Can You Build a New House for Under $300,000?


July 19, 2021

New home construction doesn’t have to be intimidating. When you first start out there are many factors to consider that will influence the final price you end up paying. Set your mind at ease by becoming familiar with the things you need to know upfront to eliminate any surprises. It is absolutely possible to build your dream home without breaking your budget when you go into the process with your eyes open

Know the Base Pricing

The cost to build a house is made up of many different decisions, but you can get an idea of what the averages are so you can stick to an approximate figure and avoid being taken advantage of. While prices will vary quite a bit depending on the location and features that you prefer, an average home can usually be built for around $300,000. If you prefer a smaller and more simplistic home, that figure can start out as low as $160,000.

Choose Your Building Site

One of the biggest factors that will determine the average cost to build a house is the area where you decide to live. Homes that are located closer to the city or other urban areas are more expensive while building sites and construction in more suburban areas are lower. Popular areas with a higher demand to build will also drive up the price.

The amount of land that you purchase to put your home on has a huge impact. Obviously, if you want a secluded home in a large area, then you will have a larger total investment. This does not affect the price of the home itself, but if you are taking out a construction loan that includes the land purchase, then your monthly payment will be much bigger.

Determine the Size of Your Home

The size will affect the cost of your new home since the larger it is, the more materials, time and labour it will take to complete. Carefully consider how much space you will want. A good guide for what to expect as an average cost per square metre is approximately $1,400, so you can estimate the price as you plan.

You may want to factor in future plans to start or expand your family. If you work from home, designated office space for privacy and quiet is a good idea. Other considerations are if you want a garage or any outbuildings to use for storage or to provide a workspace for a hobby or pastime you want to pursue.

Decide on the Style and Features

Your home will be your refuge and should reflect your personality and be a comfortable sanctuary to live your life. You might be someone that enjoys an open floorplan to capture a sense of spaciousness and freedom, or maybe you prefer more privacy and separation of your living space for various activities.

Work with your builder and express the type of home you are looking for. Be clear in your preferences and communicate the features that are a must-have. Know that if you want to add on extra rooms and amenities, then you will be paying more money.

Pick Your Materials

When you are determining the cost to build a house, the types of materials that you choose should be carefully selected. Luxury materials like stone will be much more expensive than traditional building materials. You will also need to know what is appropriate for the type of home you are building and its location.

Be Aware of Fees

The cost to build a new house will come with some fees that you should expect and include in your budget. Talk to your builder and lender so you can add these to your loan amount unless you plan to pay them out of pocket.

Dependent on the land you’ve purchased to build on, there could be additional costs if the site needs to be cleared, retaining walls needs to be built. Site works costs are discussed during the initial phase of discussions to build as this can be a costly expense if not addressed early. You will also need relevant permits and inspections to ensure that the construction is being done safely and in accordance with the local building codes, this is all included as part of your building contract with WOW Homes.

Set Your Timeline

Rush jobs will cost you more money. Be specific on the timeframe that you expect your home to be finished in, and budget some extra time for unforeseen delays and situations that may arise. You can do your best to stick to the end date that you originally planned for, but finance applications, permits and supply shortages of materials or even bad weather means that there can be delays to execute according to the schedule that the builders are on.

The basic price to build a house doesn’t have to be a mystery when you do some research and know what it takes to build. Work with your builder and finance broker throughout the entire process so you stay informed every step of the way. It’s important to remain in charge of the spending and involved in the decisions that are made.

When you work with a professional company that has years of experience, you can be secure in the knowledge that the price you pay is fair and reasonable. Contact WOW Homes today and talk to an expert that can guide you through the important decisions and get you into your gorgeous new home!

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