Five Steps to Buying Land

There is no right or wrong way to go about building your dream home, whether you pick your block of land first, or start with your perfect house design.  Buying land and building, especially that very first time, can be daunting, but don’t let that stop you.

Step 1: Confirm your budget and finance

Once you decide to buy a block of land, knowing your budget is key. Things to take into consideration include extras such as conveyancing fees and stamp duty on the land. If you’re obtaining finance, now is the time to sit down with your financial institution or mortgage broker so you know what you can afford to spend on your land, and ultimately your home build – the total picture.

Obtaining pre-approval at this stage can make things a lot easier moving forward and gives you clarity from the very beginning.

You may also be eligible for rebates and government grants. You can check these out here:
https://www.qld.gov.au/community/cost-of-living-support/concessions
http://www.firsthome.gov.au/

Step 2: Land selection

Now it’s time to find the perfect block of land. Keep in mind:

• Always consider the fall on the lot, shape, size and easements.  Take into consideration lot orientation and sitting your home to take advantage of the best aspect.  Orientating living spaces to the north to minimise internal heal load from the western sun will improve liveability and energy efficiency of your home.  Investigate if retaining walls are required and the building covenants, so you’re aware what impact these may have on your desired home design.  Another important question to ask is your preferred lot already titled, and if not, when will this occur? It’s important to remember until your lot is registered, you can’t start building your new home.

Step 3: Hold a block

So you’ve find the perfect lot – what’s next?  To secure your exclusive hold, an Hold Form is required, allowing you two weeks to explore and fine tune build costs, budget, finances etc., and not miss out with intent to contract at the end of the hold period.

Step 4: Deposit & Contract

Before the end of the hold period, if you decide to proceed to contract, you will need to pay a deposit of $1,000 (100% refundable should you decide not to proceed).  You will then need to organise finance with your financier.

Step 5: Settlement

Your conveyancing solicitor will liaise with your financier to organise a transfer of the funds and the title of the land to your name.  As soon as the land settles, providing design has been covenant approved, your chosen builder can commence construction of your new home!

Disclaimer: Fortress Group reserves the right to amend or change the above process and steps to buying land at any time. The above steps are a guide only (as at July 2019). Prospective purchasers should always make their own enquiries.