Understanding Construction Loans
Construction Loans are specialised financial products designed for building or significantly renovating a home. Unlike a standard home loan, where you receive the full loan amount upfront, a Construction Loan allows you to access funds in stages as the construction progresses. This phased approach aligns with the various stages of building, ensuring you only pay interest on the portion of the loan you have used.
Key Features of Construction Loans
The distinctive feature of a Construction Loan is its progressive drawdown structure. Payments, known as drawdowns, are made at specific milestones in the construction process, such as laying the foundation, erecting the frame, and completing the roofing. Interest is typically charged only on the amount drawn down, not the total approved loan amount, making it a cost-effective option during the construction phase.
How Ocean Edge Finance Can Assist
Tailored Loan Structuring
At Ocean Edge Finance, we understand that building a home is a significant undertaking. We work closely with you to structure your Construction Loan to suit your project’s specific needs. Our expertise ensures your loan aligns with your construction schedule and budget.
Expert Guidance Through the Process
Navigating the complexities of a Construction Loan requires careful planning and knowledge. Our team offers expert guidance throughout the entire process, from initial application to the final drawdown. We liaise with builders, conveyancers, and other stakeholders to ensure a smooth and efficient process.
Ongoing Support and Flexibility
Our commitment to you extends beyond the initial loan setup. We provide ongoing support and advice as your project progresses, adapting the loan as needed. Our goal is to ensure your construction journey is as stress-free as possible, with a finance structure that fits seamlessly with your project timeline and overall financial strategy.
With Ocean Edge Finance, you’re not just building a house; you’re creating a home with a solid financial foundation, guided by our expert and supportive team every step of the way.
