Build now, pay later with Rivergum and Homepay

Rivergum has been selected as the first Homepay Accredited Builder in South Australia as the ‘build now, pay later’ construction loan provider brings its revolutionary model to the state.

With no out-of-pocket repayments on build and land costs for the first twelve months, the Homepay model allows those renting or already paying off a mortgage the opportunity to build without added financial pressure.

The accreditation also means that Rivergum has been independently audited, providing customers with additional confidence in their build.

“Rivergum is proud to be partnering with Homepay to help bring this simple but effective solution to the South Australian market,” said Rivergum Founder and Managing Director Victor Said.

“We understand the pressures on homebuyers and ultimately, we want as many South Australians as possible to have the opportunity build their dream home – so this partnership was a natural fit for us.

“As part of the process to become South Australia’s inaugural Accredited Builder, we have been audited by Homepay and our financials reviewed by their independent financial partner – giving customers an additional layer of confidence in our financial health, build quality and capabilities.”

The Homepay Accredited Builder partnership with Rivergum will result in a simple, streamlined loan and construction process for homebuyers:

1. Customer chooses a Rivergum design from a suite of Homepay-ready designs.
2. Customer submits a Homepay loan application via Rivergum’s broker partner, Truevest Finance.
3. Customer makes their deposit and their build commences with twelve months of paused repayments. Interest and risk fees/LMI are capitalised for twelve months.
4. Construction complete. Rivergum endeavours to deliver Homepay builds within twelve-month timeframe in line with paused repayments.

Homepay co-founder Josh Morse said the model was developed in response to common concerns with home building – prospective owners juggling competing financial obligations while contending with builder delays or insolvencies.

“What we’re effectively offering is a construction loan that alleviates financial pressure during your build and strengthens confidence in your builder,” he said.

“Homepay is suited to a range of customers – renters who don’t want to add mortgage repayments onto rent payments, homeowners who are ready to upgrade but can’t afford two mortgages at once and investors looking for a way to sustainably build their portfolio.

“We’re often asked, ‘what’s the catch?’ and the honest answer is there isn’t one. Banks are fighting to increase their loan books and Homepay helps our lenders achieve this with a great product for clients and the additional protection and confidence provided by our stringent builder accreditation framework.

“We have undertaken that accreditation process with Rivergum and we’re delighted to be working with such a strong local partner to bring Homepay to South Australians.”

Rivergum customer Mikayla Monteleone has just commenced the build process on her first home and says Homepay would have been invaluable.

“As a first home buyer, I can really see how Homepay would benefit someone in my position,” Mikayla said.

“Once I had my deposit saved, I needed to find a builder I trusted to deliver on my chosen design while also planning how to pay for both my rent and my mortgage repayments. It was a lot to juggle and took me quite some time.

“Anything that can be done to simplify that process and get people in their own home quicker is a great outcome.”