Browse Forums Building A New House 1 Feb 24, 2009 8:14 pm g'day guys
I was wondering how to get extra money through my home loan??? I have a building contract for $162,000 but I need about $15,000 after hand over to finish off flooring, driveway, etc which I opted to do privately to save money. Is there anyway to in corporate these funds into contract or mortgage application somehow and then to get it back into my account? thanks T-F Re: Extra Money on Home Loan 2Feb 24, 2009 9:48 pm hi there, some banks will require a trade quote from your chosen tradie and will pay the tradie once the work has been done and they have been invoiced. You may be able to get some cash from your FHOG if you are eligible... best thing to do is check with your finance institution or broker. 2014 - Prepping to build the Soho 4 with Plantation homes, industrial style 2009 - Built the Brampton with Coral Homes viewtopic.php?f=31&t=15399&start=280 Re: Extra Money on Home Loan 3Feb 25, 2009 8:42 am Most banks will need you to provide quotes from the companies you want the extras to be completed by. They will then take these into account when they value the property. They will then release the funds usually as a progress payment like the rest of the construction payments.
This of course would be different if you had heaps of equity in the property - ie if you owned the land outright with no existing debt then you can borrow normally against the value of the land plus the cost of construction. Any funds left after the progress payments would be yours to do whatever with. But again this is only if there is equity in the land / valuation. Some things are worth waiting for. Re: Extra Money on Home Loan 4Feb 25, 2009 8:55 am Quote: some banks will require a trade quote from your chosen tradie and will pay the tradie once the work has been done and they have been invoiced. This is exactly what we have to do for our curtains and fencing. Building Thread viewtopic.php?f=31&t=13002 Site start: 8th July 2009 Handover: 11/12/2009! 5 months total build time. 40 sqs of luxuary...Bliss! Re: Extra Money on Home Loan 5Feb 25, 2009 9:35 am pinkfairymagic Quote: some banks will require a trade quote from your chosen tradie and will pay the tradie once the work has been done and they have been invoiced. This is exactly what we have to do for our curtains and fencing. Do you have to do everything at the start or can you actually provide quotes later on (ie. when the curtain person can actually go into the house and measure up)? It would be awesome to have this flexibility but I'm not holding my breath. Stevep79 & Principessa Finished building Wisdom Homes Impression 33mkII in The Ponds, Sydney http://lilypadintheponds.blogspot.com Re: Extra Money on Home Loan 6Feb 25, 2009 10:05 am Steve you normally need them at the beginning for valuation purposes.
Again if you have the equity in the land then you may not need to provide quotes at all. Some things are worth waiting for. Re: Extra Money on Home Loan 7Feb 25, 2009 10:08 am We did what Kyton said and had the funds to use on whatever we wanted (had to sign a stat dec to say it would be on permanant fixtures for house - eg roller shutters, air-con etc; not sure whether curtains would of been alright? ), however we owned our existing house and used the equity in that, if I remember rightly T-F Build, you are a first home owner so you probably wouldn't be able to have as much flexibility as this. Re: Extra Money on Home Loan 8Feb 25, 2009 10:37 am Pink fairy magic, have you had any probs with tradies not liking the "you don't get paid until the work is done and the invoice is sent to the bank thing"? 2014 - Prepping to build the Soho 4 with Plantation homes, industrial style 2009 - Built the Brampton with Coral Homes viewtopic.php?f=31&t=15399&start=280 Re: Extra Money on Home Loan 9Feb 25, 2009 11:54 am As our BIL will be doing all the electrical work, we are submitting his electrical plans and detailed quote to the Bank along with the building contract. He will the be invoicing us in two stages one for the rough-in and the other for fit-out and lightfittings. (The quote will specify this).
Tha Banks l imagine will not just lend on your "l think it'll cost us this" amounts...they will require proper quotes for valuation purposes...that's if you don't have equity in your land already. The biggest challenge will be if you take out a loan and then run out of money - you'll have an incomplete security and lenders do not like this so you can get stuck.… 2 19097 As a tradesmen get a private inspector although I don't think there worth it in their profession themselves the reminder they serve to the tradesmen doing the work is… 3 27360 I've just had a look at the website. The company are just building broker's. There are plenty of similar companies that basically draw your plans (they own them so you… 8 10926 |