Investment Construction Loan
The Australian Military Bank Investment Construction Loan is perfect for those wanting to build or renovate their homes. With interest only repayments to help you save during the construction period, our Investment Construction Loan helps you to relax during this often stressful time.
Borrow up to 90%
of your property's value
Home construction
and renovations
Split
loan option
Overview
The Investment Construction Loan has a great range of features:
- Progressive draw down payments throughout construction
- Minimum loan amount of just $50,000
- Loan term of up to 2 years
- The option to make extra repayments to reduce your loan term
- Interest only2 repayments during the construction phase to help you save
- No early repayment fees
- Borrow up to 90% of the property value (inclusive of LMI)4
Rates & Fees
Here’s everything you need to know about the rates and fees
for the Investment Construction Loan:
- Interest rate: 7.03% p.a.2
- Comparison rate*: 7.67% p.a.3
*Comparison rate based on a loan of $500,000 repaid over 25 years. WARNING: The comparison rate is applicable only for the example given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.
- Application fee: $450
- Monthly fee: $8 per month
- Draw down fee: $65 per draw down
-
Mortgage discharge fee: $120 - legal fees and government charges are not included
- Lenders Mortgage Insurance (LMI)4: Payable for loans with a deposit of less than 20% of the purchase price
- 3rd party charges: Stamp duty, legal fees and valuation fees apply
Additional fees may be payable. For more information please see our Fees and Charges Schedule.
Download our Fees and Charges Schedule
Questions
Here are the top 5 questions we get asked about our Investment Construction Loan. Have a different question? Call 1300 13 23 28 to speak to a home loan consultant.
How long do I have to build my home?
The construction period is up to 2 years from the date of settlement.
What happens after I’ve built my home?
Once your construction is complete, you’ll revert to another of our home loans. Talk to us about which of our options may suit your lifestyle.
How do the progressive draw downs work?
Progressive draw down allows you to pay the builder for the construction or renovation in stages as the building work reaches each stage of completion. Australian Military Bank will arrange a valuation to conduct progress inspections prior to payment. Please note these inspections may be subject to fees and charges.
Can I make extra payments on my loan?
Yes. You can make additional repayments on your loan which can help you to reduce your overall loan term.
I don’t need to borrow much money. What is the minimum amount?
With the Construction Loan you can borrow as little as $50,000.
starting from
starting from
Use the arrows to scroll through the many Australian Military Bank Investment Home Loans options RESET
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Vanilla loan with a super-low rate6.68% p.a.6.72% p.a.Up to 90%$0$0Principal and Interest only$150,000Up to 30 yearsInvestor
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Great features matched with great flexibility7.23% p.a.7.27% p.a.Up to 90%$0$0Principal and interest or interest only4$150,000Up to 30 yearsInvestor
-
Great features matched with great flexibility7.23% p.a.7.27% p.a.Up to 80%$0$0Interest only$150,000Up to 30 yearsInvestor
-
Letting you plan financially with the certainty of fixed repayments at a competitive rate6.70% p.a.7.16% p.a.Up to 90%$0$0Principal and interest$150,000Up to 30 yearsInvestor
-
Letting you plan financially with the certainty of fixed repayments at a competitive rate6.55% p.a.7.07% p.a.Up to 90%$0$0Principal and interest$150,000Up to 30 yearsInvestor
-
Designed specifically for the purpose of investing in Defence Housing7.23% p.a.7.27% p.a.Up to 90%$0$0Principal and interest$150,000Up to 30 yearsInvestor
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Designed specifically for the purpose of investing in Defence Housing7.23% p.a.7.27% p.a.Up to 80%$0$0Interest only$150,000Up to 30 yearsInvestor
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Helping you build a dream home, a granny flat or renovate an existing home.7.03% p.a.7.07% p.a.Up to 90%$0$0Principal and interest or interest only4$50,0002 yearsConstruction Investor
The small print
Home Loan applications are subject to Australian Military Bank’s normal lending criteria. Full terms and conditions will be included with our loan offer. Fees and charges are applicable. Rates are effective from 11 April 2024 and are subject to change. Rates displayed on this page are not reference rates and are available for new loan applications only unless noted otherwise
1 Rates shown apply during the fixed period of your loan. After the fixed period, your rate will switch to the applicable variable rate for a principal and interest loan. Terms and conditions apply. Separate Interest Rates and Comparison Rates apply for Interest Only loans. Contact us to find out more.
2 Rates are current at the time of publication and are subject to change. The rates displayed are at 80% LVR (meaning that a minimum 20% deposit is required). The rates displayed are only available for new investors, loan borrowings of $150,000 or more (excluding the Investment Construction Home Loan, the interest rate displayed is applicable for new borrowings of $50,000)
3 Comparison rate is calculated on a loan amount of $150,000 over a 25-year term. The rates displayed are at 80% LVR (meaning that a minimum 20% deposit is required). WARNING: The comparison rate is applicable only for the example given and may not include all fees and charges. Different amounts and terms will result in different comparison rates.
4 This amount is inclusive of Lenders Mortgage Insurance (LMI) premium (except for Investment Construction Home Loan, where LVR is exclusive of LMI). LMI is required when borrowing in excess of 80% LVR. Further restrictions may apply as required by our Lender’s Mortgage Insurance provider
5 Based on total average monthly balance and applies to ATM, EFTPOS, Direct Debit and BPAY® transactions.
The Target Market Determinations (TMD) for our products are available here
® Registered to BPAY Pty Ltd ABN 69 079 137 518
The small print
Home Loan applications are subject to Australian Military Bank’s normal lending criteria. Full terms and conditions will be included with our loan offer. Fees and charges are applicable. Rates are effective from 11 April 2024 and are subject to change. Rates displayed on this page are not reference rates and are available for new loan applications only unless noted otherwise
1 Rates shown apply during the fixed period of your loan. After the fixed period, your rate will switch to the applicable variable rate for a principal and interest loan. Terms and conditions apply. Separate Interest Rates and Comparison Rates apply for Interest Only loans. Contact us to find out more.
2 Rates are current at the time of publication and are subject to change. The rates displayed are at 80% LVR (meaning that a minimum 20% deposit is required). The rates displayed are only available for new investors, loan borrowings of $150,000 or more (excluding the Investment Construction Home Loan, the interest rate displayed is applicable for new borrowings of $50,000)
3 Comparison rate is calculated on a loan amount of $150,000 over a 25-year term. The rates displayed are at 80% LVR (meaning that a minimum 20% deposit is required). WARNING: The comparison rate is applicable only for the example given and may not include all fees and charges. Different amounts and terms will result in different comparison rates.
4 This amount is inclusive of Lenders Mortgage Insurance (LMI) premium (except for Investment Construction Home Loan, where LVR is exclusive of LMI). LMI is required when borrowing in excess of 80% LVR. Further restrictions may apply as required by our Lender’s Mortgage Insurance provider
5 Based on total average monthly balance and applies to ATM, EFTPOS, Direct Debit and BPAY® transactions.
The Target Market Determinations (TMD) for our products are available here
® Registered to BPAY Pty Ltd ABN 69 079 137 518