Two dwellings or ten lots: an indicative answer on your project within 2 business days.
- Indicative assessment within 2 business days of receiving your plans, costings and approval
- Loans from $200K to $10M for small projects built to sell, or partly kept by your business
- Builders, trade-led developers and companies on their first project or their tenth
- Duplexes, dual occupancies, manor houses, terraces, townhouses and 2 to 10 lot subdivisions, on Torrens or strata title
- Full-doc (tax returns), low-doc or alt-doc (BAS, bank statements or an accountant's letter instead) and no-doc options across our 90+ lender panel
You have the site, the drawings and an approval in hand or close to it. The project is modest in size, and you may be running much of it yourself. Small-scale development finance pays for the build of two to ten dwellings or lots, released in stages as the work is done. It is repaid from the sales, or by a refinance once titles are issued. Projects of this size fall between a one-house construction loan and a large development facility, and lenders read them in different ways. Joseph Farhat and his team can match your project, and the paperwork you can produce, to the lenders whose policy suits it.
Who we can help access finance
- A builder with a knockdown site in a low density residential (R2) zone, putting up a dual occupancy to sell both sides on completion.
- A developer holding council approval for four townhouses on a strata plan, who needs the land loan paid out and the build funded in one facility.
- A small developer splitting a large block into six Torrens lots, with roads, drainage and services to pay for before the subdivision certificate issues.
- A building company that owns a site within an 800 metre walk of a nominated station in Sydney and is costing a terrace project under the Low and Mid-Rise Housing Policy.
- A licensed carpenter or plumber starting a first project of their own, with a fixed price contract and a quantity surveyor (QS) report in hand.
- A company planning to sell three of five townhouses and keep two, which needs a lender comfortable with a mixed sale and refinance exit.
How Small-Scale Development Finance Works
The facility usually covers the land, or pays out the loan already on it, plus the build, council contributions, consultants, a contingency and the interest during construction. Lenders test the amount two ways. The first is loan to cost (LTC), the loan as a share of the total project cost. The second is gross realisation value (GRV), what the finished project is expected to sell for. Funds are paid out as stages are completed and certified by a QS or the valuer. Many lenders add the interest to the loan balance during the build, so there are no monthly repayments until sales settle. The loan is cleared as each dwelling or lot sells, or by a longer-term loan on any you keep.
A development application (DA) is assessed by the council on its merits against local planning controls, and NSW reports an average determination time of 70 days. A complying development certificate (CDC) is a fast-track approval for projects that meet state codes, issued by the council or an accredited certifier in as little as 20 days. In NSW, the Low-Rise Housing Diversity Code is current and lets dual occupancies, manor houses and terraces of up to 2 storeys go through as complying development, in R1, R2, R3 and RU5 zones where the local plan already permits that housing. The Low and Mid-Rise Housing Policy also allowed dual occupancies and semi-detached homes in R2 zones across NSW from 1 July 2024. From 28 February 2025 it added controls for dual occupancies, terraces, townhouses and apartments within an 800 metre walk of nominated town centres and stations in Sydney, the Central Coast, Illawarra-Shoalhaven and the Hunter. Your planner or certifier can confirm what applies to your site, and if you already hold an approval, check the consent's lapse date with your planner.
Joseph Farhat and his team read the approval, the costings and the sales evidence, then put the project to the lenders on our 90+ bank, non-bank, and specialist panel whose limits fit it. We are a finance broker, not a town planner, accountant or tax adviser. Planning, title and GST questions go to those professionals first.
What Lenders Assess for Small-Scale Development Finance
Approval in place
whether you hold a DA, a CDC or neither yet, the conditions attached, and whether the stamped plans match the building contract.
Total project cost
land, construction, contributions, professional fees, finance costs and a contingency, usually checked line by line in a QS report.
GRV evidence
recent sales of comparable new dwellings or vacant lots in the same area, which the valuer relies on more than the agent appraisal.
