Standard property purchase
For a typical established property purchase, lenders usually take one to three weeks to move from a submitted application to unconditional approval, assuming documents are complete and the valuation proceeds without issue. Pre-approval, if sought first, can often be obtained within a few days to a week. Once a contract is signed, settlement itself is usually scheduled 30, 60 or 90 days later, as agreed between buyer and seller in the contract, which gives time for the lender's formal assessment, valuation and legal preparation to be completed. Busier periods, such as around major holidays, or more complex financial situations can extend these timeframes, so it's worth allowing some buffer when planning.
Refinancing timelines
Refinancing to a new lender generally follows a similar process to a purchase, often taking two to four weeks from application to approval, followed by a discharge and settlement process with the new lender. The discharge of the existing loan needs to be coordinated with the payout figure from the current lender, and some lenders require a discharge form to be lodged a set number of business days in advance. Overall, a refinance from application to the new loan settling can often take four to six weeks, though this varies depending on both lenders involved and whether the property needs a fresh valuation. Refinancing with the same lender for a different product can sometimes be quicker, since less verification may be required.
Construction loans
Construction loans typically take longer overall because approval and funding happen in stages rather than as a single settlement. Initial approval, covering the land and building contract, usually follows a similar timeframe to a standard purchase, often two to four weeks. After that, funds are released in progress payments as building stages are completed, such as slab, frame, lock-up and completion, with each stage often requiring an inspection or valuation before funds are released. The overall build timeframe depends heavily on the builder and project size, and can range from several months to well over a year, so the loan facility usually remains open and progressively drawn down across that period rather than being settled all at once.
What can speed things up
Having all required documents ready and complete before submitting an application is one of the most reliable ways to avoid delays, since incomplete information is a common cause of hold-ups. Straightforward income situations, such as stable full-time employment, and a clean, easily verified credit file also tend to move faster than complex or self-employed applications. Choosing a property that's easy to value, and avoiding unusual title or zoning issues, can also help the valuation step proceed smoothly. Responding quickly to any requests for additional information from the lender or broker usually keeps the process moving rather than sitting idle.
What can cause delays
Common causes of delay include missing or inconsistent documents, valuations that come in lower than expected, complex income structures such as multiple businesses or overseas income, and title or strata issues that need further investigation. Lender processing volumes also fluctuate, and turnaround times can lengthen during busy periods. If you're relying on the sale of an existing property to fund your purchase, coordinating both settlements can add complexity and time. It's generally worth building some buffer into your expected timeline, and keeping in regular contact with your lender or broker so you're aware of progress and any issues as early as possible.
Key points
- Standard purchase approval usually takes one to three weeks
- Settlement is typically scheduled 30 to 90 days after contract exchange
- Refinancing overall often takes four to six weeks end to end
- Construction loans release funds in stages over the build period
- Complete documentation and simple income situations usually process faster
Frequently asked questions
How quickly can I get pre-approval?
Pre-approval can often be issued within a few days to a week, depending on the lender and how quickly documents are provided.
Why do construction loans take longer overall?
Because funds are released in stages as the build progresses, with each stage usually requiring an inspection or valuation before payment.
Can settlement happen sooner than 30 days?
Sometimes, if both parties agree and the lender can process everything in time, though 30 days is a common minimum for standard purchases.
Does refinancing take as long as a new purchase?
It's often similar, usually a few weeks for approval, with additional time needed to coordinate discharge of the existing loan.
What is the biggest cause of delay?
Missing or incomplete documentation is one of the most common causes, followed by valuation issues and complex income situations.