The road to first homeownership can be fraught. Every weekend first-time buyers hit the round of OFI’s hoping that this will be the weekend when the endless search can end, and the living begins.
What is making this search harder still, is the fact that the last decade has seen the Greater Sydney region experience a population blow out of over 750,000, yet the number of detached houses has dropped dramatically.
This is where the advantages of a house and land package can truly be appreciated. Many first time buyers are apprehensive of house and land packages. They may believe the luxury of a pristine new home will be out of their budget or situated in a distant, barren wasteland – these fallacies couldn’t be further from the truth.
The fact is, stunning new house and land packages may just be the affordable entry into the market you have been looking for.
Government Grants
It is common knowledge that the NSW Government offers incentives such as grants and concessions to first home buyers for the purchase of new homes. What is less clear is how much exactly these benefit first home buyers, what the limits are and what the eligibility criteria involve.
Let’s take a look at the current offers to FHBs in NSW:
- Grant of $10,000 offered for a house and land package purchase not exceeding $750,000
- Stamp duty will only be levied on the value of the vacant block. Eligible FHBs may receive further stamp duty concessions dependant on that value.
This shows that first home buyers can save themselves many thousands of dollars, along with receiving substantial financial recompense when purchasing a house and land package. To find out what is available in your state or territory, ask your lender about current state government incentives.
Flexibility
Another attractive feature of house and land packages is that they allow first home buyers to contribute to the build, saving them money. As an example, window treatments, paint or landscaping can be packaged up as part of the build process or you may wish to DIY these areas to save money. This may allow you to finish these areas gradually as your budget permits.
No hidden costs = No budget blowouts
Unlike other house building options, a house and land package is a fixed price purchase. This means a predictable cost outlay – no surprises and no blowouts. As anyone who has built a custom home can confirm, building a bespoke home risks a myriad of unforeseen issues including those surrounding architectural fees, easements, connections, land slope, soil issues or planning and council approvals.
House and land packages offer the convenience of requiring a small deposit and then staggered payments enabling buyers to control their finances more easily.
Tailoring
Building and honing the house of your dreams, means you get to live in a house which reflects your unique personality, tastes and lifestyle – not someone else’s. Most builders offer a wide range of floor plans and innovative design features, with one sure to inspire and excite your imagination.
Most builders will offer the opportunity to customise a huge range of components to create the ideal home. These include:
- Fittings
- Fixtures
- Facades
- Finishes
Be sure to check what counts as a standard inclusion and what is extra. Often the display homes will show a lot of extras.
Infrastructure
Whether you are a young family looking for your first home or a single professional taking your first foray into the property market, infrastructure is a crucial factor in creating a comfortable lifestyle. Prioritise areas with strong transportation options, shopping facilities, educational institutions and medical clinics.
