Star Classic Construction

Variable rates from

2.39%

Principal and Interest p.a.1"

2.51%

Comparison rate p.a 1,2


Variable rates from

2.59%

Principal and Interest p.a.1

2.71%

Comparison rate p.a.1,2


    Home Loan Enquiry

    Please complete the form below and our Loan Team will be in touch soon.


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    Loan Features

    calendar with circled dollar sign icon

    Weekly, Fortnightly or Monthly Repayments

    shaking hands with dollar sign on top icon

    Multiple Loan Splits Possible

    visa icon

    Offset and Visa Debit
    is Available

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    For Owner Occupied and
    Investment Purchases for
    Construction

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    Free Unlimited Transactions

    Fees

    Loan Setup Fees Amount
    Construction Administration Fee $7503
    Valuation Fee (up to $1m property value) $251.353
    Progress Vals $690.423
    Lender Legals $2643
    Annual Fee $0
    Discharge Fee $5354
    PEXA Fee $58.413
    Verification of Identify Fee $27.503
    (Maximum Amount)

    Homestar Product Comparison Table (Investment)

    Product Star Classic Investment
    Variable Rate
    Star Classic Investment
    Fixed Rate
    2 Year Fixed Special
    Star Classic Investment
    Fixed Rate
    Standard Rates
    Star Classic Investment
    Construction
    Principal & Interest Interest Only Principal & Interest Interest Only
    Rate (80% LVR) 2.29%1 2.59%1 1.99%1 2.59%1 2.89%1 2.59%1
    Comparison Rate 2.32%1 2.62%1 2.32%1 2.39%1 2.70%1 2.72%1
    Variable
    Term 30 Years 30 Years 30 Years 30 Years 30 Years 30 Years
    Interest Only Period 5 Years 5 Years 1 Year
    Maximum Loan Amount (Single Security)* $1,500,000 $1,500,000 $1,000,000 $1,000,000 $1,000,000 $1,250,000
    Maximum Loan- Amount (Multiple Security)* $2,000,000 $2,000,000 $2,000,000 $2,000,000 $2,000,000 $2,000,000
    Maximum Loan-to-Value Ratio* 90% 90% 90% 90% 90% 80%
    Accepts Weekly/Fortnightly/Monthly Payments Monthly Only Monthly Only
    Available for:
    Home Purchase
    Home Refinance
    Construction
    Features:
    Internet Banking
    BPAY
    Debit Card
    Free Loan Splits 4 4 4 4 4 4
    Redraw Max
    $20,000 p.a.
    Max
    $20,000 p.a.
    Max
    $20,000 p.a.
    Offset Account Max
    $20,000 p.a.
    Max
    $20,000 p.a.
    Max
    $20,000 p.a.
    Read more Read more Read more Read more

    *Loan borrowing amounts, Loan-to-Value Ratio and Rates are subject to terms, conditions, eligibility criteria and final credit assessment.

    Homestar Product Comparison Table (Owner Occupied)

    Product Star Gold Owner Occupied
    Star Essentials Owner Occupied
    Star Classic Owner Occupied
    Variable Rate
    Star Classic Owner Occupied
    Fixed Rate
    2 Year Special
    Star Classic Owner Occupied
    Fixed Rate
    Standard Rates
    1-3 Years
    Star Classic Owner Occupied
    Construction
    Principal & Interest Principal & Interest Principal & Interest Interest Only Principal & Interest Principal & Interest Interest Only
    Rate (80% LVR) except Star Gold 1.79%1 1.99%1 2.09%1 2.39%1 1.79%1 2.39%1 2.69%1 2.39%1
    Comparison Rate 1.84%1 2.02%1 2.12%1 2.42%1 2.12%1 2.19%1 2.49%1 2.52%1
    Variable
    Term 30 Years 30 Years 30 Years 30 Years 30 Years 30 Years 30 Years 30 Years
    Interest Only Period 5 Years 5 Years 1 Year
    Maximum Loan Amount (Single Security)* $850,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,250,000
    Maximum Loan- Amount (Multiple Security)* N/A $2,000,000 $2,000,000 $2,000,000 $2,000,000 $2,000,000 $2,000,000 $2,000,000
    Maximum Loan-to-Value Ratio* 60% 80% 90% 90% 90% 90% 90% 80%
    Accepts Weekly/Fortnightly/Monthly Payments Monthly Only Monthly Only
    Available for:
    Home Purchase
    Home Refinance
    Construction
    Features:
    Internet Banking
    BPAY
    Debit Card
    Free Loan Splits 4 4 4 4 4 4 4 4
    Redraw Max
    $20,000 p.a.
    Max
    $20,000 p.a.
    Max
    $20,000 p.a.
    Offset Account Max
    $20,000 p.a.
    Max
    $20,000 p.a.
    Max
    $20,000 p.a.
    Read
    more
    Read
    more
    Read
    more
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    more
    Read
    more
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    more

    *Loan borrowing amounts, Loan-to-Value Ratio and Rates are subject to terms, conditions, eligibility criteria and final credit assessment.

