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Do you know why it's more expensive to build a new home in a built up area, rather than in a land estate?
Here's a few reasons we have found from talking with builders in Australia.
Why a new build is more affordable in a land estate
Inner city areas have more limitations with site access, deliveries and traffic issues. The builder will have to assess your build location to determine if there are any issues that will arise during construction and there may be extra costs involved, especially if permits are required.
In estate areas there's likely to be multiple builds and trades in the same area so they can easily go from one job to another. This can reduce the time for multiple jobs to be finished and having local trades is a big advantage. Although a builder may travel to your location it's best to use a builder that is frequently building in your area.
Difficult soil conditions, drainage issues, and any slope on the site can all affect the overall site cost. Majority of land estates are prepared so there are minimal site costs involved. There are some exceptions, especially with estates in sloping areas.
Source: Building on sloping block
Most estate blocks suit standard size plans. If a standard plan doesn't fit then a custom plan needs to be designed.
There are less builders competing in the inner-city suburbs to have the 'cheapest' pricing. With more competition in land estates, builders frequently offer specials to stand out from the crowd.
Source: Sherridon Homes
Choosing the best suited new home builderAt homeshelf we spend a lot of time talking with builders, discovering their particular strengths and what point of difference they can offer.
Some specialize in knockdown rebuilds, modern, contemporary or classic designs, custom plans for an irregular block or inner city block, sloping block split level plans, affordable house & land packages in land estates or turnkey pricing.
We then use this info to help arrange the best-suited builders to suit your unique requirements for your upcoming build.