How Much Does it Cost to Build a Home in Perth?

December 20, 2019

While there’s no simple answer to the question of how much it costs to build a new home in Australia, there are some things you need to consider before jumping into the planning process. This is because while the overall cost of building can change between states and even between cities, the same elements need to be taken into account, no matter where you’re choosing to build your dream home.

The average cost of building a home in Australia

According to the Australian Bureau of Statistics, the average cost of building a home in Australia is approximately $1270 per square metre. The average house cost $313,800. What’s problematic with this figure though is that it does not include the design or planning process, any permits that are required or factor in any site works required.

While a house and land package with a residential home builder can save you money, averaging at around $1600 per square metre, the cost of building an architecturally-designed home can rise to more than $5000 per square metre. Of course, these figures can fluctuate greatly when looking at the finishings and trimmings chosen.

Elements you need to take into account include:

  • Size of the property
  • Type and quality of materials used
  • Site considerations such as sloped land
  • Design of the house
  • The builder or building company you choose
  • Building cost of your particular state

Cost of building a home in Perth

When it comes to understanding the cost of building a home in Perth, there are four main elements to consider.

1. The cost of the land

The cost of the land is the first thing you need to consider and it largely depends on where you choose to live. Quite obviously, the closer you are to the city, or the closer you are to natural features such as beaches or rivers, the more expensive land will be. If you’re looking to spend a little less on your land, head to the outer suburbs.

Of course, the choice of suburb can also have a large impact on how much your land ends up costing with the more desirable suburbs being more expensive. Key to keep in mind is that while you can opt for a lower-priced block of land in a less desirable suburb to save money, these areas generally don’t appreciate in value as much as the more in-demand areas.

2. The cost of the home

When looking at the overall budget for your home, one of the most important things to take into account is whether you’ll be living in the property or using it as an investment. If it’s the former, you’ll want to pick and choose things a lot more carefully. However, if it’s an investment property, the more neutral, the better, meaning you don’t necessarily have to spend as much on it.

When building a home for you and your family, you need to think carefully about your choices and how these may impact the bottom dollar. Think about what features are absolutely necessary and what are simply ‘nice to have’. Necessary features may include the number of bedrooms you require, how many living spaces you need and what kind of outdoor area you want. Other factors that will consider the cost of the home is the size – how many storeys do you need?

Of course, you also need to carefully consider the builder or construction company you choose to take the project, as not all builders are created equal. Remember, cheap is not always good. You want to invest in your home so finding the builder who will do the best job at the best possible price should be prioritised over saving money.

3. The cost of any site works required

It’s rare that a piece of land will be absolutely perfect when you purchase it. Often, it will require some level of site works before you can start building. This will include:

  • Site preparations especially if the land is sloping or uneven
  • Connecting services
  • A survey of the land
  • Driveways and footpaths correction or construction

The cost of the site works will change depending on where your block of land is located and what type of land it is. For example, if you’re building close to the ocean, or in a heavy clay or rock area, site works costs will probably be higher than average.

4. The cost of finishings

There are some things that may be included in the cost of your home build and others that are extra. It’s important to iron these out before construction starts so you can ensure your budget stays on track. It’s also important to remember that if you choose high-end finishings, things are going to be pricier.

Finishings such as floor coverings, fancy tapware, internal wall-painting, lighting, window coverings and add-ons such as air conditioning are likely to be considered extras. This is because there are so many options you can choose from. Prices will also rise if you choose custom-designed features.

Why build when you can buy?

There are a lot of elements to consider when building a home. So much so that many people question why you would choose to build when you can simply buy an existing home and save yourself loads of stress.

The most obvious reason to build rather than buy is that you are custom-designing and building a home for you and your family. As long as you do your research and your homework, and stick to your budget, you’ll be happier in the long-run, despite any added stress you may encounter along the way. There’s nothing quite like moving into a home where you have picked and chosen every single detail, from the taps to the cushions and everything in between.


Gemmill Homes has recently changed its name to Endeavour Homes!!!

We are excited with the new name Endeavour Homes, business has been great for our customers and us last year, despite all the craziness of 2020.

Here are some wins:

1. Every one of our display homes won MBA awards in their categories.

2. One of our homes even won an MBA best home in Australia.

3. Most importantly, we have built some beautiful homes for our clients.

Why the name change you may ask?

Here are the two main reasons:

1. We reinvented the way we help clients and have a new way to provide better service, better quality and happier clients than ever before. We want to celebrate these changes with our new name.

2. We want to align the business name to our sister brand Endeavour Constructions as the business has been owned by the same family since our inception in 2004.

Anyway, enough about us…now it’s your turn, have a look around our website and see how we can help you.

All the best the Endeavour Homes Team