Presales
sale contracts signed before the build is finished. Some lenders ask for a set number, while others assess the project without them at a lower loan amount.
Builder and contract
the builder licence and insurances, a fixed price contract or a detailed cost plan, and the program for each stage.
Experience
completed projects of your own, or a builder who has delivered similar work.
The exit
how long titles will take to issue, the sale plan for each dwelling or lot, and the refinance for any you keep.
The Small-Scale Development Finance Process: What to Expect
- Send Joseph Farhat and his team the site address, the approval or the planned pathway, and your rough costings. You will hear early whether the numbers look fundable.
- Provide the approved plans, the building contract or quotes, a QS report if you have one, any sale contracts, and your financials or bank statements.
- We take the project to the lenders on the panel whose LTC, GRV and presale settings fit it, and set out the rate, fees and equity each would need.
- The chosen lender orders a valuation and a QS review, then issues an approval with the limit, drawdown schedule and conditions. You read it with your solicitor and accountant before signing.
- Funds are released stage by stage as the build is certified. Once titles issue, sales settle or the kept dwellings move to a longer-term loan, and the facility is repaid.
Indicative Finance Options
| Lender Type | Indicative Rate | Max LTC | Typical Loan Range | Loan Term | Key Consideration |
|---|---|---|---|---|---|
| Bank | From ~6.5% p.a. | Up to 70% of total cost | $500K to $10M | 12 to 24 months | Full financials and presales or strong income usually required |
| Non-Bank Lenders | From ~8.5% p.a. | Up to 80% of total cost | $200K to $10M | 6 to 24 months | Reduced or nil presales considered; low-doc and alt-doc options |
| Private Finance | From ~1% per month | Up to 85% of total cost | $300K to $10M | 6 to 18 months | Available for unique scenarios |
Indicative figures only. Actual rates and terms depend on your project, financial position, property location, and lender assessment at the time of application. Rates are subject to change.
Why borrowers choose Settled With Joe for small-scale development finance
We represent you, not the lender
Joseph Farhat and his team work for you from the first site discussion through to the last sale settling.
Small projects, matched properly
some lenders set a minimum project size or number of dwellings, and we know which ones fund a duplex and which start at ten units.
Presale settings compared
one lender may want contracts on half the dwellings while another needs none at a lower limit, and that difference decides your equity.
The equity gap shown early
we work through LTC and GRV with you before you sign a building contract, so the cash you need to contribute is clear.
One conversation, not five applications
each credit enquiry is recorded on your file, so the project goes first to the lender most likely to accept it.
90+ lenders on one panel
bank, non-bank, and specialist, so a presold project with full financials can go to a bank at a sharper rate, and a project without presales still has options.
Private finance for unique scenarios
where bank and non-bank lenders are not the right fit, we can introduce you to private finance options.
Usually no direct cost to you
as a broker we are typically paid by the lender on settlement.
An honest answer early
if a site settlement or a builder start date is fixed, tell us early and we will tell you what is realistically achievable.
Frequently asked questions
What is small-scale development finance?
It is a loan that funds a project of two to ten dwellings or lots, such as a duplex, a row of townhouses or a small subdivision. The lender sizes it against the total project cost and the expected sale value of the finished stock, and pays it out in stages as the work is certified. It is repaid from the sales, or by refinancing any dwellings your business keeps.
Can lenders fund a project approved as complying development?
Yes. Many lenders fund projects approved by a DA or a CDC, provided the approval matches what is being built. Designs from the NSW Housing Pattern Book can receive a complying approval in as little as 10 days. NSW exhibited further complying development changes from 14 May to 24 June 2026, with final rules expected later in 2026, so confirm the current position with your certifier. Lenders will ask for the certificate, the stamped plans and any conditions before the first draw.
Torrens or strata: does the title type change the finance?
