How Mojo Homes makes construction finance easier

Building a new home is one of life's most exciting milestones. It's also one of the biggest financial commitments most Australians will ever make. While choosing your floorplan, colours and finishes is the fun part, understanding how construction finance works can sometimes feel a little overwhelming.

At Mojo Homes, we believe building should be an enjoyable experience from start to finish. That's why we've partnered with the experts at MyChoice Home Loans to help make the finance side of your build as simple and stress-free as possible.

What makes construction finance different?

Unlike a standard home loan where the full loan amount is released at settlement, a construction loan works in stages.

With construction finance, your lender holds the approved funds and releases them progressively as your home reaches key building milestones. These payments, known as progress payments, ensure your builder receives funds as work is completed and construction can continue smoothly.

Typically, progress payments are made across six stages:

• Deposit
• Slab
• Frame
• Lock-Up
• Internal Fit-Out
• Completion

Each payment corresponds with a major milestone in the construction process, giving lenders confidence that work is progressing as planned.

Understanding progress payments

While progress payments are a standard part of construction finance, they can create additional financial pressure for some homeowners.

As funds are progressively drawn down, interest is charged on the amount that has been released. This means many customers begin making loan repayments before they've even moved into their new home.

For families who are also paying rent or servicing an existing mortgage, these overlapping costs can quickly add up.

Introducing Build Smart

To help reduce the financial pressure that often comes with building, Mojo Homes and MyChoice Home Loans developed Build Smart, a different approach to financing your new home.

With Build Smart, eligible customers pay just a 5% upfront deposit and nothing more until construction is complete.

That means:

• Just 5% upfront
• No progress payments during construction
• No interest payments during the build
• No unexpected costs along the way
• More money staying in your bank account for longer

The result is greater financial flexibility and peace of mind throughout your building journey.

How is Build Smart possible?

Build Smart is made possible through Mojo Homes' backing by the NEX Building Group.

The strength and scale of the group allows construction to continue with trades and suppliers being paid throughout the build process, without customers needing to progressively draw down on their loan funds.

Even better, unlike some finance offers that simply defer interest and add it to the end of the loan, Build Smart removes interest costs during the construction phase altogether.

More money when you need it most

One of the biggest benefits of Build Smart is the savings customers can make during the construction period.

Rather than paying interest before moving in, that money can be put towards all the exciting finishing touches that turn a new house into a home, including:

• Landscaping
• Furniture
• Moving costs
• Styling

Whether you're building in a new estate or planning a knockdown rebuild, Build Smart can help make the journey easier and more affordable.

Ready to learn more?

If you're considering building a new home and want to understand your finance options, the team at Mojo Homes and MyChoice Home Loans are here to help.

Visit Build Smart or drop into one of our display homes to learn more about Build Smart and how it could work for you.