Can I put it in my construction loan?
Sometimes. Construction lenders fund a fixed-price contract with a licensed builder and release money against work in place. An imported fit-out that sits outside that contract is usually paid from your own money.
The short answer
If the fit-out is inside your builder's contract, it can be funded like any other stage. If you buy it yourself, plan to pay the factory deposit and balance from savings or a top-up on an existing loan, and give the lender a formal supply and install quote so the valuer counts it.
What lenders actually do
- The big banks require a signed fixed-price contract with a licensed builder. At least one major bank does not offer construction loans to owner-builders at all.
- Items outside the contract, which one bank's guide names as appliances and bathroom tiles, must be formally quoted for supply and installation. Without quotes or receipts, the valuation is done as if they were not there.
- If you take an item out of the builder's contract, the lender can remove that amount from the loan unless it is replaced like for like.
- Progress payments are released when the lender's valuer certifies the stage. One major lender states it cannot pay for materials on site that are not fixed to the building.
- Your own contribution is spent first, before the lender releases anything.
- We found no lender that will pay a deposit to an overseas factory before goods are installed. Treat that as the rule unless your lender says otherwise in writing.
Ways it works
- Your builder supplies and installs the imported items at a contract price. The loan funds the stage, and the builder deals with the factory.
- You pay the factory from savings and give the lender a supply and install quote, so the as-if-complete valuation includes the fit-out.
- On a renovation, a top-up or redraw on an existing loan pays cash to you, so it can fund the deposit.
What Elje does about it
- The Project Plan gives you a landed price per line and the payment dates, ready to hand to your broker or lender.
- A supply and install summary your builder can put in the contract.
- With Elje Assured the balance sits with a licensed escrow partner until inspection, so you know exactly when money leaves.
Questions
Will the bank's inspection check the quality?
No. Lenders say plainly that their progress inspections do not endorse the quality of the work. Book your own inspection.
Should I talk to my broker first?
Yes, before you order. Policy differs by lender and changes. This page is not financial advice.