There are normally five, or sometimes six, recognised stages of the construction that will qualify for progress payments: Deposit. The first deposit to the builder, before construction begins, not always required. Base or slab completed. Ground levelling, external plumbing, waterproofing, pouring slab. Frame completed. Timber or steel frame erected, roofing, trusses, window frames, possibly some brickwork. Lockup stage. External walls, windows, doors. Fitout. Internal fixtures like plasterboards, internal plumbing and fittings , electricity, gutters, cupboards, kitchen benches. Completion. Concluding stages, finishing touches, cleaning. The lender may send a valuer to check that the work has been completed to an approved standard before they release each progress payment. As each progress payment is made by the lender to a third party (e.g. land owner, architect, builder) your amount borrowed will increase, until it reaches its maximum amount once the building is complete.