House & Land Package, Standard vs Turnkey

Hi Guys,

I am planning to build a house myself in Adelaide but I heard some horror stories buying House & Land package.

I am wondering if there is a checklist which I can use as a guide in House & Land contract to make sure I don't have surprise costs?

And is turnkey package really zero hidden cost?

Or anyone can recommend a builder in Adelaide? I noticed some builders are always cheaper but I guess the quality will be "cheaper" too?

Thank you in advance!

 

Ask questions and ensure all answers are in writing (in the contract or elsewhere). Many H&L contracts get complaints because the nice display home looks nothing like yours. It has high end specs + finishes, wider rooms, taller ceilings, bricks, tiles, pergola and so on etc

When we bought our home as a H&L package we only had to pay for a TV antenna. The house was wired up for it however. All other items were included eg carpet, blinds, AC, alarms, appliances etc. We upgraded the carpet and some extra tiling through the house rather than in foyer and kitchen. Other buyers find they sign up for a finished shell. We found the process easy and had no issues. People who contract individual builds often have issues.

Many larger project builders will do small dev and sell them as completed packages. Often they select the land and build a whole street. They wont often do it for one off builds. And they often sell direct - No agents etc So they are harder to find.

McDonald Jones,. Metricon, Sterling etc seem to do these builds in Adelaide (???). A exhibition village may be a start point. Will it cost more than a blank home ? Yes. But not much more. And your lender may lend on the finished price v's its "value" under a land + build loan.

 

Hello mate, one of my friends who is over here in Perth specialise in putting house and land packages together for clients. His one of the best guys here. Did you want an introduction and he can guide you for what to look out for, since there is no conflict of interest ?

 

I am more than happy if he want to help me.

 

As with any contract, at the end of the day you will get what is specified in the contract, regardless of what the salesman may tell you.

As said, be very careful if you inspect a display home. The home on display will bear little resemblance what the “basic” price quoted includes. So many things you may think are standard may be extras, from the number of power points to the drawers in the built in wardrobe.

And, given the large amount of money involved, ensure you understand fully what you are signing. Legal advice may be money well spent.
Marg

 

Hi Arn. I would like that contact if you don’t mind? I am thinking of a house and land package in Adelaide as an investment

 

Hi Paul,
Good point. Would it also varies when i comes to apply stamp duty? I mean under land+build, stamp duty only applies on land component.What about finished priced turnkey projects?

Cheers

 

Depends on the contract. A building contract isnt dutiable. A land contract is. A house and land spec build is dutiable. But so is buying a 60 year old house and land.