Building a new home on a tight budget

If you are a tight budget and want to build your own home, it can be hard to include all of the features that you want. Here are some tips to help you get the house of your dreams for less. 

Choose a large builder or chain

Larger builders or chains have an economy of scale and can negotiate better deals with suppliers or subcontractors. This can result in lower costs for your as a home builder. Large chains also tend to have established processes and procedures which can result in a smooth building process and less delays, which can result in less money spent on rent whilst the house is getting built.

Choose a smaller number of bathrooms and wet areas

Bathrooms and kitchens are some of the most expensive areas of the house to construct. While it can be tempting to add another bathroom or kitchenette for guests, these additions can quickly ratchet up the cost of the house. Instead consider building these areas as walk-in robes, extra living areas or study nooks with piping to these areas so that they can be converted to wet areas at a later date if you have more money then.

Build a smaller house

While it can be tempting to build a large house now, sometimes it can be more sensible to build a smaller house now and build an extension later on. The cost of building varies from area to area. Indicative costs between $600/sqm up to $4000/sqm are common in large metro centres.  This means that shaving 10 or 15 metres off the house design can result in savings of tens of thousands of dollars. 

Ask for help

If you have friends or family in the building trade, it can be a great idea to ask them for some help. You may be able to organise a swap where you do some work for them in return for free or discounted services. This can be a great way to reduce the costs on your home and your family and friends will often be very happy to help you if you offer them something in return. 

Building a house can seem very expensive but can be a fantastic investment long term. Even if your budget doesn't stretch to building the house of your dreams straight away it can often be possible to build a great home by making some small adjustments to your plans.