We can't help you with all of these, but we can help you with taking the lender stress away.
You plan your new home, talk to builders, get council approval, sort your loan, get started. But after getting started is when it can get really frustrating with your loan, because you and the builder need to arrange for progress claims during the build. When you signed your building agreement you agreed to the builder being paid in 4 or 5 payments during construction.
When the lender gets the progress claim some will check the schedule of works to the contract, and then ask a valuer to go and do an inspection to ensure that the works have been done. Each of these inspections (up to 4) cost money and mean waiting until the valuer has gone out, taken their notes and photos, written their report, sent it to the lender. Waiting for the lender to read it all and then agree to process the payment.
Meanwhile the builder is all over you wanting their payment and there being potential delays while the payment is made – meaning that there could be delays with your home being finished. We're not sure if you have ever been on a building site when the builder and sub-contractors have not been paid, but if you haven't, we don't recommend it.
We have access to some lenders that use common sense. The builder gets to the agreed stage, he gives you a bill, you make sure that all is in line with work done and send it to us for the payment to be made. Our lender will look at the claim, compare it to the works schedule and process the payment if its all in order – usually within 48 hours.
Heard the expression "happy wife / hubby, happy life"? Well, you have not seen anything like a builder that has been paid that quickly. A happy builder makes for a quick job a quick job makes a happy you.
So, if you're planning on building a home give Collins Hume's Lending Specialist David Seymour a call on 02 6686 3000. He'll make it just that little smoother for you.
David Seymour is an Authorised Credit Representative No 477331 of Regional Finance Solutions Pty Ltd ABN 71163893945 Australian Credit License 484980