Building Brokers Perth

Building your own home in Perth allows you more freedom, more choice and more variety for your home.  But you also need a different kind of finance to fund the construction of your new home.  Your Perth Mortgage Broker will help you find a construction loan with competitive rates and flexibility to get the job done. 

Construction loans allow you to borrow funds for the project with small monthly repayments as the loan starts as interest only.

Using estimates and tenders from builders, along with council approvals, your lender will calculate the final building costs and agree on a loan amount.  You draw the money as and when you need it, usually as each major stage of the construction is completed.  The loan is interest only during the construction phase, and you only pay interest on the amount of funds you have drawn, rather than the whole loan amount.  You can also make early repayments should you wish to.  A construction loan can offer many benefits to borrowers wishing to design and build their own home, as it offers an affordable way of borrowing the funds necessary for the task.  Once the construction is complete, the loan reverts to a principle and interest loan.

However, because you pay interest only you are not paying the principle part of the loan, therefore once construction is complete, you will find that you have not paid much of the loan total.  And, the loan is variable rate therefore if interest rates go up, so will your loan repayments.


First Home Buyer Grant
In October 2008, the Federal Government announced increases to the First Home Buyer Grant but the boost to the grant is due to end on 31 December 2009.  The original first home owners grant of $7,000 is still available to eligible first home buyers after this date.  This grant is available for people buying an established home or building a brand new home.

The Federal Government increased the grant in 2008 to boost the property market during tough economic times but is now winding the grant back to the original $7,000.  The grant is designed to help first home buyer onto the property ladder.


If you are looking for a Perth construction loan with a great rate and benefits, call .