House And Land Packages: Are They Worth It?

At Elephant Advisory, we specialise in helping our clients secure the funding they need to build the home of their dreams. Once your construction loan is approved, we will coordinate the settlement and confirmation to your builder. As your builder starts the build, they will request invoices in accordance with the building contract’s progress payment schedule. We are here to help manage these payments from the bank to the builder throughout the entire process, including any variations or issues that may arise. We arrange home and land package finance and construction loans across 50+ lenders, from your first pre-approval through to the final progress payment at completion.
Working with trusted networks such as the Real Estate Investors Network reduces the risk by partnering with vetted builders. To explore how these investment strategies fit within your financial goals, browse our Services page. The state of the rental market and tenant preferences in new First Home Buyer Loans Australia estates should be taken into account by investors. Properties in master-planned communities frequently draw high-caliber renters who are prepared to spend more for contemporary conveniences. Timelines for construction can be impacted by labor shortages, weather, and material availability.

If you have purchased land with a land loan and then need more money to fund the building of your home, you will need a separate construction loan. Discover a world of possibilities with our exceptional new house and land packages, stunning apartments, charming townhouses, and so much more. Our team of experts is here to guide you every step of the way, ensuring you find the perfect place to call home. Whether you're looking for a cozy nest or a spacious family haven, we've got you covered.
Although the master-planned community setting is appealing to many families, it does not have the established facilities and personality of older suburbs. When people move in, retail malls, schools, and transportation connections might not have been built yet. We’ll walk you through your options, explain everything in plain language, and help you make the most of what’s available to you. Perhaps opt for a floorplan that will make the property more appealing to renters, such as an extra bedroom or multi-purpose rooms that could cater for different living setups. Putting yourself in a prospective tenant’s shoes and considering their requirements or what might attract them to your property could pay dividends when it comes to maximising returns and retaining good tenants.
Contact Building Loans Australia today, and we’ll help you strategise your house and land package. We’ll help you access grants where they are applicable, and source the best loan for your individual situation and requirements. We may even be able to use grants that are available to you as the deposit you need to secure your loan. When the builder has started construction, progress payments will be requested. This simply means that you will be liable to draw on your financing and pay for work in line with a contract of structured payments as different phases of the build are completed. Access home loan options from banks and lenders across Australia by working with a mortgage broker who can search hundreds of products on your behalf.

Either option you choose, it’s vital to check out different lenders to find the best rates. Talk to different lenders and compare their rates so you can  get a good deal. Finding the right block isn’t always straightforward – size, shape and location are just some of the things you’ll need to consider. In this post, we examine what to look for when buying a block of land. Important informationThe information in this article is general in nature and has been prepared without taking into account your personal objectives, financial situation or needs.
Read on for the key benefits and options to see if a house and land package aligns with your vision. You’ve probably seen the advertisements for cheap house and land packages. Most lenders that have good construction loans allow for Interest Only during the building phase. This enables you to only pay when each stage of your build is paid for. Once the property is completed, your loan will convert to the standard Principal & Interest loan. The build contract is an integral part of the process and will be reviewed by the lender.
With over 30 years' experience and more than 117 house and land packages to choose from, we make it easy to find a new home that suits your lifestyle and budget. Whether you're a first home buyer, upgrading to more space, or investing in your future, our packages are fixed-price, matched to the block, and backed by up to $80,000 in premium inclusions. As Australia's 3rd largest home builder, we've partnered with Melbourne's leading developers to bring you exclusive land opportunities across four key regions.

Consider a buyer purchasing a $600,000 package in the new estates around Marsden Park or Box Hill, where land might settle at $300,000 and the construction contract sits at $300,000. At land settlement, you're only paying interest on the land portion. As each stage of the build is completed and inspected, the lender releases the next draw. Your repayments increase with each draw, then convert to principal and interest once construction finishes and you move in. With a house and land package, your loan is drawn in stages through construction loan progress payments.
Generally, you can expect a house and land package to be completed within six to twelve months, starting from the time the land is purchased and the design is finalized and approved. However, if the builder is working with registered land, the timeline could be shorter, as many of the necessary land surveys and developer approvals may already be in place. At Home Group WA, our experienced sales consultants don't just focus on the new home design but also the land available in the buyer's chosen area. Home designs are matched to blocks of land to make the most of the space available and ensure they conform to all local guidelines, easements and covenants. With matched home and land designs, Home Group's house and land packages give new home buyers peace of mind in knowing the price for both upfront before they commit to buy. On the contract side, it’s made simpler because the finance is done together.

Selecting an ideal location within your price range requires careful consideration of council restrictions and future development potential. Research local council regulations thoroughly, as some areas have specific building requirements or heritage overlays that could affect your construction plans. Budgeting for these extras is crucial, as they can significantly impact your total project cost. Some lenders may accommodate these costs within your loan facility, while others may require separate financing arrangements. Lenders will assess your capacity to service both the construction loan and final mortgage. They'll also evaluate your builder's credentials and the project's feasibility within council regulations and local development restrictions.
Yes, house and land loans suit any kind of prospective home buyer from many different kinds of backgrounds, age groups and financial situations. When buying your first house, the more you know before you sign on the dotted line, the better. Buying your first home is one of the most exciting yet daunting milestones in life. As a first-time buyer, you may not have a lot of experience navigating the complex world of real estate. In my experience, these packages provide an excellent entry point into the property market, particularly for first-time buyers, by streamlining many aspects of the home-buying process. If you’re in the market for a new home in Australia, the idea of buying a house and land package might be a very tempting option.
Consulting with a mortgage broker like Melba Broker can provide valuable guidance throughout the process, ensuring  you make a  well-informed decision. Unlike buying an existing property, house and land packages allow buyers to customise their homes to suit their preferences and lifestyle. From floorplans to finishes, you have control over your home’s design. However, it is important to keep in mind that in order to get your finance pre-approvals in place, you may be required to pay the full amount upfront. If you don’t have enough deposit, you may have to defer the purchase until you have more deposit, though this will depend on your lender and the type of finance you are applying for.

We display all the loans on our database, but if you want to check your eligibility with our lender panel, simply hit ‘Compare now’ and we’ll do the work for you. If you have a 100% offset account, you could move any not-yet-spent construction money over to offset this, but some extra costs might apply. One potential downside is you’ll have to fully draw your home loan from the start.