrine
Meet the team behind Australia's Home of Loans
We have been making it easier for Aussies to access great value home and car loans with our award-winning rates, fast approval and seamless digital experience.
Our construction loan application process
Apply Online
Complete your application through our online platform.
Upload & Track
Submit your documents and monitor your application in real time via our onTrack portal.
Speak to our Specialist
Our lending specialists will guide you through the process and help secure your pre-approval.
Approval & Signing
Review and sign your mortgage documents securely via onTrack.
Settlement
We'll guide you through the drawdown process for your construction loan, with progress payments made to your builder at each stage of construction.
Manage Your Loan
You'll receive your login details to manage your repayments and account details via our Smart Money app.
How Your Construction Loan Works
As each stage of construction is completed, we'll arrange a progress inspection. Progress payments are then made directly to your builder for each stage of completed construction:
Deposit - initial payment to builder, includes payment for council approved plans and building permit.
Base - the land is prepared, foundation is laid.
Frame - completion and approval of house frame.
Lockup - completion of external walls, windows, external doors and roofing so that the property is lockable.
Fixing - completion of internal fit-out, including fixtures, fittings, electrical work, plumbing, internal walls.
Practical completion - remaining work completed, inspections passed, and property ready for handover. Final payment made to builder.
Common construction loan questions
A construction loan is for anyone building or renovating a home, instead of buying an established property. They offer cashflow flexibility since they let you progressively drawdown money throughout the construction process, ensuring you only pay interest on the amount you use.
Yes. Whether it's a small property extension or a total knock-down and rebuild, a construction loan lets you draw funds from the loan progressively as your invoices arrive. This ensures you save money, as you only pay interest on the progress payments made until the loan is fully drawn.
To apply for this loan, you’ll need to have:
- Finalised the purchase of your land
- Selected a licensed Master Builder
- Building plans
- Copy of the fixed HIA/MBA Building contract
The comparison rate identifies the true cost of a loan. The reason the comparison rate is lower than the standard rate is because the loan will begin on a higher interest rate due to being construction and on interest only repayments. Once the construction period and interest only repayment period is complete, the loan will revert to a standard variable, principal and interest rate, which will likely be lower than the construction interest only rate.
An offset sub-account isn't available on your construction loan but is after the construction loan ends.
An offset sub-account is linked to your home loan and helps reduce the interest you pay. Instead of earning interest like a regular savings account, the balance in your offset reduces the portion of your loan that accrues interest. This can help you pay off your loan faster and save on interest costs.
Key things to know:
- It's a sub-account of your loan, not a separate deposit account.
- Funds in the offset sub-account are not covered by the government deposit guarantee.
- The offset cannot exceed your home loan balance.
If you have any questions, our friendly team is here to help!
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