Browse Forums Home Finance 1 Aug 18, 2017 1:01 pm Hi, Can anyone tell me roughlt how much my repayment will be during our build? Land cost was $217K - paid 5% (10850) House cost $233850 - paid 5% (11, 690) Had preapproval already for total cost of $435k Land titles in Jan 18 So just trying to figure out much I'll pay at each stage? base, Frame, etc etc Any help is much appreciated Re: Construction loan repayments 2Aug 18, 2017 1:59 pm Hi Dicko, It varies according to the invoice amount for each stage... What you need to do is work out what the loan balance will be at each stage and multiply by the interest rate then divide by 12 for a monthly repayment: eg: 109,000 at land stage x 4.2% (rough) /12 = $381,000 Then you've paid the deposit stage already so next invoice is slab, say $144,000 is new balance x 4.2% /12 = $504 /month What this doesnt allow for is the number of days in the month or how long you stay at each stage for - but this gives you a very rough target. Look at your progress payment schedule for the breakdowns. Bec Rebecca Jarrett-Dalton Property crazy expert mortgage broker, love building new homes! Two Red Shoes mortgage broker http://www.tworedshoes.com.au/building Re: Construction loan repayments 3Aug 19, 2017 10:46 am Dicko Hi, Can anyone tell me roughlt how much my repayment will be during our build? Land cost was $217K - paid 5% (10850) House cost $233850 - paid 5% (11, 690) Had preapproval already for total cost of $435k Land titles in Jan 18 So just trying to figure out much I'll pay at each stage? base, Frame, etc etc Any help is much appreciated This should be in your building contract which shows the stages and progress payments as they fall due. Kind Regards, Bruce "Building an Eden Brae Waldorf 50 in North Kellyville" Blog: http://waldorf50.blogspot.com.au A Mobile Solicitor at Wong & Horta Lawyers Website: http://www.whlawyers.com.au Re: Construction loan repayments 4Sep 28, 2017 4:29 pm On top of that, I believe the lender needs to know that you can make your monthly loan payments during construction. If the lender thinks you can’t make your current rent or mortgage payments while your next house is being built, you won’t qualify. Re: Construction loan repayments 5Sep 29, 2017 1:05 pm michae On top of that, I believe the lender needs to know that you can make your monthly loan payments during construction. If the lender thinks you can’t make your current rent or mortgage payments while your next house is being built, you won’t qualify. If you are constructing an owner occupied property and have the fixed price building contract in place, the lender does not take your existing rent into account during the construction phase. It's excluded from expenses. Cheers, Tom Re: Construction loan repayments 6Oct 06, 2017 7:14 pm Construction loan's payments are based on the loan amount actually drawn, It is therefore difficult if not impossible to accurately estimate what the payments will actually be as the loan amount is subject to change at any one time. Re: Construction loan repayments 7Oct 06, 2017 7:32 pm You might probably know that, loan repayments are also interest only during the construction period, providing comfort and security to renovators and home builders by minimizing their repayments during an expensive, and probably stressful, time. At the end of the construction process your loan can either revert to principal and interest or you may be able to keep it as interest only. 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 19244 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 35438 How much are you ahead in payments compared to where the build is at? Have you fully drawn down the loan? 5 11977 |