07 June 2016 Pros and cons of building a new home There is obvious appeal in building a new home over buying an established dwelling. A new home is exactly that – “NEW”. They often come with more features, you are able to choose the fittings, fixtures and finishes to suit your style and they come with building warranties. Whilst a house and land package is an attractive option for first home buyers wanting to get into their dream home, there are many things to consider when determining whether it’s right for you. Pros Freedom to choose the design and features of your home. Peace of mind that you will be the first to live in the brand new property. New houses often come with warranties which do not come with established properties. The modern design of a brand new house can be aesthetically pleasing and removes the need to hire an architect or draftsperson to design the house from scratch. Relative to median house prices in capital cities, the package price can be an attractive option if buyers are willing to live further out on the city fringe. Depending on the criteria set out by each State or Territory, some first home buyers may be able to benefit from stamp duty discounts and/or access a First Home Owner Grant. For information specific to your situation, visit https://www.firsthome.gov.au Cons Finding a more affordable house and land package often requires buyers to live further away from the city in places which may not yet have much public transport, amenities, schools, shopping centres, etc… By thoroughly researching the suburb first, you can decide if it is right for you in the long term. Building a new home can be a lengthy process - it is not uncommon for a build to take up to 12 months. Buyers would require somewhere else to live for the duration of the build while still being able to afford any payments related to the build. New house and land packages can often come on smaller block sizes which should be a consideration. There can be unforseen costs such as wet weather delays or adding additional features later such as landscaping, fences, driveways. However, some builders offer fixed price packages. Before signing any agreements, it is important to understand exactly what will be included in the package, what the final costs will be and whether there could potentially be any additional costs. Doing thorough research beforehand and shopping around with various builders will help to manage your expectations.