Browse Forums Home Finance Re: Deposit on new home contract = equity? 2Feb 15, 2013 12:10 am Yes, it will count towards total deposit. Just need to keep the receipt and provide it as part of the supporting documentation for the loan as part of the funds to complete. Cheers Tom Re: Deposit on new home contract = equity? 4Mar 02, 2013 7:26 pm Can anyone give advice on this construction loan deposit situation Our land just went to unconditional approval. We paid 10% deposit on the land. Settlement in 30 days. Should have HIA contract before then. Cheers Is it possible to draw down the first payment as the deposit or part of to the builder. OR Access some the land deposit to put towards the builders 5% deposit and/or can you negotiate the deposit % with the builder. Re: Deposit on new home contract = equity? 5Mar 02, 2013 7:35 pm You won't be able to draw anything from you land loan. Do you have a construction loan approved? Generally you are going to need to do the initial deposit to a builder out of your pocket and the use the construction loan once the first progress payment is due 2 Re: Deposit on new home contract = equity? 6Mar 02, 2013 8:19 pm Your best bet is to negotiate deposit with the builder. Builder may be willing to take smaller deposit. Foremost Building Expert in Australia,assisting with building problems/disputes, building stage inspections,pre-contract review advice for peace of mind 200 blogs http://www.buildingexpert.net.au/blog Re: Deposit on new home contract = equity? 7Mar 02, 2013 9:06 pm Thanks. That was my thinking. Broker gave us the go ahead for a construction loan based on current financial situation. So we have the land and just progressing toward a signed contract to provide to the lender. 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 You talk about deletions, are they variations or PS and PC adjustments? pleas list them 1 16557 In NSW the maximum deposit for building work is 5% until the builder provides HBCF insurance 1 4821 |