What to Know Before Buying a New Build Home
Buying a new build home can be an exciting step—whether you’re a first-time buyer or an experienced homeowner. New builds offer a number of advantages, from energy efficiency to lower maintenance costs, but it’s important to be informed before you make the leap. Here’s what you need to know before purchasing a new build property.
The Benefits of Buying New
There are plenty of reasons why new build homes are becoming increasingly popular. New build homes are built to modern standards with better insulation, double-glazed windows, and energy-efficient systems, which can lead to lower utility bills. New builds also modernised designs, from open-plan layouts to smart home features, new builds are designed with contemporary living in mind. Unlike older properties, new builds come with warranties and guarantees, which reduce repair and maintenance costs in the early years. Many builders have customisation options but this could depend on the stage of the build, you may be able to choose finishes, layouts, and fixtures to suit your style and needs.
Do Your Research on Developers
Not all developers are created equal. Take the time to visit previous developments by the builder and developer to assess quality, style etc., and check online reviews and local forums. Confirm the developer’s financial stability and track record, and understand the terms of your contract, especially for off-the-plan purchases where delays are more common.
Understand the Financial Side
Before falling in love with a new build get Pre-Approved. Speak to your financial institution about how much you can borrow and what deposit is required (typically 10% for new builds) and what LVR (Loan to Value Ratio) the financial institution will allow. You should also know what your potential budget is so factor in unseen costs like lawyers’ fees, landscaping, and moving costs. In some cases, unexpected delays could potentially come at a cost, so prepare for that. These delays could be weather, material shortages, delivery delays and other unexpected issues can delay construction timelines, so build some flexibility into your plans.
Choose the Right Location
Location remains one of the most important factors in property investment. Think about your commute times and public transport options, distance to work and all the closest amenities you’ll need like schools, parks, and shops and what your lifestyle needs are now and in the future. Also consider what future development plans there are in the area.
Design With the Future in Mind
While it’s important to design a home that suits your current lifestyle, don’t forget about long-term needs and resale value. Avoid overly personalised designs that may limit future buyers and make practical choices about floor plans and room sizes. Also, be mindful of “dead space”; areas that aren’t functional or well used.
Stay Involved During the Build
Regular communication with your builder is crucial, so schedule onsite visits to monitor progress. Ask questions and raise concerns early, and keep records of any agreed changes or updates.
The Long-Term Value
New build homes can be a great investment, particularly if you plan to stay in the property for several years. With minimal maintenance in the early stages and lower running costs, they often provide solid value for money compared to older homes that may require significant repairs.
Final Thoughts
Buying a new build home can be one of the most rewarding decisions you’ll make, especially if you approach it with research, planning, and a clear understanding of your goals. By considering both the short-term benefits and long-term implications, you’ll be well-positioned to make a smart investment.