Sep 16, 2019 7:15 pm
We just got out loan documents from Macquarie for a new home construction. Amidst all the pexa fees and legal fees they've also smacked us with $1500 Construction Administration Fee. They state this is for
"Administration costs during your construction period such as arranging valuation inspections and draw downs."
Is this normal?
Re: Construction Administration Fee by Bank2
Sep 16, 2019 8:09 pm
I’m saying this in a really small voice...unfortunately it is. Every lender has some kind of construction fee charged either up front or per progress draw and it covers the administration side and the valuations. Macquarie have just put theirs up to $1500. They do have a very competitive interest rate and speedy approval process - hopefully this makes the pill a little easier to swallow. Enjoy the build.
Property crazy expert mortgage broker, love building new homes!
Two Red Shoes mortgage broker
Re: Construction Administration Fee by Bank3
Sep 17, 2019 12:31 am
As Bec says yes it is. What Macquarie charge is really on the high side compared to a lot other lenders for the same thing, but there is not much you can do about it unfortunately.
Phoenix Loan Consulting
www.phoenixloans.com.au | Ph: 0409 799 372
Sign in or Join to reply to this Topic
doogs82Contracts signed-subject to Bank Val- Contracts signed-subject to Bank Val-
Thanks for the input so far guys. It’s very much appreciated. We have formally written back to our builder informing them that had we received the full pricing in the…
SPGDeposits via cash or bank loan, what is the difference?Deposits via cash or bank loan, what is the difference?
Looks like most of your questions have already been answered but in terms of sales commission, yes they get paid a commission but its more like 2-3%, however that is…
alymeiBuilder forgot to submit variations worth $38K to the bankBuilder forgot to submit variations worth $38K to the bank
Agree - its a post contract variation - you are responsible for the costs here.