Buying a house in Australia these days is difficult, especially with the inflation and pandemic. The cost is overwhelming aside from the number of places available in the buyer’s selected area. Most people find the home of their dreams, only to be crushed when it is way over the budget.
That is where the house and land package become helpful. It allows aspiring homeowners to afford a traditional home at a lower price. To know more, here are the benefits of house and land packages.
1. Cost-Effective On Stamp Duty
One of the main advantages of purchasing a house and land package is the cost-saving on stamp saving on the land. The owner will only be required to pay for the value of the land when buying an existing house, where the person will also have to pay for the home.
According to the New South Wales Stamp Duty, this is equivalent to saving over $10,000 in building a house worth around $350,000.
2. Economical
Buying an existing house is often more expensive, especially with the features addedthe previous owners. When it comes to a home and land package, it may be cheaper to purchase due to the owner’s ability to budget the construction.
Existing houses take a longer time to settle in because they may carry a higher interest rate depending on the housing market’s status. You may save more on a house and land package if you acquire one with a fixed value and no hidden extra fees.
3. Convenient
Another benefit of purchasing a house and land package is the more straightforward process during the purchase. Typically, the buyer will have to work with different people, and there are several stages of construction and acquisition. Some project developers even have dedicated people and contractors to help with the paperwork and construction.
Of course, the buyer will still have to approve the home’s design, deal with the bank for financing, and select the furnishings, and it will be much easier to build a home from a house and land package.
4. Avoids Risks Of Unexpected Repairs
One thing about an existing home is the damages and structure problems hidden and undisclosedprevious owners. Some may appear even after the initial inspection, resulting in unexpected renovations. This may cost a couple of thousands if the damage is severe.
Upon purchasing a house and land package, all finishes, fixtures, and structures are all new and still have warranties. Before moving in, there won’t be any leaks in the roof, deteriorating infrastructure, or electrical issues.
5. Personalized Design
House and land packages allow homeowners to build their dream homes from scratch. When people buy an existing home, they will have to work with what they are given unless they choose to renovate the whole place. Usually, they can only reflect their taste on the furniture and decorations, but that is not the case with house and land packages.
In this option, the buyer can personalize every home structure, down from the doorway, cabinets, and flooring to wall designs, fixtures, and more. There is a space for customization to fully infuse the home with the owner’s personality and taste in interior design and landscaping.
6. Manage The Budget
The house and land package gives the owner total control in the construction and development of different house parts. They will work with a developer and build a home from there. They can make a more affordable version of their dream house with parts and items that suit their initial budget for the construction.
7. Take Advantage Of An Emerging Market
Most house and land packages can be purchased in emerging suburbs with fewer people. This might look unideal at first, but the starting cost of the house and land are cheaper than those in big villages and suburban areas. The homebuyer can take advantage of that and leverage the growing suburb for potential land value increase over time.
8. Delayed Payments
When buying an existing home upfront, the buyers must pay the settlement cost before the turnover. The house and land package don’t require settlement payments after the 10% deposit. This opens a space for saving up, so there will be more equity in the property from the date of occupation.
Conclusion
Owning a home should not be a privilege but something anyone can avail especially when starting a new life somewhere. The house and land package is an ideal option for creating families, but many may still be wary if this will work best for them, especially if they don’t exactly know its inner workings.
For first-time home buyers, the advantages house and land packages offer are an excellent way to invest for the future. It provides more flexible contracts and repayments. As the first-time property owner, the buyer can also appreciate the home more because it will feel more personal.
