House and land packages are some of the options available if you are looking to buy a house. It has several benefits for both home investors and individual occupiers. Typically, house and land packages represent two contracts summoned into a single commitment. Instead of buying land and house separately, these packages provide both in a
single contract. It may seem more like buying a finished home in a piece of land, but that is not the case.
What are house and land packages?
Essentially, a house and land package involves buying land and house building services. You will be required to pay a specified deposit to initiate the project, usually 10-15% on the land and 5-10% on the building services. Once this is done, construction of your house can begin. The remaining amount will be paid in phases to facilitate construction. Since these packages involve building a house rather than buying a finished property, it may take several weeks before you are able to move in or rent the house. When buying into the package, you will have various customizable options to choose from.
Pros and cons
The benefits of house and land packages are quite straightforward. It is less costly compared to buying a finished home. Basically, these packages are ideal for families looking for homes in specific communities and neighborhoods. It is a simpler process that allows you to quickly buy land and construction of your home. It also allows you to choose from a list of options and add some customization into the house you want to own.
However, not everyone will find such packages valuable. Most have small lot sizes and are located in outer suburban areas. This may be inconveniencing especially if you have to spend 2 or more hours commuting to work.
In conclusion, a house and land package is one of the new additions and has great potential especially for home occupiers. Investors can also make profit from such packages as the construction area expands. If you find house and land packages worth investing in, then the next process should be to compare existing house plans, pick your
choice and work with a reputable home builder.