House and Land Packages

A house and land package is a type of property package, usually listed by property developers while in the process of creating new estates, subdivisions, or home-builds. 

Not all house and land packages will be offered through major property developers, and there are often smaller building companies who provide these options as well.

Click to the State that you want to view packages in; ACT, NSW, VIC, QLD, NT, WA, SA.

How do they work?

Generally in Australia, new-home builds occur when the government releases undeveloped sections of land, which are then acquired by a property developer. The developer will create sub-divisions, and provide the necessary infrastructure to support the project, such as roads, electricity, drainage.

Once the developed land is nearing completion, the property developer will likely offer one of two options:

  1. Specific housing plans allocated to specific blocks of land, with all building inclusions listed as part of a house and land package.
  1. A range of customisable housing plans, which can be allocated to various available blocks of land within the development as part of a house and land package.

The first option is often referred to as a ‘turn-key’ house and land package, where all costs are accounted for and minimal input is required by the home-buyer. 

Turn-key packages will usually include a list of inclusions, such as:

  • Type of roofing
  • Treatments of the home
  • Landscaping
  • Concreting for driveways and paths
  • Fencing
  • HVAC installations
  • Lighting
  • Windows, doors, blinds and curtains
  • Interior and exterior painting

The second option is generally a ‘progress payment’ house and land package, which works in a similar way to a construction home loan.

House and land package costs

If you purchase a completed, turn-key house and land package, the property will often include a full list of all inclusions on the property. However, if you are working directly with a builder to create a customisable home, you may need to first verify the extras included with the purchase price. 

Ask your builder about pricing associated with:

  • Fencing
  • Driveways
  • Landscaping
  • Garaging
  • Carpeting
  • Bathroom design
  • Kitchen design
  • Any other extras you wish to include

If you are purchasing a customisable home, you may need to adjust your budget to account for extra costs associated with completing your home build. 

If you are borrowing money from a home loan lender to purchase the property, you will also need to consider the various stages of a construction loan and demonstrate your ability to repay the funds.

Financing your purchase

Financing for a house and land package usually includes two finance considerations:

  • Purchasing the land
  • Purchasing the house

The loans can be arranged separately, but are usually bundled together.

If you are purchasing a ‘progress payment’ house and land package, the land is a standard real estate transaction with a regular mortgage. The building of your home will require a construction loan where you ‘drawdown’ an agreed amount to pay for each stage as your home is built.

Turn-key vs progress payment packages

If you’ve bought the land first and then are building your new home, you will have two contracts – one for your mortgage on the land and a construction loan for the build of the house. Depending on the situation, the loans may be parcelled together or they may be separate.

Construction home loan progress payments are usually made in five key stages of the build:

  • Foundations – Laying foundations of the house and installing plumbing. 
  • Frame – Roofing, windows, walls and trusses. 
  • Lock up – Construction of internal walls, doors and insulation of the home.
  • Fit-out – Kitchen & bathroom cabinetry, tiles and internal cladding. 
  • Completion – Retaining walls or fences and final completion of the site.

When building your own home, you will have greater input into the overall design and build of your property. The property developer will often have a range of available options to choose from, including customisable home designs and optional extras.

Where can you find house and land packages?

You can find available house and land packages advertised online by developers or building companies. You may also be able to contact developers directly.

House and land package benefits

There are a number of potential benefits to buying a home through a house and land package:

  • Find the perfect property to suit your lifestyle and budget
  • Accurate budgeting with no immediate maintenance or repair costs
  • Environmentally friendly builds are an industry-standard – new homes are warm and dry
  • You will not pay stamp duty on the transfer of the property – only the land.

House and land package grants and funding

Many states offer grants for buying or building a new home as well as tax or stamp duty concessions, particularly for first homeowners:

  • The HomeBuilder scheme is a government initiative that offers $25,000 tax-free grant for Australian citizens to build or substantially renovate their homes. The grant cannot be used for investment properties.
  • First Home Owner Grants are cash grants offered by most state and territory governments that are available to Australian residents who’ve never bought a home before. Eligibility rules are different from state to state, and grants vary from $10,000 to $20,000.

You can check your eligibility for any available grants and funding with your relative state government. 

House and Land Packages FAQ

What is a turn-key house and land package?

A turn-key house and land package refers to a fixed-price property development package. The term ‘turn-key’ refers to a completed product with no further expenses or work required, ready to be used as soon as the owner ‘turns the key’ – i.e. open the door to their new home.

What is a progress payment house and land package?

A progress payment house and land package refers to a customisable housing plan sold with land by a property developer. If you are building a custom home, you may need to apply for a construction loan to manage payments throughout the building process.

Do you pay stamp duty on house and land packages?

If you purchase a house and land package, you will only pay stamp duty on the land value and not the house. This is due to the fact that the house has not technically been built when purchasing the package.

Who offers house and land packages?

There are many building companies and housing developers in Australia that offer house and land packages. You can browse available listings on the individual state, city, and suburb pages.