ARRANGING FINANCE

from Build Magazine 2020

DESIGNING YOUR HOME

FINANCE

Manteena Residential, Architects Ring & Associates and The Dept of Design, Forrest

BUDGET Financing your new home build or extension project can be achieved in a number of different ways, depending on your financial capacity and the size of your project. You should develop your budget and speak to your preferred financial institution if you are borrowing money to pay for the build, before you engage a builder. When engaging a builder, you should discuss the items that will be included in the building contract. Make sure that this discussion includes any preliminary costs, such as soil tests, preparation of plans, building approvals and consultant fees. There might be expensive items that are not included in the building contract such as landscaping, blinds and curtains, or even floor coverings. It is important to also understand which costs are fixed, and which costs may change. Your builder or your lawyer can explain the difference to you. THE STARTING POINT IS TO DEVELOP A REALISTIC AND ACHIEVABLE BUDGET.

If you are buying land and building a new home, you will also need to consider government fees and other costs associated with the build, which can include: • Stamp duty • Conveyancing costs • Government record searches • Registering plans • Lodging a development application • Applying for a building approval • Various certificates and inspections • Engaging a building certifier Your budget should also include other costs such as rental payments (or other mortgage payments) while your new home is under construction, as well as moving costs. It is recommended that you include a contingency or reserve in your budget for any unforeseen items or cost variations that may be required during the building process. IT CAN TAKE MONTHS TO OBTAIN FINANCE IN SOME CIRCUMSTANCES. MAKE SURE YOU START THE PROCESS EARLY.

CHOOSING A MORTGAGE LENDER

When it comes time to choosing a mortgage lender, there are two common options you have when searching for the financial institution to assist your needs: • Mortgage broker – a mortgage broker can help you to find a variety of loan options from different lenders. Essentially, a mortgage broker acts as an intermediary between a lender and a borrower. • Choose a lender based off your own research – while this can take more time than using a mortgage broker, completing your own research in order to choose a lender and loan type may be your preferred option. Consider and compare different financial institution’s fees associated with a mortgage. Some common fees are: • Application fees • Valuation and lender’s fees • Lender’s mortgage insurance • Exit fees • Monthly or annual fees to keep the account open It’s also important to consider what features you would like your home loan to have. Some features include: • Ability to redraw – if you make additional payments you can choose to ‘redraw’ that money back • Offset accounts – money in an offset account can allow you to reduce the interest rate you pay on your loan

ISUZU READY-TO-WORK RANGE Loads more useful than your average ute.

Once your business reaches a certain size, your faithful ute just won’t cut it any more. Bigger jobs demand a vehicle that can handle bigger payloads, and that means a truck.

Isuzu’s Ready-to-Work range lets you haul more than your average ute, whilst still being able to be driven on a car licence. All the trucks have a turbo, intercooled engine and there is also the option of a super-smooth automated manual transmission on certain models. Other standard features include driver and passenger airbags, Isuzu Electronic Stability Control, front and rear disc brakes, ABS and electronic brake force distribution, ensuring safety is paramount.

Ready-to-work models include Traypack , Tradepack, Vanpack, Tippers and Servicepack.

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