Construction Loan Calculator
Estimate repayments on a construction loan in Australia. During the build you usually pay interest only on the amount drawn so far; this shows the full repayment once the loan is completed and drawn. Adjust the amount, rate and term.
How we estimate this
A construction loan is drawn in stages (progress payments) as the build hits milestones, and during construction you usually pay interest only on the amount drawn so far, so early repayments are low and rise as more is drawn.
Pricing reviewed: October 2026.
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Understanding construction loans in Australia
A construction loan is drawn in stages (progress payments) as the build hits milestones, and during construction you usually pay interest only on the amount drawn so far, so early repayments are low and rise as more is drawn.
Once the build is complete and the loan is fully drawn, it typically converts to a standard principal-and-interest home loan. This calculator shows that final repayment, use interest-only thinking for the build phase itself.
Frequently asked questions
How do construction loan repayments work?
During the build you pay interest only on the funds drawn so far, so repayments start low and grow with each progress payment. After completion the loan usually becomes a normal principal-and-interest loan.
Is a construction loan more expensive than a normal home loan?
The interest rate is often similar, but you pay interest on drawn funds during the build and there are progress-payment and valuation fees. Confirm the full cost with a broker.
Are you a mortgage / finance broker?
Everyone on this page is working out what construction loan costs because they are ready to hire. Put your business right beneath the calculator, in your state, so you are who they find. From $50/mo.