How much will my home cost?

Knowing how much a new house will cost can be like trying to figure out the weather – sure they say it’s looking like sunshine, but actually there’s a storm brewing right around the corner.

With potential hidden costs and the fees you may not know about, it’s become increasingly difficult to nail down a house budget, especially for first-time home builders. Here’s everything you need to know about the costs of building a house in Bundaberg, and an estimate of what it might cost you.

Location, location, location

The first thing to consider when building a new home is where you want to build. Suburbs only a short drive away from one other can have vastly different price points – we’re talking hundreds of thousands, even just for the initial land purchase. It’s worth looking around to compare prices of neighbouring suburbs and homing in on your ideal location.

Start by picking the wider region you want to build in, such as Bundaberg. Then look at narrowing it down – do you want to build in Bargara or Gooburrum? Maybe in Elliot Heads or by the river at Sharon? Perhaps you want to go further afield, or maybe you don’t mind? Have a look around, see the suburbs you like most, and do some research on the median house price for your area. Even better, see which houses have recently been built in the area, and try to find out their cost. This will give you a great starting point for the price you can expect for the area.

House and land or house then land?

When it comes to actual house costs, a big factor is the cost of your land, and how this compares to the cost of the build itself. There are a number of options for buying land, including pre-purchasing land before building, buying a house and land package, or buying a new home that is currently being, or about to be, built.

Pre-purchasing your land is a good way to secure a block in your preferred suburb, and also means you can begin to pay off your land while you decide on your house. In Bundaberg, land is going for anywhere between $70,000 and $400,000 for a standard-sized block. However, if you have not contacted a builder, it can be difficult to know what the final cost of your house will be. Alternatively, buying a house and land package or buying a new home will give you a better idea of all your costs upfront – but depending on the builder, this can mean incurring a higher cost for your home.

On-plan or off-plan?

Once you have decided on your location and land costs, it’s time to decide on your house plan. Bundaberg builders offer a range of pre-designed plans ready for you to build, which are usually the most affordable option for building a new home.

Most plans can be customised to suit your needs, but remember that with some builders changes to your plan may incur an additional cost. Customisations can, at times, increase the price but this could be worth it to build the house of your dreams. If you want a highly customised house, custom house plans could be for you. These homes can cost a little more to build but will allow you complete control of how you want your home to look.

Fittings, fixtures, and optional extras

The next thing to consider in your budget is fit-outs and optional extras. Generally speaking, the initial price your builder provides may not include things such as flooring, cabinetry and fixtures. Even “ready to live” pricing can be misleading as such packages rarely include driveways, landscaping, and optional extras such as air conditioning.

When making your house budget, be sure to check your builders inclusion list thoroughly and include a contingency in your budget for these extras that make a house a home. Keep in mind that your options may be limited too – your builder is likely to have thousands of options for door handles, light fixtures, and paint colours, but only a handful of these may be available at the initial price point.

Government incentives

Once you have put together the price of your land, basic building costs, and final inclusions you could find yourself anywhere between $300,000 and $1 million, with a current median house price of $308,000 in Bundaberg. While this means coming up with a deposit of at least $30,000, remember that this can be offset by government incentives such as the Queensland First Home Owner Grant, which awards $15,000 to first-time home builders.

Keep in mind that up-front costs to build usually cost around $6,000 – but with the First Home Owner Grant you’ll need $20,000+ of your own money to cover your deposit and up-front costs, rather than $36,000+.

Understanding the costs of building a new house can be difficult, especially if you’re building a home for the first time. If you want to know more about the potential costs of your dream home, contact us for a hassle-free consultation, where we’ll go over house plans, customisations, and other options available to you, to give you peace of mind on how much a house really costs in Bundaberg.