Eternity Group

Finance — Construction & Land

Construction & Land Finance

Vacant land, construction loans, progress draws, valuation and builder-contract documentation — scoped against the build timeline and your cash-flow position before any application. The recommendation is documented in writing; lender policy and timing variation matter here more than headline rate.

Book a Construction Finance Scoping CallSee Our Process
  • Vacant land
  • Construction loans
  • Progress draws
  • Builder contract review
  • Post-completion refi

Mr Rohan Manokaran (Credit Representative 565110) is authorised under Australian Credit Licence 561324 held by Loans Only Pty Ltd. Information on this page is general in nature and does not take into account your objectives, financial situation or needs. Credit eligibility, lender criteria, fees and charges apply.

What we scope

The shape of a construction or land enquiry.

Construction and land finance is documentation-driven. The categories below are the ones we most often scope — each is assessed against your timeline and the contract before any lender is approached.

Vacant land

LVR caps · build-timeline expectations

Vacant land sits in a narrower part of the lending market — fewer lenders, lower LVRs and stricter policy on the intended timeline to build. We scope land enquiries with the build in mind so the lender shortlist is realistic from the start.

Construction loans

Fixed-price contract · staged draws

Construction loans fund the build in stages against an executed fixed-price contract, council-approved plans, builder insurance and a valuation done on an “as if complete” basis. Interest is typically charged only on funds drawn during the build.

Progress draws

Slab · frame · lock-up · fixing · completion

Each draw is requested by the builder, supported by an invoice and (depending on the lender) a stage inspection. The exact rhythm — number of stages, inspection requirements, timing between draws — varies by lender and is confirmed at engagement.

Valuation & builder contract

Council plans · insurance · contract review

Lenders read the building contract carefully — fixed price, provisional sums, variations clause, builder warranty insurance, council-approved plans. We flag contract issues the lender will likely raise before the application goes in.

Cash-flow buffer

Rent or current mortgage during build

During the build, your existing accommodation cost usually continues alongside the progressively-drawing construction loan. Variations and provisional-sum overruns are common. We scope a realistic cash-flow buffer outside the loan as part of the recommendation.

Post-completion refinance

Roll-over · rate review · structure shift

On practical completion the construction loan rolls into a standard P&I home loan. Completion is a natural review point — rate, structure, or a shift between owner-occupier and investment use can all be scoped at that stage.

Process

From scoping call to completion — a document-driven build.

Construction finance moves at the pace of council approvals, the builder's schedule and lender policy. The steps below are the rhythm we follow — every stage is confirmed in writing.

Scoping call

The site, the build, the owner-occupier vs investment intention, existing equity, timeline and any council approvals already in motion. We confirm whether land-only, construction or both is the right starting point.

Document collection

Land contract, council-approved plans, executed fixed-price building contract, builder insurance, valuation as-if-complete, income evidence and asset-and-liability statement.

Position review

Borrowing capacity against the as-if-complete value, lender shortlist (construction policy varies materially), structure recommendation and a realistic cash-flow buffer for the build period — documented in writing.

Lender application

Application submitted to the shortlisted lender. Lender applies its own credit and policy assessment, plus the construction-specific checks. We track and report progress at each milestone.

Settlement → progress draws

Settlement on land or commencement of construction. Each progress draw is requested by the builder, supported by invoice and inspection, and released by the lender. We track outer-date risk and diarise reviews.

Practical completion & roll-over

On completion the loan rolls into a standard P&I home loan. We scope a post-completion review — rate, structure, or a shift between owner-occupier and investment use.

Frequently asked questions

Construction & land — common questions.

A construction loan funds the build in stages — typically across five or six progress payments tied to milestones (slab, frame, lock-up, fixing, completion). The lender requires an executed fixed-price building contract, council-approved plans, builder insurance and a valuation done on an "as if complete" basis. During the build, interest is usually charged only on the funds drawn down so far; the loan reverts to a standard principal-and-interest home loan after completion. Lender policy varies.

How we are paid

How we are paid: Eternity Mortgage Solutions typically receives commissions from the lender for loans arranged on your behalf. A full explanation of how we are paid, our lender panel and any potential conflicts of interest is provided in our Credit Guide and Credit Proposal Disclosure document, available on request before any loan application is submitted.

Related

Where this fits in the bigger picture

Construction and land finance touches pre-approval, refinance and the wider engagement model. The pages below are the natural next reads.