NZ Construction loans: Everything you need to know (2025)

Financing a new build requires a construction loan, where funds are released in stages as progress payments. You'll typically need a 10% deposit on the total land and build cost, though some lenders may accept less.

Your borrowing power is based on the home's estimated completed value, not just your income. You can choose between a simple turn key contract or a more flexible build-only option. Always review provisional costs (PCs) to avoid budget blowouts and engage lenders early.