If you’re a home buyer or investor in Australia, you’re most likely aware of all the various property choices available in today’s property market. With a growing population and vacant land becoming harder to find, it may seem like an unattainable goal to build the house of your dreams. Thankfully, this is where a house and land package can offer a desirable alternative.
Why choose a house and land package?
If you prefer to buy a property brand new or build your own home, then you might find a house and land package is suitable for you. House and land packages are usually built as part of a master-planned house and land estate, offering a variety of land-size and house design options. This type of estate-style living can be a great option for first home buyers or those looking for a cheaper way to build their dream home on a chosen vacant block of land. If you’re still undecided, here are five reasons why a house and land package should be considered if you have goals of buying and building your own home.
1. Less cost
Buying a house and land package can be a cost-effective solution. Big savings can be made on these types of home packages, since everything about the construction process is streamlined, with many property agents or developers offering competitive prices and package deals. As long as construction has not yet commenced on your new home, you will only have to pay stamp duty on the land component of your purchase. Also, if you’re a first home buyer, you will benefit from the First Home Owner Grant.
2. Minimum inclusions or everything
Another great aspect of house and land packages is that you can choose to move into your new home with minimum inclusions or have the whole house move-in ready. A turnkey house and land package means that you have all the modern inclusions in your home, including a cooktop and oven, taps and toilets, a water heater, driveways and fences. This option to choose your block and design makes it a highly attractive option since you can customise to suit your budget or investment goals. As an investor, you also have that ability to think about your ideal tenant and choose a package that would appeal to them.
3. Grants and deductions
If you are buying a property as a first home buyer, you’ll be pleased to know that house and land packages are included in the First Home Buyers Grant. Depending on what state of Australia you live in, you can receive anywhere from between $10,000 to $26,000. In Western Australia, first home buyers are granted $10,000. Investors may also be able to claim a tax deduction as newly built properties depreciate at a faster rate than older properties. In a new home, tax deductions can be claimed for depreciable assets such as the construction cost of the building, as well as its fixtures and fittings.
4. Stamp duty savings
Another benefit of purchasing a house and land package is the stamp duty savings. Since you are building a new house, you only have to pay stamp duty on the value of the land component rather than the house and land components. On a typical house and land package of $450,000, you will save around $8,000 in stamp duty.
When you purchase a house and land package, you can choose the most suitable block and also customise your house design. You are able to choose your block of land, the builder and also the type of facade you most like or require. You may also have the option to choose the interior colour scheme and the appliances, as well as all fittings and fixtures. Building your own home will give you more choice in terms of design and customisation options as opposed to a ready-built property.
Your house and land specialist will show you a range of customisable home designs that you can choose from with the option to also add on extras. Keep in mind that any added extras or upgrades from the standard specification may increase the cost of your new home. Also, some packages may not include landscaping, driveways or fencing.
Taking a house and land package into consideration
A house and land package is an option for anyone with a dream of building their own home on their own block of land. This option is a cost and time-effective alternative to buying an existing home or apartment, and gives you the flexibility to customise and personalise your home as you see fit.
A Endeavour Homes House and Land Package gives you the ability to tailor a house and land package to suit your budget and lifestyle needs. Start building your dream home today and find out how you can create your own custom house and land package by choosing a builder you can trust.