With interest rates at an all-time low and huge government grants being offered, there’s never been a better time to save money on a new home. But low interest rates and government incentives are just the tip of the iceberg. There are plenty more opportunities to cut costs before and during the building process.
If you’re borrowing money from a bank to build your new home, remember you’ll be responsible for your loan repayments plus your rent at the same time. Doubling up on this repayment for the length of your build can put a lot of stress on your finances. So, what are your alternatives?
Let’s take a closer look at the best ways you can save when building a new home.
Financing your new home
Before you even think about building your house, you’ll need a finance solution. It’s natural to think that the bank is your first option, however, before you commit, take a look at all the alternatives. That includes financing through a broker. Quite often, a broker can source a home loan with your best interest in mind. Blueprint Homes’ in-house finance team ‘InReach Finance’ has long been assisting new homeowners with their new home finance.
While your new home is being built, you’ll have periodical payments to make. These costs will increase as the build progresses. Add to that your block of land repayments, existing rent or mortgage payments and you can see how it starts to add up.
Blueprint Homes knows how important it is to manage your finances during the building process. Being able to save that money and not put yourself under a huge financial strain is a welcome relief for many new home buyers.
Choosing land for your new home
If you’re planning to purchase a block of land separately, (not a house and land package) make sure you research what site preparation is needed. If the block is on a slope, has an odd shape or will require retaining walls, this will all add to your existing costs.
A good way to ensure your costs stay down is to look at house and land packages. With this method, the house has been designed to fit the block, so you won’t be up for any surprise site costs. Alternatively, you can look at new estate releases. Most of these blocks are designed for modern homes and won’t require extensive site preparation.
Stick to the floor plan
New home builders offer a range of floor plans to choose from. These floor plans are designed by architects who understand what Perth residents love – an open plan design with indoor/outdoor living. Builders like Blueprint Homes will even let you make minor changes before you build. If you visit a display home and love everything except for one room, talk to your consultant and see how they can help.
If you choose to design your home from scratch, you’ll be up for a range of extra costs and your architect will still need to design a home to suit the block. In the end, you may find you’re better off sticking with the home builder’s plans. You’ll get a home that fits the block without the added cost.
How long will your new home take to build?
The speed of building your new home is often overlooked by customers, but it’s extremely important. A long build can really add to your costs, while a quick build can save you money. Of course, you’ll be excited to move into a new home as soon as possible, but if you find out that moving in sooner is saving you money – even better.
So, how does a quicker build save you money? Basically, the quicker you move in the less time you’re paying another mortgage or rent. Even if it’s only a few weeks, the money you save could go to new furniture or electrical goods. If you find a builder that has the home you like and can build it quicker than another builder, it’s a good cost-saving move.
It’s always nice to move into a finished home – you don’t want to be spending huge amounts after handover. Luckily, builders like Blueprint Homes offer a lot of inclusions and even have a ‘fully finished’ option so that you can move into a complete home from day one.
To find out how you can get into the home of your dreams for less, contact the team at Blueprint Homes.