Looking to build a brand new home? If you haven’t considered a House and Land package before, now might be the time to see if this is the right avenue for you.
Whether you’re a first home buyer, an established investor with a portfolio of builds, or looking to downsize in your golden years, it’s worth considering a house and land package for a number of reasons.
1. First Home Buyers Grant (FHOG)
If you’re buying your first home, you could be eligible for the First Home Owners Grant (FHOG). Victorian first home buyers can receive a $10,000 grant (or $20,000 in regional Victoria) towards first homes valued up to $750,000. Be sure to check official government information for the latest details, as the amount differs by state and is subject to change.
2. The perfect fit
When you purchase a house and land package, the experts have selected the perfect home to suit your particular lot. This means that all of the considerations—like aspect and lay of the land—have been factored in to ensure your home has great solar orientation.
3. Clear and transparent pricing
With a house and land package, you’ll know upfront how much your new home will cost, as all consultancy, labour and material fees have been factored into the final price. Rather than working out costs as you go—or being surprised when the final numbers come in—you’ll have a clear idea of whether your new home fits into your budget from the start.
4. Stamp duty savings
By purchasing a house and land package, you could save thousands on stamp duty thanks to separate contracts for the land and house. As the house is not yet built, you’ll only pay stamp duty on the land. Stamp duty concessions vary by state, so be sure to check official government information for the latest details.
5. Get into the market sooner
Knowing your full fixed cost obligations from the start means you’ll have a clear timeline to get your finances sorted while jumping onto the property ladder sooner. You’ll pay just the deposit when you sign your contract, and the remaining will be paid at settlement once the build is complete.
6. Close to amenities
Buying a house and land package in a master-planned estate means that your new home will be close to brand new amenities, including new schools and childcare, built especially for grassroots suburbs. You’ll also be close to existing amenities, like public transport, hospitals and shopping centres.
7. Additional savings for investors
If you’re building an investment property, you can claim the maximum depreciation for a new build on your tax return. And as it’s brand new, you’ll have builder’s warranty and minimal maintenance, which means it will be a low-stress property to lease.