Choosing to buy a house is an exciting life milestone, and can often be met with a multitude of decisions, one of which is whether you should build or buy. As there are great advantages to both options, it can be a difficult choice to make. We’ve put together some common questions you should ask yourself when deciding whether to build or buy your home.
What am I using the house for?
Before you embark on the decision-making process about building or buying, confirming what your new home will actually be used for is really important. Is it going to be an investment property or your own home? Are you living in it for life, or just for a few years? Each answer will bring about a different outcome. Building a home from scratch is exciting and creative, however, it does take more time than buying a home that’s already built. If you’re keen to invest and get on the property ladder quickly, then buying might be the way to go, however, if you are looking for a home for life, you might prefer to take the time and build so you can get everything exactly as you desire.
What’s my budget?
After you establish the purpose of your new home, the next question to ask yourself is: how much am I willing to spend? Like any significant purchase, finding ways to cut costs is always helpful, and stamp duty is a point of difference between buying and building. When you buy an existing home, you are liable for stamp duty, which is calculated as a percentage of the home’s value.
However, if you purchase a house and land package that you intend to build on, you only pay stamp duty on the land itself. Building a home may initially seem more expensive, but there are also ways to work with your contractor to reduce costs, such as having input on what materials you choose to use.
Where do I want my home to be located?
If it’s an investment property, location will be a big factor, and suburbs that are forecasted to have increased property value may be where you’ll need to buy. Due to lack of space and high demand, however, you may be unable to purchase land in these more popular suburbs, so buying an existing house might be the more favourable option. If it’s a home for life, location will also play an important, but different role, as you may be looking for a home further from a city that’s close to good schools and parks. In that instance, purchasing a house and land package and building your own home might be the better choice.
What features do I want my home to have?
Building a house from the beginning means you’ll have the option to place modern and unique features into your new home. Always dreamed of an outdoor swimming pool and BBQ area? Your own balcony to watch the sunset? A walk-in wardrobe connected to a luxury bathroom? Depending on the size of your land and budget, almost anything you desire is achievable when you build your own home, all the way down to the type of floorboards you have. This is not the case when you buy a home that’s already built. It will pretty much come ‘as is’, and unless you want to do a lot of renovating, you may not get everything exactly to your taste.
Do I want creative control?
Sometimes deciding whether to build or buy comes down to how much control you want over your home’s development. If it’s an investment property, you might be happy to have it in a prime location where you’ll make some profit, and aren’t concerned about the home’s look and feel. However, if it’s a house you want as your permanent residence, you might want more of a say on its appearance. This is where building a home is an attractive option. You can have full oversight across the home’s layout, features, and fittings and tailor everything specifically to your taste, giving you a unique opportunity to create your dream home from scratch.
What maintenance is involved?
Newly built homes present the opportunity to have modern features as well as brand new appliances. With everything being ‘new’, it greatly reduces the risk of anything breaking, and if anything does, it’s likely they’ll still be within warranty for the first few years. Buying an existing home runs the risk that something could be faulty a month after you move in, paving the way for potential unexpected costs. A good workaround to avoid this happening can be purchasing a house and land package in places like Clyde North. There are packages available with the house already built. It will still be brand new, and there may be a few parts of the process that you can have input in, versus buying a home that’s a few years old.
How important is energy efficiency?
Depending on how important energy efficiency is to you, it may impact your decision to buy or build. As we’ve mentioned, a newly built house can have all the latest technology and smart home appliances. These are trendy features that are a great addition to a modern home, but they are also time-saving, and more importantly, cost-saving. The more energy-efficient your appliances are, the less your bills will be.
To avoid appliances that may potentially break in an older home, or contribute to hefty bills, it might be worth weighing up the pros and cons between building or budgeting for new appliances in an older, established home. If you choose a house and land package with the house already built, you also have the opportunity to bring new appliances into the home.
If you’re interested in a house and land package in Clyde North visit perchclydenorth.com.au
