How does it work?
Our construction loan is a great option for you if you’ve bought land and are looking to build, or if you’re completing extensive renovations to your property. So how does it work?
The different phases of a construction loan
Before you apply you'll need:
A Licensed builder
Once your loan is approved the 6 construction stages are:
Frame up complete
Once construction is about to finish, and before final payment, you’ll need:
A copy of your Occupancy Certificate
A copy of your home building insurance
Signed authorisation, so the builder can fix anything before the final payment is made.
Once the final payment has been made we’ll convert your dream home loan construction to a dream home loan offset variable.
Apply online today. Or, one of our friendly lending specialists can do the hard work for you and manage your paperwork over the phone.
Either way, we can settle your loan quickly so you can start saving thousands sooner.
Construction Owner Occupier Rates
Construction Owner Occupier-
Up to 80%
2.96% comp rate*
Up to 90%
3.09% comp rate*
Want to see more home loan options? Compare our home loans
Top reasons to choose this loan
Interest Only during
Ensure your interest rate doesn’t change during construction period
Progress claims &
Updates on progress and valuation before a portion of your loan gets released and with zero recurring fees.
No monthly or
Save thousands over the course of your loan with zero recurring fees.
As an online lender, we save in overhead costs and pass those savings directly on to you. So, we don't charge you an application fee.
In addition to our great low rates, we don’t charge you any ongoing fees.
Similarly, no annual fees helps save you thousands over the life of your loan.
Calculate your home loan repayments.
Our online loan application process
At loans.com.au, we make borrowing simple. We’re here to help you from application through to settlement.
Fill out our application online or talk to one of our Australian-based lending specialists to do the hard work for you.
Login to onTrack and easily upload the required documents. Plus, you can track your application through to approval.
Settle & save
Our innovative online process gets you to settlement quickly, so you can start saving thousands sooner.
Frequently asked questions
The number of drawdowns will depend on the agreement between you, your builders, and your lender. Loan repayments in constructions loan are interest-only but once the entire renovation is completed, the construction loan will revert to principal & interest repayments, unless you request to extend the interest-only period.
2) Slab down
3) Frame up complete
6) Practical completion
A progress inspection will be carried out by an independent valuer for each building stage. Once your builder sends the invoice to us, a progress inspection will be ordered.
- Two (2) most recent consecutive payslips for each applicant
- Three (3) months bank statements showing regular salary credits, including most recent salary credits with the name of the employer evident
- Evidence of Salary Sacrifice or Packaging (if applicable)
- Evidence of Company Vehicle/Car Allowance (if applicable)
- Six (6) consecutive months of home loan statements showing consistent repayment history (if applicable)
If you have income paid to more than one account you'll need statements for all those accounts. Alternatively, you could provide your most recent Tax Assessment Notice and a letter from your employer that confirms your salary.
If you're self-employed, the paperwork will be slightly different. When you refinance a loan, you'll need to provide evidence of your ability to make repayments, so your lender will request two years of business and personal tax returns and ATO assessments.
Once your loan application has been submitted, you will be given access to our online portal onTrack. In onTrack, we will collect some more information from you and you can track your application. When your loan settles, you will be given your referral code in onTrack.
You can refer as many people as you like!
At loans.com.au, we help people into their dream homes and cars.
For the last 10 years, thousands of Aussies have trusted our experienced & locally based team with some of their biggest financial decisions - buying a home, a new car or refinancing to save on interest.
Our customers trust us to support them with low home loan and car loan rates, approved quickly through our easy-to-use online app.
loans.com.au is completely safe and financially backed by Firstmac, Australia’s 12th largest lender. Firstmac has been operating successfully for more than 40 years, and has $14 billion in mortgages under management, as Australia’s leading non-bank lender.
We are also actively involved in our local community with our loans.com.au Women, Children & Community Program designed to support Australian charities on their mission to raise awareness for important causes.Read our story
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The application process was straightforward as long as you could provide the required information without much hassle. They were always available to provide quick answers to questions and in a friendly manner. The organisation is located within Australia. Once we learnt the secure way of uploading information, the system worked extremely well. This company has very low interest rates and worked quickly to met our tight settlement deadline. Would recommend to anyone wanting a home loan.
October 13, 2021
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It is such a smooth journey with loans.com.au. Our loan manager Ray is so productive and professional, he gave all the advice we need and help us to purchased the dream home. Settlement team always works closely with us, the process and procedures are really clear and helpful. You are always my first choice. Many thanks, Jenny.
October 05, 2021
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October 01, 2021