As much of the country has ground to a standstill over the past few months, embarking on building a new home may sound irresponsible. However, COVID-19’s unprecedented impact has created something of a perfect storm for prospective homebuilders, who should be seriously considering capitalising on these unique economic conditions.
If you’ve been dreaming of building a new home in Sydney and want to get a head start on the market, don’t let this opportunity pass you by. Here are four big reasons why now is the right time to build!
1. HomeBuilder grants
Nothing will have more impact on the current building climate than the recently announced HomeBuilder stimulus. For those who aren’t up-to-date on the government’s latest initiative to kickstart the economy, we’ll fill you in – don’t worry, it’s all good news for you.
HomeBuilder will be managed by state governments, who will offer eligible owner-occupiers (including first home buyers) a grant of $25,000 to build a new home valued up to $750,000 or renovate an old one between $150,000 and $750,000. This grant is not available to owner builders or those looking to work on an investment property, and income caps do apply (you must earn below $125,000 p/a as a single and $200,000 as a couple).
Prospective new homebuilders would be well-advised to leap at this offer while it’s still available. At this stage, contracts must be signed before December 31. For more information on the grant and your eligibility, check out the Australian Government HomeBuilder Fact Sheet.
2. Get a head start on the paperwork
This may sound boring and perhaps a little idealistic, but it makes perfect sense. As one of the most time-consuming aspects of any build, getting a head start on the paperwork while you’re cooped up inside will ensure that you’re feeling prepared and confident when the first day rolls around.
Planning permits can take up to six months to process depending on your local council or project. Luckily, most councils are still processing permits, and due to the general slowdown of activities will likely be faster at reviewing and responding to your application. Take this opportunity to get the boring stuff out of the way and move one step closer to your dream home.
3. Lock-in lower costs
As the effects of the COVID-19 pandemic continue to be felt across different sectors, it’s difficult to predict exactly how supply chains will be affected in six months’ time. However, it is almost guaranteed that popular construction materials will become more difficult to import, consequently forcing builders to source from more expensive options.
Avoid driving up the price of your build by locking in a fixed price with suppliers now. Not only will this ensure you don’t blow up your budget, but it will also remove the risk of not being able to source the appropriate materials altogether. Sitting on the fence for much longer may mean compromising on your dream home or embarking on a much more expensive build – so take action while you can.
4. Take time to perfect your design
Once you’ve figured out plans and permits and locked in costs with your builder, it’s time to focus on the design. Obviously, this can be an incredibly time-consuming process but it’s crucial to get right, so it makes sense to get started on it a time where everyone’s lives have quietened down.
The pre-construction design process will require considerable back-and-forth between yourself, your architect or building designer, and your builder, and it’s crucial not to rush anything. One of the benefits of getting started early is that your builder will be able to provide you with a detailed cost breakdown, allowing you to budget in advance and remain in control of where your money is going. This kind of preparation also means that there are less likely to be any expensive surprises further down the track.
Another benefit of starting the design process now is that you’ll have more time to pay close attention to the details. In previous times, you may have been rushed to make decisions on things like internal finishes, colour schemes and energy plans. Now? You’ll be able to lock in the exact kitchen cabinetry, tiles or light fixtures you want well in advance, to make sure everything is perfect down to the very last detail.
Time to make your move
While the scene is perfectly set for you to make the most of the current climate and get started on building your dream home, these sort of premium building conditions are not guaranteed to last. To get a head start on the rest of the market, reach out the expert team at Ozzbuild today!