There are pros and cons to purchasing a new development in Australia.
On the one hand, you have complete control over design points and in some cases even the plan. On the other, you are dealing with builders, timelines and the tricky navigation of numerous decisions.
There is also some significant research that should come into play before making your decision. What is the surrounding community like? Some people focus so much on plans, design and build; they forget to make sure they will like the area around the new development. Location, location, location is always a premium consideration.
To help, here are some guidelines to consider before leaping into a new development.
Make use of a real estate agent
Utilise the skills, knowledge, and report of an agent who frequently deals with builders understands local communities and is brimming with valuable information. In most cases this isn’t even costing you anything, the seller is paying the agent after all!
Research the builder
It’s always good to ensure you are using a trusted builder who produces high-quality work. You can even dig a little deeper with licensing boards, previous customers and court records to ensure there haven’t been any complaints. After all, you don’t want to be registering the next one!
Consider your budget
You no doubt know how much your budget is, the key is deciding what you will spend it on. You can change your bathroom tiles, but you can’t change your suburb. An extra bedroom might be a better choice than real timber floorboards. One can be upgraded at a lower cost than the other down the track.
New construction legalities can be complicated so ensure you understand what you are about to sign.
Suit your environment
Don’t build a tower next to villas. Avoid pricing yourself out of the neighborhood. You also don’t want to be the house with a lackluster front garden when everyone else’s is immaculate. Try to fit in so that your neighbours don’t dislike you before they even meet you.
Be clear on your floor plan
The best way to understand room sizes is with a measuring tape. Never assume you know how big something is just by hearing the size. Measure it out, compare it with an already established area, so you really know how big (or small) areas will be.
Better get a lawyer, son
Always get a lawyer to look over the contracts. New construction legalities can be complicated so ensure you understand what you are about to sign. If you or your lawyer have any queries, don’t be afraid to raise them with the builder or agent.
What are the warranties?
If there are warranties on materials and workmanship make sure you know what they are or what conditions may apply to them. The timelines may be different for each of them, so it’s good to know what is and isn’t covered.
Just because the development is new, that doesn’t mean it shouldn’t be inspected. An independent inspection, which you are present for, is a great move. New homes can have just as many issues as old homes, and you will want to know about them before you sign on the dotted line.
Shop around on the loan
Lenders and agents sometimes come as part of the package for new developments, but it doesn’t hurt to shop around yourself. Acquiring quotes from alternative options confirms whether or not you have the best deal.
As with anything, information is power. The more you have means, the more prepared you are. This ensures that the process of building your new development goes well while preventing further issues for you down the track.
Urban.com.au are not agents or developers. They are on a mission to help local communities research, stay up to date and learn more about property development projects in their area.