A pre-approval is a conditional commitment from a lender confirming how much they are willing to lend based on your income, expenses and financial position. For modular home finance, getting pre-approved before approaching builders means you know your exact budget and can have confident conversations. It also shows builders you are serious. Pre-approvals typically last 90 days and can be renewed. Our brokers handle the pre-approval process from start to finish.

There are two stages of assessment for modular home finance. First, the lender assesses your personal financial position to confirm your borrowing capacity. Second, once you have a signed contract and confirmed land, they assess the security. Getting pre-approved first means you go into builder conversations knowing your budget. Our brokers guide you through both stages.

If you already own your land, your land equity is your contribution. You may not need any cash savings at all. The lender can potentially fund your full build contract across both the factory stage and land affixture stage. Whether you need extra cash depends on the overall loan-to-value ratio, which is confirmed during pre-approval once you have a formal valuation. Our brokers will walk you through this clearly.

An approved manufacturer is a modular builder that has passed a formal lender assessment covering financial health, an Australian manufacturing facility and a physical factory inspection. There are currently 13 builders on the approved list, including Anchor Homes, Modscape, Prebuilt, Swanbuild Modular Homes and others. If your builder is not on the list, you can still get finance at a lower percentage during the factory stage.

You can still use this type of loan. Builders not on the approved list fall into the standard tier, which lets you access up to 60% of your contract during the factory stage (compared to 80% for approved builders). The same permanent affixture rules apply. Ask our team whether your builder might be able to go through the lender approval process, as the list does grow over time.

No. This loan is only for homes permanently fixed to land. A home that sits on its own chassis and can be moved again does not qualify. The key test is permanence: the home must be fixed to concrete footings and connected to all services in a permanent way. Mobile homes, relocatable dwellings and granny flats on wheels do not qualify.

No. This is one of the biggest advantages of this product. Standard construction loans require you to have paid at least 50% of progress payments yourself before the lender contributes. That rule does not apply to modular construction loans. The lender uses a formula based on your land value and contract price instead. This is why you can often access more money earlier in a modular build than a traditional construction loan allows.

A fixed price contract means your builder has agreed to complete the home for a set dollar amount regardless of cost increases. This is a strict requirement for this type of loan. Cost-plus contracts are not accepted because the lender cannot predict the final loan amount. Before signing, make sure your contract states a single total price. Our brokers can review it with you.

Yes. This is a firm rule. The home must be fixed to land AND connected to all services in a single milestone. You cannot fix the home first and connect services later. Your site must be fully prepared before the home arrives. Talk to your builder about the site schedule so everything happens on the same day.

It depends on land size. Up to 50 hectares is typically accepted as standard security. Between 50 and 100 hectares may be considered case by case with stricter conditions. Over 100 hectares is generally not accepted. If your land is rural, check with our team early in the process.

No. This product requires a licensed builder under a fixed price contract. Owner-builder arrangements are not eligible. The lender needs a professional builder responsible for the build to protect both you and them.

Contracts above $1.5 million are not eligible for this product. If your build cost is close to or above that level, talk to our team. There may be alternative financing options available for larger modular builds.

Items that are part of getting the home fixed to land and connected to services can generally be included in the main contract. Items listed outside the main build contract are generally not eligible for progress payments. Talk to your builder about what can be included in the main contract and ask our brokers what can be financed.

The factory build phase is typically 8 to 16 weeks depending on complexity. Loan approval and valuation can take 3 to 6 weeks before that. In total, most people move in 6 to 9 months after starting the loan process, compared to 12 to 18 months for a traditional build.

Once all progress payments are made and the build is complete, the construction loan automatically converts to a standard home loan. It then works exactly like any other mortgage. You make regular repayments and can choose between variable and fixed rates. Our brokers help you plan for that conversion in advance.