Browse Forums Home Finance 1 Jan 27, 2014 1:31 am Any tips about how to finance a new build? We've got about a third of the total build price put aside and plan to borrow the rest using a mortgage. When buying the land is it best to use the smallest deposit possible and take out a mortgage so you've still got a pot of cash to build with? If we did that what sort of mortgage is best for the land whilst you're building?...interest only perhaps? Bank or another source for the finance? Pitfalls? Re: Best way to finance a new build? 2Jan 27, 2014 8:26 am Definitely make sure you put some cash aside for the build to pay for any items that won't be financed. Typically electrical, floor coverings and other upgrades are areas where you need a buffer of money. Also landscaping, driveway, window coverings and light fittings are generally not included in the build. I recommend you do careful research upfront to understand exactly how much site costs for your block are likely to be. Foundations / piering, excavation, drop-edged beams, retaining walls are all areas where extra costs could be incurred. Learn what the different soil classifications mean. Also try and get access to a geotechnical report for your part of the estate. This will have a selection or borehole test results that will indicate depth to rock and soil type. The more clay, the more moisture variation in the soil - piering / foundations on a solid base ( rock ) becomes more important. I have a fixed-price contract so no hidden surprises for site costs. In addition to the tender from my custom builder, I also had a tender from another builder and a detailed estimate from a third. That at least enabled me to have relative confidence in the pricing my builder gave me. NB - did not pay a cent for any tenders Easements are another area to pay attention to. They can affect where you can plant trees when doing you landscaping ( my block has a stormwater easement at the back and hence it is tricky to grow screening trees ). Build thread: here Land Nov 12, Contract 6/07/13, Consent 15/08/13, Start 20/09/13, Slab 25/09/13, Frame 4/10/13, Brick 21/10/13, Roof 2/11/13, Lock-up 17/12/13, Handover 3/3/14 4 9069 I have stone pavement (?) in my backyard around the pool. I have not tended to them and so there is moss growing on them. I intend to clean them but was wondering what the… 0 1499 you were just referred to get advice from your solicitor. This is a legal matter. Separately, why would you use a buyers agent for a house and land package? 3 57700 |