Skip to content
AJ Home Loans GLADSTONE · QLD
0409 311 985
Home / Construction Loans
Mortgage broking · Gladstone QLD

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.

70+
Lenders compared
20+
Years in Gladstone
0409 311 985
Timber frame of a new Queensland home part way through construction

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.

0409 311 985
How it works

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.

StageWhat is finishedWhat to watch
Base or slabSite prepared, footings and slab poured.The first draw. Delays here push every later stage back.
FrameFrame erected and roof trusses on.Usually a valuer inspection before the funds release.
Lock-upExternal walls, windows and doors in. The building can be locked.Often the largest single draw.
Fit-out or fixingInternal fit-out: cabinetry, plumbing and electrical fixtures.Variations ordered here are a common source of budget overrun.
CompletionPractical completion and handover.Final payment, then the loan converts to a standard home loan.
Why the lender matters here

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.

Eligibility

What lenders want to see

Criteria vary, but a construction loan asks for more up front than a standard home loan.

  • A fixed-price building contract

    With a licensed builder. Owner-builders face additional and stricter requirements.

  • Plans and council approvals

    Detailed building plans and the relevant approvals, before the lender will commit.

  • 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.

  • Deposit

    Typically 10% to 20%, varying with the lender and your circumstances. Equity in an existing property can serve the same purpose.

The process

How it runs, start to finish

  1. 1

    Initial consultation

    Your plans, your timeline and your circumstances, before you commit to a builder.

  2. 2

    Compare construction lenders

    Options compared across the panel, weighted for how each handles staged draw-downs, not just the rate.

  3. 3

    Application

    Contract, plans and approvals prepared and lodged together, since an incomplete construction application stalls quickly.

  4. 4

    Approval and progress payments

    Each draw-down coordinated with your builder so the money is there when the stage is signed off.

  5. 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.

Fixed vs variable for the loan after handover

Building in Calliope, Boyne Island or Tannum Sands? Call Coral on 0409 311 985

Questions

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.

Service area

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.

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.