Budgeting Tips for Building a Custom Home

Planning a dream home is one of the most amazing feelings in this world. With house builders in Melbourne, making a custom home is more feasible than ever, and so should be the process of budgeting a custom home. 

Planning a budget well in advance is crucial to overcome the fear and stress of handling the finances that come along with the home construction process. Knowing how much you can afford to spend is better than your willingness to spend on items that may not be necessary. 

For this reason, the purpose of this blog is to make you aware of all the expenses that add up in custom home construction. Knowing these factors will lay the groundwork to get started with planning a budget first hand.

Checklist for Creating a Detailed Budget for Your New Custom Home

Let’s start with understanding the initial expenses and slowly progress towards understanding the heavy costs associated with a custom home.

  • Identify your Needs and Wants

Make a list of features you need versus those you want. Essentials should take priority in your budget, while you can scale back or eliminate the wants if necessary. Prioritising all your house needs will always help you gather funds more efficiently. 

Determine these basics for an overall budget:

  1. How many bedrooms, bathrooms, and any outdoor area do you want to see in your home?
  2. Decide on the total size in terms of square feet area for your house.
  3. Location of the house
  4. Features, functions, and any other special additions that match your current lifestyle. 
  • Applying for a Construction loan 

The next step after envisioning your future home is to start applying for pre-approved construction loans. Getting pre-approval for your custom home is essential to confirm that you have the money to build a custom home that you have planned. 

House builders in Melbourne, for this reason, also provide various financing options in their house and land packages, so it is advisable to consider them for easier settlement. 

  • Consider Cost of the Lot

A lot or a plot is one of the significant expenses that cover more than half of the total home-buying costs. Choosing an ideal plot in an ideal location is well known, but choosing a plot that matches well to the size of the house built is worth the money. 

Builders have knowledge and experience in choosing a land for a specific house size, so their advice can help you filter out choices. However, keeping these factors in mind is equally important to avoid any surprises in expenses.

  • Cost of land on average
  • Shape of land
  • Is the land ready for development, or does it need excavation?
  • Does it have access to water, electricity, sewer, and cables?
  • Is there an existing structure on this land that needs to be cut down first?
  • Consider Home and Land Packages

If you don’t want to get into the hassle of buying land on your own and then hiring a builder separately, then consider home and land packages from renowned home builders in Bacchus Marsh. These builders offer a fixed price for buying land, building and customising a home together. 

In these packages, the cost of buying and excavating land is also included. Plus, you can choose the best home design with the expertise of an experienced home builder. 

  • Cost of Home Designs or Floor Plans

Many builders in your area will present a plethora of home designs, including floor plans and facade plans, that detail how your home will look once completed. They offer pre-designed layouts that involve all the standard inclusions, such as:

  • Site costs and connections
  • Floor coverings
  • Higher ceilings
  • Fly screens to all windows
  • Specifications of each room, kitchen, and bathroom.
  • Additional appliances
  • Flexible floor plans and energy-efficient systems.

With everything in one place, home builders in Bacchus Marsh resolve the hassle of insulating your home, installing new connections, and buying some of the needed appliances. This is actually more cost-friendly than purchasing them differently. You can even count on reliable builders to adjust the prices and reduce the total costs of higher living.

  • Cost of Materials, Finishes, and Fixtures

While you are considering a beautiful house design, keep in mind that the costs of materials, finishes and fixtures can become heavy, too. The more premium quality materials you choose, the higher the costs will be. Consider these factors:

  • Price of Materials:

Consider lumber for framing, although builders can offer a more cost-effective alternative to this material. Concrete is safe for foundations, driveways, and other sidewalks and drywall sheets for walls and ceilings. When exploring roofing options, asphalt is the most economical, but metal or tile are more long-lasting. 

  • Price of Finishes:

Hardwood floors are more common and expensive than cheaper laminate or tile flooring. It is best to factor in the best flooring for the strong construction. Wall tiles for bathrooms and kitchens can be considered if your budget allows it. Alternatively, home builders in Bacchus Marsh can also offer discounts on their promotional packages that include these things at minimal cost.

Painting is super economical in Australia, but to be confident with the street aesthetics, consider high-quality paints that boast quality. 

  • Price of Fixtures:

Choosing package deals for fixtures and fittings can offer savings. Talk to your builder beforehand and confirm the costs of lighting, plumbing fixtures in the bathroom, faucets, cabinets, door handles, and other essential fittings. The more customised, designer or newer models you choose, the higher will be the total spending.

Final Words

We hope that this blog has helped you to plan your budget for building a custom house. We have broken down the cost factors that go into purchasing a dream home, right from assessing your needs, applying for a construction loan, considering the total cost of the plot, house and land packages, home design packages, and the idea of choosing materials, finishes, and fixtures for your planned budget. 

To get everything in place and prepare a budget, housebuilders in Melbourne can go the extra mile to make your decision easier. 

Choose Shri Homes for all your custom home design needs.



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