Financing your new home
Buying a new home is one of the biggest decisions you’ll ever make, and understanding how to pay for it is key to making that dream a reality. At Eight Homes, we’ve partnered with Park Finance who make financing simple, whether you're choosing a house and land package or opting for a knockdown and rebuild.
Let’s explore how each of these options are usually financed and the support available through our preferred finance partner, Park Group.
- Financing a house and land package
With a house and land package, you purchase a block of land and the construction of a home in one bundled solution. This approach not only simplifies the home-buying process but also makes financing more straightforward.
Here’s how it works: most people work with a finance partner to borrow money for their house and land package. The finance partner will usually arrange two loans for you – one to purchase the land and a separate construction loan to cover the cost of building your home. The construction loan is usually paid out in stages as each phase of the project is completed. - Financing a knockdown and rebuild
The knockdown and rebuild process involves demolishing your existing house and building a new one in its place, which means you need to pay for the demolition and then for the construction of your new home.
Financing a knockdown and rebuild typically involves using the equity in your current property. Depending on your situation, you might choose to refinance or extend your existing mortgage to cover both the demolition and the construction of the new home. You might also arrange a construction loan to cover the new build. Working with a reputable finance partner is the best way to ensure you have the right financing for your situation. - Maximising your deposit
One of the biggest hurdles for homebuyers is saving up for a deposit. In Australia, a typical deposit for a home loan is around 20%, but when you’re building a new home, this may be different depending on your lender. Fortunately, if you finance an Eight Homes house and land package through Park Group, you may be able to take advantage of a low deposit offer. This can make a big difference, allowing you to get started sooner and keep more of your savings for other aspects of your build. - Choosing the right financial partner
Securing the right loan is one thing, but having the right financial partner by your side can make all the difference. A good finance partner will help you not only secure the most competitive loan for your situation but also guide you through every stage of the financing process – so you can focus on the exciting parts of building your home.
When you build with Eight Homes, you’re welcome to use any finance partner you like. However, we’ve seen the benefits of working with Park Group, who offer tailored solutions that suit different financial situations and understand the Eight Homes products and processes. They are specialists in construction finance, so you can rely on them to support you throughout the construction journey. - How financing fits into the Eight Homes process
At Eight Homes, we pride ourselves on being affordable and upfront about every cost involved in building a home.
Once you’ve had an initial meeting with us, taken a guided walk through of our display homes and built your wish list for your home, an advisor from Park Group will call you for a no-obligation finance qualification to understand or confirm your borrowing capacity. From there, if you decide to proceed, their job is to take care of the finance for you – from offering you low deposit options to finding you the most affordable loans for your situation.
Learn more about the Eight Homes process here.
Taking the next step
Financing a new home may seem daunting, but with the right preparation and expert guidance, it can be a smooth process that sets you up for long-term success. At Eight Homes, we’re here to support you on this exciting journey – from the moment you choose your home design to the day you move in. That’s why we work with Park Group, who take the guesswork out of financing and make things simple.
To find out more about financing a build with Eight Homes, get in touch with us today.