Browse Forums Home Finance 1 Jul 22, 2015 5:28 pm So we are getting $20,000 FHOG but it isn't included in our loan so it will be paid by the bank to the builder at first progress payment i think, My question is does this mean at the end of the build I will be able to redraw the $20,000 as it should be in credit if this makes sense? My bank guy has said yes but I just wanted others opinions / confirmation Thanks Re: credit on loan 2Jul 23, 2015 10:44 am Howdy, depends on how the loan was setup. When I do this I reduce the loan amount by $20,000 so it's cheaper for my clients. If the loan is $20k more than you need then yes in theory it will be in redraw at the end. Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building Re: credit on loan 3Jul 23, 2015 7:10 pm Thanks for your reply becjarrettdalton, the loan was set up for the full amount to cover build and land loan so the Grant will not be included in the loan to reduce it, so I guess I will be able to redraw Re: credit on loan 4Jul 23, 2015 8:57 pm Good work, if you want to check you can ask the bank what are the "funds remaining" and check that against the contract balance remaining. Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building 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 20083 Hi, you've probably already resolved this, however, Commbank will probably pay the funds to you after you send evidence the work is done regardless the change in the quotes. 1 36593 How much are you ahead in payments compared to where the build is at? Have you fully drawn down the loan? 5 12359 |