Construction drawdowns (VEFA)
Partial loan drawdown requests sent by the developer to the buyer (and their bank) according to legally defined construction milestones. Standard stages include foundations, weathertight roof, weathertight cladding, interior partition completion, and delivery. Each drawdown triggers interim interest on the released amount.
Key points
- Five main legal stages: foundations, weathertight roof, weathertight cladding, partitions, delivery.
- Each tranche immediately triggers interim interest calculation on the released amount.
- Total drawdowns at each stage cannot exceed the legal ceiling percentage.
- The broker anticipates these disbursements to calibrate the overall financing plan.
Frequently asked questions
What are the legal caps on each VEFA construction drawdown?
The law caps cumulative payments at 35% of price on foundation completion, 70% at weathertight roof, 80% at weathertight cladding, 95% on works completion, and 100% at delivery (subject to any reservations). These caps protect the buyer by limiting financial exposure before the property physically exists.
What should a buyer do when they receive a construction drawdown request?
The buyer must verify that the request matches the certified construction stage, then forward it to their bank with the required supporting documents. The bank typically has a processing time of a few business days. Any payment delay may expose the buyer to contractual penalties.
How can the cost of interim interest linked to construction drawdowns be reduced?
Some buyers apply their personal savings to the first tranches first, delaying loan drawdowns and reducing the interim interest base. Another option is deferring the bank loan as long as possible by injecting available savings first; the broker weighs this choice based on the borrower's liquidity position.
In practice
For a programme delivered over 18 months, the developer sends five staggered drawdown requests. The buyer starts paying interim interest from the first disbursement; this interest accumulates until key handover, when full monthly payments begin.
Official sources
- Off-plan sale (Vefa): deed of sale · Service-Public.gouv.fr
- Sale agreement and loan condition precedent · Service-Public.gouv.fr
- Housing and financing information · ANIL