The construction loan approval process- what do you need to show your lender.

When you’re properly prepared, the approval process for a construction loan can be quick and easy.

Here’s a snapshot of the process and things you need to do:

1. Select a Registered Builder and arrange for a Fixed Price Building Contract.

2 . Come and see us for your construction loan.

3 . Post-approval: applying for progress payments to access your funds.


To ensure your loan application is as seamless as possible, simply follow the steps shown below 

Step 1: Selecting a builder.

Your lender needs to know about your builder to make sure your loan process is smooth and your funds are available when needed.

The details required also differ depending on whether you’ve chosen a Registered Builder or are completing the construction yourself. Owner Builders need:

• Copies of council certified approved plans/ specifications/permits/licences for owner builder construction works.

• Copy of Quantity Surveyor (QS) report detailing anticipated construction costs.

• Detailed outline of full construction costs that includes Progressive Payment Schedule and contingency/overrun

• Copies of all quotations/invoices/estimates.

• Copy of soil test and Quantity Surveyor’s comments.

• Detailed timing schedule.

• Copies of insurance policies (required prior to first progress payment).

– Builders All Risk/Public Liability Insurance.

– Public Liability Insurance.

– For Northern Territory: Home Building Certification Fund (HBCF) Owner Builders Policy.


Registered Builders need:

• Copy of signed Industry Standard Fixed Price Contract.

• Copy of plans/specifications/permits.

• Copies of insurance policies (required prior to first progress payment):

– Builders All Risk/Public Liability Insurance.

– Domestic/Home Warranty Insurance.

– Public Liability Insurance.


Need a construction loan?

Contact us @ propertyloans@realrenta.com and we will arrange for a lending specialist from our trusted finance partner to contact you.

Marlene Liontis
Sunday, 3 March 2019

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