Gladstone Construction Loans: Personalised Support for Your Building Project
Construction loans for Gladstone, Calliope, Boyne Island and Tannum Sands. Progress payments coordinated with your builder, and the lender chosen for how well it handles a staged build.
A construction loan is a short-term, progressive loan. Instead of one lump sum, the lender pays your builder in stages as the build reaches each milestone, and you pay interest only on what has been drawn. Coral Jacobs compares construction lenders across a 70+ lender panel and manages the draw-downs.
What you get. A lender that handles progress payments cleanly, the draw-downs coordinated with your builder, and the loan transitioned to a standard home loan when the build finishes.
Approval needs to be in place before construction starts. The first conversation costs nothing.
Progress payments, stage by stage
The lender releases funds at each milestone once it is verified, usually with a valuer’s inspection. You pay interest only on what has been drawn, which keeps the cost down while the build runs.
| Stage | What is finished | What to watch |
|---|---|---|
| Base or slab | Site prepared, footings and slab poured. | The first draw. Delays here push every later stage back. |
| Frame | Frame erected and roof trusses on. | Usually a valuer inspection before the funds release. |
| Lock-up | External walls, windows and doors in. The building can be locked. | Often the largest single draw. |
| Fit-out or fixing | Internal fit-out: cabinetry, plumbing and electrical fixtures. | Variations ordered here are a common source of budget overrun. |
| Completion | Practical completion and handover. | Final payment, then the loan converts to a standard home loan. |
Not every lender handles progress payments well. Slow draw-down processing holds up your builder, and a builder waiting on funds is a builder who can walk off site. Which lender you use matters more on a construction loan than on almost any other product.
What lenders want to see
Criteria vary, but a construction loan asks for more up front than a standard home loan.
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A fixed-price building contract
With a licensed builder. Owner-builders face additional and stricter requirements.
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Plans and council approvals
Detailed building plans and the relevant approvals, before the lender will commit.
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Income and credit history
Assessed as they would be for any home loan, against the full end value of the loan rather than the first draw.
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Deposit
Typically 10% to 20%, varying with the lender and your circumstances. Equity in an existing property can serve the same purpose.
How it runs, start to finish
- 1
Initial consultation
Your plans, your timeline and your circumstances, before you commit to a builder.
- 2
Compare construction lenders
Options compared across the panel, weighted for how each handles staged draw-downs, not just the rate.
- 3
Application
Contract, plans and approvals prepared and lodged together, since an incomplete construction application stalls quickly.
- 4
Approval and progress payments
Each draw-down coordinated with your builder so the money is there when the stage is signed off.
- 5
Transition after handover
When the build is complete the loan converts to a standard home loan, which is the moment to review the structure.
Building in Calliope, Boyne Island or Tannum Sands? Call Coral on 0409 311 985
Construction loan questions
Typically 10% to 20%, though it varies with the lender and your circumstances. Equity in a property you already own can do the same job as cash.
Where we finance builds
Based at 7/30 Tank Street, Gladstone QLD 4680. Most new-build activity in the region sits in the growth corridors below.
Planning a build?
I am Coral Jacobs. Talk to me before you sign the building contract, not after. The contract terms and the lender you pick have to work together, and that is much easier to arrange in advance.
The first conversation is free, runs 30 to 45 minutes, and there is no obligation to proceed.
- Call0409 311 9857 am to 7 pm, 7 days
- Visit7/30 Tank StreetGladstone QLD 4680
AJ Home Loans Gladstone. ABN 78 584 284 387. Credit Representative 543487.
This page is general information only and does not constitute financial or credit advice. Lending criteria, fees and eligibility requirements apply and will depend on your individual circumstances.