It can change the timeline and the sales evidence. Torrens title creates separate lots with no common property. Strata title gives each owner a lot plus a share of common property, managed by an owners corporation. Community title has lots plus shared community property run by an association. Strata and community schemes need more documents registered before sales settle, which can add time to the exit. Your solicitor or surveyor can confirm which title suits your approval.
What is a subdivision certificate, and why does the lender care?
A subdivision certificate confirms that the subdivision has been carried out in line with the development consent. It allows the plan to be registered with NSW Land Registry Services, and the applicant must be the owner or have the owner's consent. For the lender, registration is what lets individual dwellings or lots be sold and settled, so sales cannot repay the loan until then. Conditions such as roads, drainage and service connections usually come first, so lenders look closely at the cost and timing of that work.
Do I need presales for a duplex or townhouse project?
Not always. Some lenders ask for a set number of presales before the first draw. Others assess a small project on the GRV, the cost plan and your experience instead, and lend a lower share of the cost in return. As the number of dwellings rises, presale requirements become more common. Joseph Farhat and his team will show you which lenders on the panel need them for your project.
How does GST affect a small development built to sell?
A builder who constructs new residential premises for sale is liable for GST on the sale, and can claim GST credits on construction costs. A business must register within 21 days of its GST turnover reaching $75,000, current or projected over 12 months, and the ATO says a property project, including a one-off, may count as an enterprise. On new homes and potential residential land, the buyer generally withholds GST at settlement and pays it to the ATO: 1/11 of the price, or 7% where the margin scheme applies. The margin scheme must be agreed in writing before settlement. Your accountant confirms how these rules apply to you. Lenders expect GST to show in the feasibility, because it reduces the net amount from each sale.
Can I get small-scale development finance with low-doc or no-doc?
Yes, in many cases. Because these loans are assessed mainly on the project, several non-bank lenders will work from BAS, bank statements or an accountant's letter rather than tax returns. No-doc options exist at a lower share of the cost and a higher rate. The approval, the cost plan and the sales evidence still have to stand up whatever documents you provide.
Do you work with borrowers with bad credit?
Yes, we do. A default, arrears or a judgment on your file does not rule you out of a development loan, and it is not something we will make you feel awkward about. A listing says little about your approval, your build costs or what the finished dwellings will sell for. Several lenders on our panel weigh the project margin, the valuation and the exit more heavily than the credit file, and will price for the risk rather than decline it. What helps most is telling us early, so we approach the right lender first instead of adding enquiries to your file. Joseph Farhat and his team will tell you honestly what is achievable before you apply anywhere.
Why work with Settled With Joe to arrange your small-scale development finance?
Because one conversation with us replaces separate applications to lenders with very different appetite for small projects. Most of the people we help with small projects are builders, trade business owners and company directors working to something fixed: a site settlement, a builder ready to start, or a CDC that has just been issued. Nobody will judge where you are starting from, whether this is your first project or your tenth. What lenders look at is the approval, the total cost, the GRV evidence and a credible plan to sell or refinance. Our panel covers 90+ bank, non-bank, and specialist lenders, so a well-documented file can go to a bank at a sharper rate, and there are still options when the project has no presales or the paperwork is light. We are based in Sydney and work with developers Australia-wide. Joseph Farhat and his team will tell you early whether the project fits a lender on the panel and what is realistic before your start date.
Do you give financial advice?
No. We do not guide you on your finances, nor give financial advice. We focus on outcomes and solutions of presenting your unique scenario to the right lender so you can access funding in a timely and compliant manner.
Do you help with small-scale development finance outside Sydney?
Yes. Settled With Joe is based in Sydney and arranges small-scale development finance Australia-wide, covering both metro and regional areas. We work with clients in Sydney, Melbourne, Brisbane, Perth, Adelaide, and Canberra, as well as regional areas including Newcastle, Wollongong, Geelong, Gold Coast, Sunshine Coast, and Toowoomba. Planning rules differ between states, and the codes named on this page are NSW rules. Joseph Farhat and his team will identify which lenders on the panel suit your site and timeframe.
