Browse Forums Home Finance Re: Do We Need To Keep Reapplying? 3Oct 06, 2015 10:41 am Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building Re: Do We Need To Keep Reapplying? 8Oct 09, 2015 8:58 am so you have two loans, one for the land and one for the construction? if so then your broker is right, because even if you have unconditional, its only valid for a period of time before the bank deems it necessary to reasses your finances to ensure everything is still the same. However if you draw down before then, youre cooking with gas. IF the land and the construction are on the SAME loan, you shouldnt have to reapply, but based on what im hearing, given you still have cash im presuming you have two loans. Having two loans like that can be quite risky because your land might be paid for, but if something changes in your circumstances and the build is delayed, the bank could reject the application and then youre left with an empty block. A lot of estate covenants stipulate you must start the construction within a certain period - usually two years. To supplement this, the developer usually invclude a clause in the contracts that if you dont meet that covenant, the developer reserves the right to buy back the land as a discount (usually 10 less than what you paid, or 10k whichever is greater - this differs between developers). Creator of superduperonium, expert at expert things, nobel laureate, can hold my breath for 10 minutes. Hello It is good to have a planned bathroom reno to suit your budget and design, living for 10 years I think you need a bathtub 4 10546 Looking to start the journey of becoming an owner builder in SA. Feeling pretty (overly) confident on the building and construction details, but really struggling to find… 0 8704 I've just built 3 stairs off a landing out the back and been told by the private certifier I need hand rails sorry tried to attach a pic but couldn't mine don't have sides… 5 5835 |