Stage-wise Payment Schedule for House Construction: What to Pay and When
How you pay your builder matters as much as how much you pay. A fair schedule links every payment to a stage you can see and verify on site. Here is a sample schedule for a G+1 house and what to check before releasing each instalment.
Sample schedule for a G+1 house
| # | Milestone | Share |
|---|---|---|
| 1 | Agreement signing & mobilisation | 5% |
| 2 | Foundation and plinth completed | 15% |
| 3 | Ground floor roof slab cast | 15% |
| 4 | First floor roof slab cast | 15% |
| 5 | Block work completed | 10% |
| 6 | Electrical & plumbing concealed work, plastering | 15% |
| 7 | Flooring and tiling | 10% |
| 8 | Doors, windows, painting, fittings | 10% |
| 9 | Handover | 5% |
A sample only; the exact split depends on number of floors and scope. Your agreement should list the stages in writing.
What to check before each payment
- The stage is actually complete (visit or ask for dated photos and video).
- Concrete cube test results for slabs where applicable.
- Steel and cement brands match the BOQ (check bags and bundle tags).
- Any extra work is backed by a signed change order.
- You get a proper invoice or receipt for every payment.
Red flags
- A large advance (for example, 25–40%) before work starts
- Payments tied to dates instead of completed work
- Cash without receipts
- Pressure to pay for the next stage “to buy material”
Paying with a home loan
Banks release construction loans in stages too, after inspecting progress. Align your builder’s schedule with the bank’s disbursement stages — see home loan for house construction.
Frequently asked questions
What is a good payment schedule for house construction?
A schedule where every payment is linked to a completed, verifiable stage: a small booking amount, then foundation, each slab, block work, plastering, flooring, finishing and a final handover payment.
How much advance should I pay a builder?
Keep the advance small — around 5% for mobilisation is reasonable. Avoid paying large amounts before any work is done.