8 Jul 2014
There is something special about building a new home, and with new home building set to record significant increases across Australia this year, perceptions that it’s too difficult to build appear to have shifted.
When you buy a home, it’s usually the land that increases over time, not the building. A decade ago land represented approximately one third of the value of the average new house and land package.
Today, land typically represents more than half the total cost. Whilst all land has value, some blocks are certainly worth substantially more than others. Here are some things to consider before you buy land to build on.
- Scarcity – The scarcity of land is generally determined by geographic features such as how near a river, lake, ocean, hills or unique developments you are. The fewer properties that are available the greater the demand and the higher the price they can likely command.
- Size – Every square metre of land has a value. So the bigger the land size in any given area and circumstances like view, the higher the market value.
- Location – Location has always been the key to capital growth in real estate. A good location can be qualified in many ways. What you should consider about location in any suburb or anywhere in the country, is the convenience and lifestyle that most closely meets your needs and requirements. It’s also a good idea to consider the needs of future buyers if you plan to sell further down the track. A block located in a quiet street, close to park lands, public transport, health services, education, recreation and shopping is going to appeal to many future home buyers, and the benefits that these features offer will represent a value that they are willing to pay for in the long term.
If you’re currently considering purchasing land in the area, why not have a look at what’s currently available? Click here to see what land we have for sale.