Page 18 - CBA_construction-loan-guide-Oct2020

Your home, your way

How many

building stages

KEEP IN MIND
are there? Plan your build

• Construction must commence Your Progress Payment Sched ule will typically have a
within 6 months from the Disclosure schedule of 5-6 stages (also k own as milestones)
n
Date on your loan contract.
during the construction period .
• If your loan was approved on the
basis that you’ll be making
contributions from your own savings
(equity contribution), then this must construction loan Finalise your
be used before any money from your
loan and progress payments can be
released. You’ll need to provide us
The table below will help you under stand the general process, so you ca n be in control and understand wh at you need to do at each stage. Kee p in mind that each
with a copy of the receipt(s) you’ve
construction journey is different an d all payments to your builder are m ade after the relevant stage is comp leted. Your Home Lending Specialis t or Broker will guide you
made to your builder.
through your unique situation.
• If you’re a First Home Buyer,
we’ll lodge the First Home Owners e
Grant application (if you’re eligible) a
d
to the State Revenue Office once we Slab Frame Lock-Up Fit Out Completion y
o
receive a ‘base/slab’ invoice t
progress payment request from you. During the first stage of The exterior frame and/or At this point remaining During the fit out stage, the b
u
l
For more information go to The final stage involves i
d
commbank.com.au/fhog construction, your foundation walls of your property are put windows, doors, external walls internal fittings and fixtures are the conclusion of contracted
R Ready to build
slab is measured and poured. in place. This may also include and roofing is typically installed. installed such as your lights, items such as fencing and site
• If you’re a First Home Buyer, you may support structures, conduits for This means you can actually powerpoints and other electrical clean-up. It’s usually also when
also be eligible for the First Home electrical and plumbing as well ‘lock up’ your property. and plumbing fixtures. final detailing and painting
Loan Deposit Scheme. Speak to your as gutters and insulation. is completed.
Home Lending Specialist or Broker or
for more information go to
commbank.com.au/fhlds Approximately 15-20% of funds Approximately 20% of Approximately 20% of Approximately 30% of Approximately 10% of
required (this may also include funds required. funds required. funds required. funds required. and repayments Managing your build
Your builder may ask for an up-front your initial deposit to your
deposit to cover the initial purchase of builder, which is typically 5%
materials. We can provide money of your building contact price
from the loan to pay the builder’s depending on your
deposit provided: state/territory).

• You have used all of your money
(equity contribution);

• The builder’s deposit is included
as a milestone in the Progress
Payment Schedule; Enjoy your new home

• All construction and loan
documentation is held by us; and

• You’re ready to commence
construction.

Additional resources

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