Independent • Lender-Ready • AIQS Certified
Often called a QS bank report or construction finance report, a bank report for a construction loan gives your lender an independent check on the cost of a building project. It confirms the budget is realistic before finance is approved, then verifies the work completed before each drawdown is released.
With more than 25 years in business, ACP prepares bank reports for lenders and borrowers across NSW and regional Australia. Every report is completed by an AIQS-certified quantity surveyor with no connection to the builder, giving lenders cost certainty and borrowers confidence that the build is on track.
What Is a Bank Report for a Construction Loan?
Construction loans are released in stages rather than as a single payment. Before each release, lenders need independent evidence that the money is going towards work that has actually been done, and that enough remains to finish the job.
The Initial Cost Report is prepared before finance is approved. It tests the budget, contract and approvals against the scope of work, so the lender knows the project can be completed for the amount being borrowed.
The Progress Report is prepared at each stage of construction. It verifies the builder’s progress claim, confirms the cost to complete and recommends how much the lender can safely release.
Unlike a property valuation, a bank report does not estimate what the finished building will be worth. It focuses on what the build will cost and whether the loan will cover it.
What the Initial Cost Report Includes
The initial cost report gives your lender a clear picture of the project’s financial position before any funds are committed. It starts with an independent construction cost estimate, compared line by line against the builder’s contract price. The report then reviews:
- Council and statutory approvals for the work
- The building contract, plans and specifications
- The builder’s licence and project insurances, including home warranty cover
- The anticipated construction period
- Cash flow across each stage of the loan
Where the budget looks tight or documents are missing, the report identifies the gap before construction starts. Problems found at this stage are far easier to resolve than cost blowouts halfway through a build.
What Each Progress Report Covers
During construction, the builder submits a progress claim at each stage of the contract, such as slab, frame, lock-up and fixing. Each claim is verified on site before the lender releases funds.
The progress report confirms the actual progress of the works and sets out the cost to complete the project. This shows the lender whether the remaining loan balance will cover the rest of the build.
Approved and likely variations are forecast so they do not become unexpected costs later. Each report closes with a progress payment recommendation, protecting the borrower from paying ahead of the work.
Who Bank Reports Are Suited To
ACP prepares bank reports for banks, non-bank lenders and private lenders. Private lenders tend to rely on independent reporting most, as they usually carry a greater share of the risk.
Borrowers benefit from a bank report for a construction loan as well. Owners building a new home or investment property gain verified progress claims and a clear view of their budget at every stage.
Developers rely on our reports to keep funding moving across multi-stage residential and commercial projects. Verified progress claims also reduce the risk of payment disputes with the builder.
How ACP Prepares a Bank Report
Every bank report for a construction loan follows the same structured process, giving lenders consistent reporting from approval through to completion.
Document review
The building contract, plans, approvals and lender requirements are reviewed to set the baseline for every later report.
Site inspection
At each stage, a quantity surveyor inspects the work on site and checks it against the builder’s progress claim.
Costing and analysis
The remaining work is priced using market-based rates, with assumptions recorded so every figure can be traced.
Report delivery
The final report is provided in a clear, lender-ready format with a payment recommendation for each stage.
Why Choose ACP
Independent reporting for financial institutions is one of the core services ACP was founded on. Our team understands what lenders need to see, and prepares every report to protect both the loan and the project.
- AIQS-certified quantity surveyors on every report
- 25+ years in business, led by a director with 40+ years in quantity surveying
- Over 10,000 projects completed across residential and commercial property
- Court-recognised experience, including work as a construction expert witness in cost disputes
- Independent of the builder, with no stake in any progress claim
- Fixed-fee pricing confirmed before any work begins
Bank reports provide independent cost information. They are not financial or lending advice.
Get Started Today
If you are arranging construction finance or need an independent progress report, ACP can provide a fixed-fee quote before any work begins. The team will confirm what your lender requires, talk you through each report and make sure you know what to expect from the outset.
To discuss a bank report for a construction loan, contact the ACP team or call 1300 550 311 for a clear, upfront quote.
Frequently Asked Questions
When is a bank report needed for a construction loan?
A bank report is usually needed before a construction loan is approved and again before each drawdown is released. Your lender or broker will confirm which reports are required for your loan.
Who orders the bank report, the lender or the borrower?
Either the lender or the borrower can order the bank report, depending on the lender's process. Some banks arrange it through their own panel, while others ask the borrower to engage an independent quantity surveyor.
How many progress reports does a typical build need?
The number of progress reports usually matches the payment stages in the building contract, such as base, frame, lock-up, fixing and practical completion. Your lender's drawdown schedule sets the exact number.
Can a bank report be prepared if construction has already started?
A bank report can be prepared partway through a build, including when a loan is being refinanced. It assesses the work completed to date and the cost to complete from that point.
What information is needed to prepare a bank report?
To prepare a bank report, ACP needs the building contract, approved plans and your lender's reporting requirements. A fixed fee and timeframe are confirmed once these have been reviewed.