Construction Loans Adelaide

At Zanda Wealth Mortgage Brokers, we specialise in securing construction loans in Adelaide for residents looking to build or renovate their dream home. We guide you through each stage of the construction process, ensuring you get the best loan options and rates available. Whether you’re building from scratch or renovating an existing home, our expert advice and support make the process smooth and straightforward.

How Construction Loans Work

Construction loans are different from regular home loans as they are disbursed in stages, known as progress payments, aligned with the construction milestones. At each stage of the build, such as foundation, framing, and completion, funds are released to pay the builder. You only pay interest on the amount drawn down, helping you manage your cash flow throughout the construction process. At the end of construction, the loan typically reverts to a standard principal and interest home loan.

Navigating Construction Loan Interest Rates

Construction loan interest rates can vary based on the lender, loan product, and your financial circumstances. At Zanda Wealth Mortgage Brokers, we compare variable and fixed rate home loan options to find the best rates for your construction project. You’ll make interest-only repayments during the construction period, paying interest on the amount drawn at each stage. Once construction is complete, the loan will usually revert to a standard principal and interest structure, helping you manage repayments efficiently.

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Ways to Finance Your Construction

Here are two primary options to finance your construction project:

Option 1: Land Purchase and Independent Builder

Purchasing land and hiring an independent builder offers flexibility in designing and building your dream home. You start with a land loan to purchase the land, followed by a construction loan to cover the building costs. The loan amount is released in stages of construction progress, known as progress payments. This type of loan usually charges interest only on the amount drawn down at each stage. Once the builder completes the construction and the final payment is made, the loan reverts to a standard principal and interest home loan.

Option 2: House & Land Package

A house and land package combines the purchase of the land and the construction of the home into a single loan. This simplifies the financing process and often comes with a fixed term and fixed interest rate. Payments are made to your builder as they reach construction milestones, with funds released at each stage. This option includes fees and charges within the total loan amount, making it easier to manage your budget. Upon completion of the construction, the loan structure transitions to a principal and interest repayment plan.

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How We Can Assist with Adelaide Construction Loans

Here’s how Zanda Wealth Mortgage Brokers can help you secure the best construction loans in Adelaide:

Securing the Best Loan Options in Adelaide

We help you find the best construction loan options by comparing variable and fixed rate home loans. Our home loan experts work with you to determine the right loan amount and structure based on your financial situation and the value of the property. Whether you’re looking to finance a first home, investment property, or build your dream home, we provide professional advice tailored to your needs.

Maximising Benefits with a Construction Home Loan

We ensure you get the most out of your construction home loan by helping you make progress payments efficiently. Our guidance includes managing interest only repayments during the construction period and transitioning to principal and interest payments upon completion of the construction. This helps you save on interest costs and manage your cash flow effectively.

Guidance Throughout the Construction Loan Process

Our team supports you throughout the whole process, from the initial loan application to the final payment. We assist with obtaining council approval, managing the building contract, and ensuring your loan is approved by the bank. Our experts help you understand the fees and charges involved and provide ongoing support to navigate any issues that arise during the building process.

Negotiating the Best Terms for Construction Loans

We leverage our relationships with lenders to negotiate the best terms for your construction loan. This includes securing competitive interest rates, favourable loan limits, and flexible repayment options. Our goal is to help you build or renovate your home with confidence, knowing you have the best financing options available.

How to Apply for a Construction Loan with Our Adelaide Team

Here’s a step-by-step guide on how to apply for a construction loan with our expert Adelaide team:

Step 1

Discovery Call & Initial Planning

Start with a discovery call to discuss your building plans and financial needs. Our team will help you understand the market value of the property and the funds needed at each stage. We provide a comparison table of different loan options, including standard home loans and variable rate home loans.

Step 2

Intel Gathering and Option Weighing

Our loan specialists gather detailed information from various lenders, considering your Australian credit licence status and whether you are an owner-builder. We compare traditional home loans and variable loans, ensuring you get the best interest loan options. This helps you make informed decisions about the best loan product for your project.

Step 3

Lodge Your Application

With our guidance, you will lodge your application, ensuring all necessary documentation is included. The loan will usually be structured with interest-only repayments over the first phase, transitioning to principal and interest once construction is complete. We help you navigate the payment schedule and manage progressive payments to your builder.

Step 4

Ongoing Support

Our support doesn’t end once your loan is approved. We provide ongoing assistance throughout the construction process, helping manage payments to your builder and ensuring the funds are released at each stage as per the payment schedule. We also offer advice on setting up an offset account to help manage your finances effectively.

What Our Valued Clients Have to Say About Us

5.0
Based on 48 reviews
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I've used Zanda Wealth on a couple of occasions for residential property financing and have recommended several friends. Thanks Austin + Lea.
Gianni Zumpo
00:45 06 Dec 23
Very professional very helpful, was always a pleasure working with them
Netta Zumpo
02:37 05 Dec 23
The team and Zander Wealth have been incredibly helpful, have always taken the time to answer my questions and guide me through the process. Extremely quick turn around and great communication. I have used them twice and will continue to in future.
Anton
01:21 05 Dec 23
Good experience. They just seem to know what is going on and everything was really hassle free.
Kean Ooi
01:14 05 Dec 23
Austin was very experienced and professional and quick to respond and action on things as they came up. Highly recommended if you are looking for a loan 🙂
Clare Laurie
07:21 02 Nov 23
I have been using Zanda Wealth Mortgage brokers for both my home and investment mortgages since 2018. The service that Austin and his team have provided has always been exemplary. I know I can always rely on the team to get a great rate and the most effective loan as they take the time to understand my financial needs.I highly recommend Zanda Wealth Mortgage Brokers.
Russell Brewer
13:51 01 Nov 23
The Zanda Wealth team is brilliant - offering a service that consistently goes above and beyond my expectations. This is the second home that my family has purchased with the assistance of the experienced folks at Zanda Wealth...and I honestly can't imagine buying a property without them. Not only have they been able to consistently secure my family an amazing home loan rate, but the level of personalised support offered is unmatched - patiently holding our hands as we have navigated through every last step of the home buying process. I recommend their services without hesitation!
Gabbie Cook
06:19 17 Oct 23
This is the second time we have worked with Austin and the team at Zanda Wealth, and we are extremely satisfied and incredibly happy with the outcome, and how smooth, stress-free and prompt the whole process was.
Our experience with refinancing was made so simple and was such a breeze from start to finish. We were involved in every step along the way, with constant communication and friendly staff answering any questions we had at any time of day, which was very reassuring.
We look forward to working with Zanda again in the future! 😊
Mithu Masum
04:36 28 Sep 23
Zanda is the only place I go for all mortgage and property investment related advice. Austin has been helping me since 2011 when we first bought our first home. He always thinks the long term and gives us the best advice as clients. He is simply the best!
Joanne M
11:12 15 Sep 23
This is the second time Austin and the Zanda team have arranged finance for us and both experiences have been equally as great. Austin is very knowledgeable, gives well researched advice and has a great way of explaining technical things in a way that anyone can understand. Zanda secured a new mortgage for us quickly and at an excellent rate lower than our existing mortgage. Lea managed all of the administration prior to settlement with friendly, responsive communication and nothing was too hard. I have recommended Zanda to several friends and will continue to do so.
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Contact Us to Get Started on Your Adelaide Construction Home Loan

Ready to build or renovate your home in Adelaide? Book a free strategy session with Zanda Wealth Mortgage Brokers to explore the best construction loan options tailored to your needs. Call us at (08) 8223 1367 to get started on securing your construction home loan today!

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