A house and land package refers to buying land and then having a home constructed on it, usually a prefabricated home that is erected on the site. The land and home are both sold by the same company, which is why it's referred to as a package.
When deciding if this is the right choice for you, it's good to remember that a home is an investment that you'll own for decades, if not for the rest of your life. It's good to consider long-term costs when deciding on the best choice for a house. Note a few reasons why a land and home package can be the best purchase choice for you.
1. You Won't Face Repair Bills for Several More Years
Unless a home on the market has a new roof, new foundation, new chimney, new major appliances, and a new driveway poured, you'll probably face repair bills for at least one of these within a few years after purchasing. In some cases the repair bills you'll face can be very prohibitive, if you will need to have an entirely new roof installed or the entire foundation underpinned.
With a home and land package however, you're less likely to face repair bills within the first several years. You might also be able to choose building materials that will last longer for you, such as a metal roof versus roofing tiles or a foundation that is underpinned while it's poured. This too can ensure that your repair bills are kept to a minimum.
2. You Can Opt for Energy-saving Options
Older homes are notorious for being drafty, for having poor insulation, and for having windows that are thin and which let in hot and cold air during summer and winter. Today however new homes are usually built with all the energy-saving options available, including double-glazed windows, blown foam insulation, and weather-stripping. These options can save you money on utilities but they can also be better for the environment, as you won't be using as much energy to keep your home heated and cooled.
3. The Loans Needed May Be Cheaper Overall than a Mortgage
Most land and house package deals involve two loans; the loan to buy the land and then a construction loan for when the house is being built. The construction loan is typically obtained through each stage of the construction process. In turn, you pay interest only on the money you get at each stage of development. This means you may pay less in interest overall than you would for a standard mortgage.
For more information, visit http://www.clearviewhomes.com.au.