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    How does my builder get paid?
    (Progress Payments)

    A construction loan is paid in stages, often referred to as progress payment. This covers each stage of your build. Your builder will outline the total amount needed to construct your home, dividing the expected costs into several segments, this is called the Progress Payment Schedule and is contained in the Building Contract signed by you and the Builder. Payment is sent direct to the builder, so you do not need to worry about transferring funds yourself.

    The Stages of a Build as a Guide are

    1

    Slab (or base) down

    2

    Frame up

    3

    Lock Up (enclosed)

    4

    Fixing or fix out (refer to what fixtures and fit outs you have in your contract)

    5

    Completion (property is ready to be handed over and lived in)

    As each phase is completed, Homestar will require you to present an invoice from your builder, signed and dated by all borrowers as ‘O.K. to pay’ before Homestar can arrange a valuation and issue a payment

    Your Construction Loan

    What Happens Next?

    home gear fill

    What are Progress Inspections? (valuations)

    Homestar will be very involved in the process – Homestar will send someone to check on the progress of construction before releasing the next payment to your builder. 

    Do I need anything specific noted on the builder invoice?

    Yes you do, each invoice that is presented for payment must have the following information  

    (a) On the builder’s letterhead;
    (b) Contain the builder’s bank account details;
    (c) Provide the break-up of the amount claimed highlighting any price variations;
    (d) Signed and dated by the builder; and
    (e) Signed and dated by all borrowers.

    What happens if I need more money?

    Once we have entered into a signed contract you will not be able to increase your loan amount until the construction period has completed. It is important you borrow enough money upfront to complete the construction.

    My building contract has changed, do I need to tell Homestar?

    Once building is underway it important you lets know straight away if there are any changes to your building contract or council approved plans.

    About Homestar Finance

    Homestar Finance Pty Ltd ACN 109 413 498 Australian Credit Licence Number 390 860 has been providing affordable home loans to Australian families since 2004. We are a wholly owned subsidiary of Columbus Capital Pty Ltd, an Australian private company with over $7 billion in loans under management.

    Homestar Finance is a proud sponsor of the Sydney Thunder Cricket Team (KFC Big Bash League).

    Recommended for you

    1 Rates shown apply to new eligible loans only, up to 80% LVR, loan amount up to max of $1 million and at least one applicant is on PAYG employment. Rates are subject to change without notice. Existing borrowers may have different interest rates which are dependent on the rate offered to the borrower at the date when a home loan settled and any reductions or increases the lender decided to make on the existing loan over time. Accordingly, there is not one standard variable rate that applies to all Homestar home loans and existing customers can confirm their current rate(s) by logging in to internet banking or by contacting customer service. Terms, conditions, and eligibility criteria apply.

    2 Comparison rates are based on a basic Homestar loan, on a $150,000 loan amount over 25 years. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.

    3 Fees are indicative and subject to change, if the loan applicant does not proceed to settlement then all fees including valuation and legal fee incurred during processing of the loan application (where applicable) will be payable in full by the borrower/s.

    4 Discharge fee is waived if loan reaches full term as per the loan agreement.

    Other fees and charges may apply.

    DISCLAIMER: Terms, conditions and eligibility criteria apply to all our loan products and features. Fees and charges are payable. Final approval is subject to credit assessment. Information valid as at 25th May 2021 which is subject to change without notice. Third party cost(s) incurred by service provider(s) are payable and may vary or increase depending on the service provider, nature of the service and request. Any additional cost(s) are passed on directly to the applicants(s). If there is a variation or an increase, a separate quote will be provided. Please consider if the product is appropriate for your individual circumstances. If you need assistance or have any questions about a product or feature and its suitability, please contact our Loan Specialists.

    Registered to BPAY Pty Ltd ABN 69 079 137 518