Buying guide
NZ Construction loans: Everything you need to know (2025)
The Trade Me Property guide to financing your next build
AI summary
Financing a new build starts with a construction loan. You will generally need a deposit of at least 10% of the total land and construction costs.
Unlike a standard mortgage, funds are released in stages as progress payments directly to your builder. You can often make interest-only payments during the build period. Consider a simple turn key contract for price certainty or a more flexible build-only contract. Always review provisional costs (PCs) carefully to avoid budget blowouts.
How much deposit do I need for a construction loan?
How do construction loans work?
How to apply for a construction loan
You won't get far without finance.
How much can I borrow with a construction loan?
A closer look at construction loan progress payments
Types of construction contracts
1. Turn key
2. Build-only
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The right loan can make building much easier.
A note on provisional costs (PCs)
Finding the right construction loan
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