House and Land Investment
Buying a new investment property off-the-plan is a different approach from buying an existing home, and the process is simple.
Quality Builders, Quality Locations
We work with only a handful of builders that offer quality fixed price turnkey homes.
These homes are in high growth areas with high rental demand and low vacancy rates.
What is Turnkey?
A turnkey build means everything is included in the fixed price:
- Site costs
- All fixtures
- Floor and window coverings
All inclusions will be listed in the building contract.
Once completed, you can simply turn the key and it is ready for tenants to move in!
How does it work?
- 2 contracts are issued, one for land and the other for the house construction.
- Both must be signed and returned to effect "exchange of contracts“.
- 10% deposit for the total price is paid by the purchaser.
Following registration of the land, the land sale will be settled and the balance of the land amount is paid.
This is when building will commence.
How long does it take?
Once construction begins, it is normally a 16-26 week process and payments are 'drawn down’ from the lending financial institution to the builder in arrears as each stage is complete.
The stages are similar to this:
- Pouring the slab,
- Frames and windows
- Brickwork and roof,
- Kitchen and lockup
- Practical Completion
Final payment is due after Practical Completion stage and the final inspection. The house is then settled, and keys handed over ready for tenants to move in.
Stamp Duty Savings
Stamp Duty is only paid on the land portion of the purchase.
If you were to purchase an established home worth $650,000 you would pay stamp duty of $24,740.
Stamp duty on a new off-the-plan house worth $650,000 but with land value of $350,000 only incurs $11,240 in stamp duty.
In this example you would save over $13,000 by purchasing a new house of the plan.
Talk to us about how we can help you to easily invest in your own future through property.