Construction Home Loan
Construction loans can be used to provide finance when you are building a house, completing a major renovation or demolishing and rebuilding. It allows you to progressively draw down on the loan in stages, only paying interest on the amount drawn during the construction period.
- From (owner occupied)
- 7.19%
- 6.34% comparison
Interest Rates
Owner occupied — Interest only
| Type | Rate | Comparison | Applies To |
|---|---|---|---|
| Variable | 7.19% | 6.34% | Loan-to-Value Ratio (LVR) |
| Variable | 7.39% | 6.36% | Loan-to-Value Ratio (LVR) |
Investment — Interest only
| Type | Rate | Comparison | Applies To |
|---|---|---|---|
| Variable | 7.29% | 6.98% | Loan-to-Value Ratio (LVR) |
| Variable | 7.49% | 7% | Loan-to-Value Ratio (LVR) |
Fees
| Fee | Type | Amount |
|---|---|---|
| Construction Administration Fee Construction Administration Fee charged at settlement to cover the administrative costs of managing a construction loan during the building period. | Upfront | $120.00 |
| Construction Investment Progress Fee Construction Assessment Progress Fee charged at settlement to cover the cost of assessing each stage of construction. | Event | $650.00 |
| Settlement Fee A one-time fee charged at the time of loan settlement to cover processing and completion of the mortgage and funding of the loan. | Event | $300.00 |
| Application Fee No application fee is charged when setting up the loan | Upfront | $0.00 |
| Security Assessment Fee A variable fee charged at cost to assess the value of the property used as security for the loan, starting from a minimum amount. | Upfront | From $230.00 |
| Discharge Administration Fee A fee applied when releasing our mortgage to cover administrative processing of the discharge request. Waived if loan runs to term. | Exit |
Features
- Extra repayments
- Allows borrowers to make additional repayments on the loan to reduce interest and pay off the loan faster. Limited to a maximum of $10,000 per year during the fixed term.
Eligibility
- Minimum age — 18 yearsApplicants must be at least 18 years old to apply for this loan
- Residency status — Are Australian or New Zealand citizens living and working in either Australia or New Zealand, or are Permanent Residents of Australia living and working in Australia.
Constraints
- Minimum limit — $50,000.00The minimum application amount that can be borrowed is $50,000.
- Maximum limit — $1,500,000.00The maximum application amount available under this product is $1,500,000.
- The loan term must be at least 15 years. — P15Y
- The loan term cannot exceed 30 years. — P30Y
More Information
Published by loans.com.au under the Consumer Data Right · Last updated 1 July 2026 · Product ID lca-construction