- Full lifecycle loan for your subdivision project
- From land acquistion via construction to loan term hold
- High flexibility, high LVRs, low rates
The Onyx Subdivision Loan is ideal for small scale subdivisions where one title is being split into two or three titles. Other loan products are also available for larger subdivisions.
The Onyx Subdivision Loan can finance the full lifecycle of the project from initial acquisition of the property, through permits, construction of new dwellings, title splitting, and even long term holding of the new titles. It is also portable so you can move the loan across to a new property.
You get all this at normal home loan rates and fees.
The Onyx professional services can also assist you with structuring your finance through all stages of the project and providing the conveyancing and other legal services required.
We can also connect you with building and design specialists to assist you with the planning, engineering and building aspects of your project.
Features of the Onyx Subdivision Loan
- Loans are first mortgage secured by residential or rural residential zoned property throughout Australia
- Vacant land and existing houses are acceptable security.
- Loans up to 90% LVR are available based on the lesser of the “as is” land value plus the construction cost, or the estimated ‘on-completion’ value before subdivision or strata title.
- Loan increases can be applied for after completion of the project to enable long term holding of the properties.
- The Construction phase can be funded for a maximum 3 dwellings where there is an intention to sub-divide at the end evidenced by a plan of subdivision at the time of approval of the construction component.
- The loan reverts to a standard home loan product at the end.
- Depending on the borrowers requirement the new titles can continue as security or we can swap the loan onto one title (with appropriate adjustment to loan amounts).
- Borrowers can be individuals, companies or trusts.
- Borrowers can be employees or self-employedLoDoc loans are available.
- Values are determined by a panel valuer. No Quantity Surveying is required.
- No Quantity Surveying is required but valuations are required at each stage.
- Our office administers the progress payment process – no call centres!
- Construction funding requires a fixed price building contract or contracts
- The loan has a full redraw facility so before and after the construction phase a redraw can be used so the borrower can leave funds in the loan to reduce interest charges.
- Property substitution is available so at the end of the project the borrower could transfer the loan to another property. LVRs would need to be maintained. There is a facility to hold the loan open for 3 months between sale of the security property and substitution of a new property.Get the most out of your loan choice for the least cost.