Understanding Turnkey Packages and House & Land Packages
When it comes to buying a house, especially for first-home buyers, the choice between a Turnkey House and Land Package and a House and land Package can be challenging.
In a Turnkey Package, synonymously called Turnkey House and Land Package, you will find a ready-made home waiting for you to move in. Everything is included, and it’s all at a fixed price contract. This can provide peace of mind, knowing that there won’t be any extra costs lurking around the corner.
On the other hand, with House & Land Packages, you are buying a block of vacant land and a separate contract for building a new home on it. It offers the exciting opportunity to customise your dream home, tailoring it to your exact specifications. While this route may involve more decision-making and potential complexities, it allows for a more personalised result.
Understanding the differences between these two options is the first step in setting out on your journey to becoming a homeowner. Let’s begin.
Turnkey Package Vs. House & Land Package
According to the Australian Bureau of Statistics, there are two common scenarios when building a new home or constructing a new dwelling. Let’s understand these situations and find out the fundamental difference.
Scenario 1: House and Land Package
- In this scenario, the land is bought separately by the owner.
- The owner then enters into a separate contract with a builder for the construction of the dwelling.
- It’s often referred to as a “house and land” package.
Scenario 2: Turnkey Package
- Here, the owner purchases a dwelling “off-the-plan” from a developer.
- Settlement takes place once construction is complete and the dwelling is ready for occupancy.
- This arrangement is also known as a “turnkey” package.
The key difference in these two case scenarios is that- the sale of the land and the construction of the dwelling are bundled into a single contract in the Turnkey package, unlike the house and land package.
Exploring the Benefits of Turnkey Homes
Buying a turnkey house can be an appealing option for those seeking a hassle-free path to homeownership. With a new turnkey home, you are getting a complete package, as there are no extra surprises or hidden costs. These homes are built from the ground up, and by the time they are ready, everything is in place.
This includes the cost of construction, landscaping, and often even the final details like curtains and blinds. For those considering investment properties or those who want to skip the complexities of land development and the construction process, turnkey homes provide a straightforward solution. It is essential to take the time to carefully explore the options and homes available in your area to find the turnkey property that suits your needs and preferences.
Choosing Between Turnkey and Standard House and Land Packages
When it comes to the process of buying a house, understanding the difference between a turnkey package and a standard house and land package can make all the difference. From the floor coverings to the final touches, these distinctions can influence your homebuying decision significantly. Let’s look at some more factors of distinction that will help you make an informed choice between these two options below-
Ownership of Land:
For the home buyer in a House and Land Package, ownership of the land comes separately from the construction contract. In this scenario, you’ll first purchase the vacant land, and then you will enter into a separate contract with a builder to construct your dream home.
On the other hand, when buying a Turnkey house package, the typical approach is that you won’t own the land separately. Instead, you’ll acquire both the land and the fully constructed dwelling in a single, convenient package from the developer.
In the House and Land Package, expect to manage two separate contracts. One will cover the purchase of the land, and the other will detail the construction of your new home. These contracts may even involve different parties, which can include a land seller and a builder.
With a Turnkey Home, things are simplified. You will deal with just one contract that combines the land purchase and the construction of the dwelling. This comprehensive contract is typically signed directly with the developer.
Timing of Settlement
In the House and Land Package, settlements happen at different times. First, you’ll settle the land purchase when you acquire the vacant land. Then, down the road, you will have another settlement when the construction of your home is complete.
On the flip side, with a Turnkey Home, settlement occurs once the entire construction process is finalized. This means that you won’t need to wait for separate construction phases to complete before becoming a proud homeowner.
For those opting for a House and Land Package, it’s important to note that the dwelling may be move-in ready later. Since the construction phase follows the land purchase, you should exercise patience as your new house takes shape.
Conversely, in a Turnkey Package, the dwelling is usually fully completed and ready for occupancy when settlement happens. This means that you can move into your brand-new home shortly after finalisation without any prolonged waiting.
Flexibility and Customisation
House and Land Packages offer home buyers greater flexibility and customisation options. Working directly with a builder allows you to tailor the design and features of your new home to your preferences.
On the other hand, Turnkey Home Packages may provide fewer opportunities for customisation. Typically, the dwelling is pre-designed by the developer, which can limit your choices for alterations and inclusions.
What Does Turnkey Mean When Buying a Block of Land?
Think of this as an all-in-one deal, where you purchase the land, and it comes ready with utilities, site preparation, and sometimes even a pre-designed home. The term ‘turnkey’ signifies that once you make the purchase, you can essentially “turn the key” and move in as soon as your home is ready. With a fixed-price house and land package, you will receive a fully prepared plot of land and a brand-new home. This means there are no extra costs or complications while buying a block of land, just a smooth transition into your dream home.
So, when buying a turnkey home package, you’re not just acquiring land; you’re building a home with ease and efficiency.
Navigating the Home Builder and Developer Role in Turnkey Properties with Dhursan!
The role of developers and home builders in Turnkey Properties involves delving into the world of fixed-price house and land packages, a popular choice for homebuyers seeking convenience and peace of mind.
At Dhursan Construction, we understand the significance of your home and land package, whether it’s a turnkey investment or a standard package. In addition, we are honoured to share that Dhursan Construction has been recognised as a finalist in the 2023 Camden Local Business Awards. Your trust in our contractors and home builders is the foundation of our success, and we look forward to building more award-worthy homes in the future.
When you choose us, you know exactly what you’re getting- an exceptional home that’s a true reflection of your vision. Your journey to homeownership in Sydney begins right here, and we are here to guide you every step of the way!
Contact Us today, and let’s make your dream home a reality! Also, Book a Complimentary Consultation if you want to delve deeper into the distinctions between Turnkey Packages and House and Land Packages.