Yes, but fewer lenders accept owner-builders and the requirements are stricter. You’ll need an owner-builder permit from the WA Building Commission, builder’s risk insurance in your name with the lender noted as interested party, and typically a 15-20% deposit instead of 10%. Some lenders require the full 20% in cash (not equity) and charge a higher interest rate — usually 0.2-0.4% more than a standard construction loan. Andy knows which lenders will consider owner-builders and which decline outright, so he matches you to the right panel before you apply.

For a standard construction loan with a registered builder, lenders quote 10% of the completed property value. But you also need to cover Lenders Mortgage Insurance (if borrowing above 80%), valuation and inspection fees, application fees, builder’s risk insurance, conveyancing, and council/utility connection costs. In practice, budget for 15-18% of the total project cost in liquid cash before the first draw. Owner-builders need 15-20% deposit minimum, and most of that must be genuine savings or equity, not a gift or bonus.

If your builder submits a variation to the contract that pushes the total cost higher, the lender reassesses your borrowing capacity and may require you to inject more cash before releasing the next draw. If the build runs past the agreed 12-month construction period, some lenders increase the interest rate by 0.5-1% or freeze further draws until you provide an updated completion timeline and cost breakdown. Andy’s advice: choose a builder with a track record of finishing on time and get a fixed-price contract with a clear variations clause. And always keep a $10,000-$15,000 buffer in your offset for unexpected costs.

Yes — you pay interest only on the amount drawn so far, not the full loan. For example, if you’ve drawn $200,000 of a $500,000 facility at 6.5%, your monthly interest bill is around $1,083. As each draw releases, your repayments climb. Once the build completes and the loan converts to a standard home loan, you switch to principal-and-interest repayments on the full amount — on a $500k loan that’s typically $3,200-$3,600/month. Plan for that jump in your budget before you start building.

From the day you (or your builder) request an inspection to funds hitting the builder’s account, allow 5-10 business days. The lender books the valuer, the valuer visits site (usually within 2-3 days), writes a short report certifying the stage is complete, and the lender’s credit team approves the draw. If it’s a public holiday period or the valuer finds the stage isn’t quite finished (e.g. frame up but scaffolding still in place), add another week. Andy’s rule: book your next trade 2 weeks after you expect the draw to clear, not the day after.

Builder’s risk insurance (also called contract works or home owner warranty insurance) covers the structure during construction if the builder becomes insolvent, abandons the site, or if storm, fire, or theft damages materials before practical completion. For a standard construction loan, the builder arranges it and you pay the premium (usually rolled into the contract price). For owner-builders, you arrange and pay for the policy directly — premiums run $1,500-$3,000 for a typical 9-12 month build in Perth. The lender must be noted on the policy as interested party, and they won’t release the first draw until they’ve sighted the certificate of currency.

Yes — if you have at least 20% equity in your existing property (it’s worth $500k and you owe $350k or less), you can use that equity as your deposit for the new build. The lender secures both properties and you don’t need to sell or inject cash. This is common for families upgrading from a smaller home in Mandurah or Rockingham to a new build in Baldivis or Pinjarra. Andy structures it so your repayments during construction stay manageable, then refinances both loans once the new house is finished and you’ve sold the old one (if that’s the plan). He’ll walk you through the numbers before you commit so you’re not stretched too thin if the build takes longer than expected.

For a standard construction loan: signed building contract with itemised schedule of works, builder’s licence and insurance certificates, council-approved building plans, soil and contour reports if the block is sloping or fill, proof of deposit (bank statements showing savings), two years’ tax returns or payslips, and your existing home loan statements if you’re using equity. For owner-builders, add your owner-builder permit, detailed cost breakdown by trade (not just a lump sum), and builder’s risk insurance quote or certificate. Andy reviews everything before lodgement so you’re not chasing missing documents mid-application.

Yes — most lenders require two years’ financials (tax returns plus Notice of Assessment), but some accept 12 months if your ABN is older and your BAS statements show consistent income. If you’re a tradie building your own home as an owner-builder, a few specialist lenders offer low-doc construction loans using bank statements and BAS only, though the rate is typically 0.5-0.8% higher and deposit requirements jump to 20%. Andy arranges both full-doc and low-doc construction loans for self-employed buyers; he matches your documentation to the lender’s policy so you don’t apply with a bank that will decline you on ABN age alone.

Andy works across the Perth southern corridor and Peel region: Mandurah, Baldivis, Rockingham, Secret Harbour, Singleton, Lakelands, Pinjarra, Waroona, and out to Yarloop and Harvey for rural or large-block builds. He knows which councils move fast on building approvals (Mandurah typically 6-8 weeks, Rockingham 8-10 weeks) and which lenders finance in bushfire-prone or flood-overlay areas without loading the rate. If you’re building on a battle-axe block or a rear strata lot, he’ll tell you upfront which lenders will touch it and which won’t.

Any change that increases the contract value requires the builder to issue a variation and the lender to approve the higher loan amount. If the variation pushes your LVR above the original approval (e.g. from 90% to 92%), the lender may decline the extra funds and you’ll need to pay the variation cost in cash. Minor changes that don’t affect the total contract price (swapping tiles, upgrading taps) don’t need lender approval, but the builder must document them so the valuer knows the spec hasn’t dropped. Andy’s advice: lock in all your selections and colours before you sign the building contract. Post-contract variations cost 20-30% more than if you’d chosen them upfront, and they can delay your draw schedule if the lender reassesses mid-build.

He explains the draw schedule in plain language, walks you through what the valuer looks for at each stage, connects you with a builder’s risk insurance broker, and lets you know when to expect each chunk of cash so you can book trades in advance. Most first-time builders underestimate how much admin is involved — council inspections, engineer sign-offs, variation paperwork. Andy’s been arranging construction loans since 2003; he knows the timeline, the pitfalls (wet weather delays, trade shortages, budget blowouts), and which lenders are flexible if something goes sideways. You get his mobile number and he answers when you call at 7pm because the builder just rang about a soil issue and you don’t know if it affects the next draw.