Is it cheaper to build or buy a house in Melbourne?
Is it cheaper to build or buy a house in Melbourne? Both options come with their own sets of pros and cons, so it ultimately depends on your unique circumstances and requirements.
Buying a home in Melbourne comes with the added security
Buying a home in Melbourne comes with the added security of an established property as you can be sure that it has been built to Australian Standard and is approved for living. You also have access to any applicable warranties, such as structural, plumbing, and electrical warranties. Additionally, an already existing house would likely have been built to the same standards as any newly built home, and is likely to have less expensive maintenance costs.
Negotiate the Purchase Price
One of the biggest benefits of buying a house in Melbourne is that you know the purchase price upfront. This allows you to plan your budget and make sure that you can afford the home before committing to it. Additionally, if the existing owner has used quality materials and fittings throughout, you don’t need to worry about paying for costly renovations or repairs.
You’ll also have ready access to all amenities such as pools, playgrounds, restaurants, etc. However, you may end up paying a premium if buying in an established suburb or neighborhood, and you’ll also likely need to make some renovations or repairs to bring the home up to date.
Building a custom home in Melbourne
On the other hand, building a custom home in Melbourne can offer you more flexibility and control over your new property from start to finish. You get to choose everything, including the design, floorplan, fixtures and fittings, as well as specifying energy efficient features and sustainable options that will help you save money in the long run.
You can also opt for alternate building materials and techniques, such as modular or prefabricated homes which are generally much faster and cheaper to build than traditional brick-and-mortar homes. Plus, if you’re looking for something unique like a French provincial home or modern home that fits your specific lifestyle needs and wants, then building a custom home could be the right choice for you.
The hidden costs of building a house in Melbourne
Building your own home can still come with its own set of expenses, such as obtaining permits and council approvals, hiring architects or drafts people to design the plans and oversee construction, (unless you are engaging a design and build builder) plus all the additional costs associated with building a new property, such as soil testing and excavation.
These hidden costs can add up quickly, so it’s important to factor them into your budget when considering whether to build or buy. Additionally, you will need to consider the length of time that it will take to complete the build and if there are any delays due to unexpected building problems or weather.
Control the design with a custom home
Building a custom house in Melbourne has its own advantages. You have more control over the design of the property, meaning you can pick a layout and features that meet your exact needs. You don’t need to worry about renovations, as everything is built to your specifications. The upfront cost of building a house will be higher, however there can be certain tax savings that may offset the initial cost.
However, building a custom home in Melbourne may be more cost effective, depending on your individual needs and budget. Knockingdown and building new means you can tailor it exactly to your lifestyle and make sure that all components are modern, safe, and up to code. You also have the peace of mind knowing that any warranties offered by your builder will cover your home for years to come.
When it comes to deciding whether you should build or buy a house in Melbourne, the decision will ultimately depend on your individual needs and budget. If you’re looking for something unique, then building a custom home could be the right choice for you, however if time is of the essence and you’re on a tight budget then buying an existing property might be more practical.
No matter what choice you make, it’s important to do your research first and ensure that your decision is well-informed and the best choice for you. If you want some help, please don't hesitate to contact Carmel Homes.
Good luck with your housing journey!