House & Land Package Loans
House & Land Package Loans can be an important part of a broader borrowing strategy. At Derwent Finance, we help Australian borrowers understand their options, compare suitable lenders from our panel and structure finance around the outcome they are trying to achieve — not simply around a headline rate.
This page is for people researching house and land package loans and related options such as house and land finance, new build home loan, land and construction loan. It explains how this type of finance generally works, who it may suit, the issues that can affect lender approval, common scenarios and the steps involved from initial review through to settlement or funding.
Every application is assessed on its own facts. Property or asset value, income, expenses, existing debts, credit conduct, entity structure and lender policy can all change the outcome. The information below is general and is designed to help you ask better questions before choosing a lender or loan structure.
Who This Is For
- First home buyers in new estates
- Families building a new home
- Investors purchasing house-and-land packages
- Buyers with separate land and build contracts
- Borrowers using a low deposit or guarantor
- People buying land first and building shortly afterwards
House and land can involve two different transactions
Many packages have a land contract and a separate building contract, with the land settling before construction starts. The lender must assess both components and understand the total funds required, not just the advertised package price. Deposits paid to the land developer and builder are also treated differently and need to be allowed for in the finance plan.
The headline package price may not be the final build cost
Site works, variations, landscaping, window coverings, driveways, upgraded finishes and other exclusions can sit outside the advertised package. Identifying these early reduces the risk of a funding gap once construction is underway.
First home buyer concessions can change the cash required
Eligible buyers may have access to grants, guarantees or stamp-duty concessions depending on the state, property and current program rules. These benefits should be verified at the time of application rather than assumed, because thresholds and eligibility can change.
Our Approach
How We Can Help
We start by understanding the full scenario and what you want the finance to achieve. Depending on the transaction, our work can include:
- Calculate borrowing capacity and deposit requirements
- Review land and building contracts separately
- Identify costs outside the advertised package
- Compare lenders that support the build structure
- Arrange land and construction finance in the right sequence
- Explain progress payments and interest during construction
- Manage lender conditions through land settlement and construction
Real Situations
Common Scenarios
House-and-land buyers commonly need finance for separate land and build components. Typical situations include:
- First home buyer house and land package
- Buying land before the build contract is final
- Package upgrades after signing
- Building an investment property
- Using a guarantor for a new build
Step by Step
How the Process Works
Initial strategy call and fact-find
Review relevant income, expenses, liabilities, assets and supporting documents
Identify the main lending objective and any policy constraints
Compare suitable lenders and structures
Present the recommended option, expected repayments, fees and key conditions
Prepare and lodge the application after you decide to proceed
Manage lender questions, valuation or asset checks and approval conditions
Complete documents and settlement or funding
Review the lending again when your circumstances or lender pricing change
Why Derwent Finance?
A loan approval is only one part of the process. Derwent Finance focuses on understanding the objective, comparing lender policy and helping manage the application from initial strategy through to settlement. We assist borrowers across Australia with home loans, refinancing, investment, construction, self-employed, complex, commercial and business finance scenarios.
Where the best outcome is to keep an existing loan or wait until the borrower’s position changes, the recommendation should reflect that rather than moving a loan simply to create a transaction.
Ready to understand your options? Book a Strategy Call with Derwent Finance. We can review your current position, what you want to achieve and which lending pathways may be available.
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General information only. Credit assistance is subject to individual circumstances and lender criteria. Interest rates, fees, lender policy, government schemes and eligibility can change without notice. This website does not provide legal, taxation or financial advice. Content last reviewed: August 2026.
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