Buying guide
NZ Construction loans: Everything you need to know (2025)
The Trade Me Property guide to financing your next build
AI summary
This guide to NZ construction loans outlines key financing steps for your new build. Aim for a deposit of at least 10% of the total land and construction cost.
Loans are typically drawn down in stages via progress payments to your builder, often with interest-only repayments during construction. You can choose between a simple Turn key contract (all-inclusive with price certainty) or a more flexible Build-only contract if you already own your section.
Always consult lenders early and budget for overruns.
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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