Builder Promotions in Australia: How to Compare Offers

14th August 2023

Finance & Budgeting Pre-Construction Legal & Contracts First Home Buyer Investor

Compare Australian builder promotions, from discounts to upgrade packs. Learn what to check in your new home quote before choosing a builder.

Builder promotions in Australia - how to compare new home offers

One builder is offering a discount. Another is throwing in a kitchen upgrade pack. A third has a higher starting price but already includes the finishes you want. Which offer gives you better value?

Start with the total quoted price for the home you want to build on your block. In the Home Building Hub episode Secret insight into builder promotions, hosts Colin Bischof and Darren Brennan explain how builders put offers together and what to ask before comparing quotes.

Three types of builder promotions

Builders can run several promotions at once across different home designs or ranges. Colin and Darren group the offers into three broad categories.

A price-focused offer can work well if the standard specification suits you. A premium pack may make sense if it covers finishes you already planned to pay for. The builder’s standard inclusions give you the starting point for judging either offer.

Compare the whole building quote

A big advertised upgrade value can be eye-catching. To see what it’s worth to you, ask for an itemised quote for your chosen design, façade and block. Then compare quotes using the same list of essentials.

• Start with the floor plan.

  Check that the bedrooms, living spaces and layout suit your household before pricing extras.

• Separate standard inclusions from promotional items.

  Ask for the exact products or specifications, especially for flooring, appliances and finishes.

• Check site costs and exclusions.

  Ask which site works the quote covers, which amounts are allowances and what still needs pricing.

• Price your must-haves.

  Add the cost of anything you need that sits outside the quote. Check what’s included if an offer describes the home as turnkey.

• Check how the promotion changes the total.

  Ask the consultant to show the discount or pack cost in writing and explain any eligibility conditions.

For example, one builder might offer a flooring pack, while another already includes the flooring you want in its standard specification. Compare both totals with the same flooring, façade and site work accounted for. That gives you a clearer comparison than the advertised pack value alone.

Ask your sales consultant to price the options

Tell the consultant which features matter to you and how much flexibility you want at your colour selection appointment. If you want the essentials priced upfront, ask for that version of the quote. If you’d prefer room in your budget to choose your own finishes, ask whether another promotion would suit you better.

A few questions can help you get a clearer answer:

• Does this offer apply to my design, façade and block?
• Can you show me the total with each available promotion?
• Which items in the pack can I choose or change, and what would that cost?
• Does the offer depend on when my land titles or when construction can start?
• When does the offer expire, and what do I need to do by then?

The hosts also discuss how a builder might offer an incentive to fill an upcoming construction slot. If your land is titled and you’re ready to build, you can ask whether there’s an offer tied to an available site start and what dates or conditions apply.

Glossary of terms

• Base price

  • The starting price for a home design with the builder’s standard specification.

• Standard inclusions

  • The products, finishes and features the builder includes in the quoted specification before optional upgrades.

• Façade

  • The front exterior design of the home.

• Site costs

  • Costs associated with preparing and building on your particular block, which can include earthworks or foundation requirements.

• Titled land

  • Land with a registered title for the lot.

• Site start

  • The scheduled start of construction work on the block.

Frequently asked questions

Are builder upgrade packs worth it?

They can be if they cover upgrades you would have paid for and the overall quote fits your budget. Ask what each item would cost separately and compare the pack against the builder’s standard specification.

What does a builder’s advertised “from” price include?

It’s a starting price. Ask which design, façade and specification it applies to, then request a quote for your block and preferred selections. That will show you which costs still need to be added.

Should I wait for a better builder promotion?

The hosts suggest judging the offer you have against your budget, floor plan and inclusions. If you’re still choosing a design or waiting for costs to be confirmed, use that time to clarify the quote. A future offer may come with different pricing, inclusions or eligibility conditions.

Key Takeaways

• Choose a floor plan that suits your household before weighing up promotions.
• Compare itemised quotes with equivalent inclusions and site costs accounted for.
• Judge an upgrade pack by the items you’d actually choose and what it does to your total price.
• Ask your consultant which offers apply to your home, block and timing, and get the details in writing.

Watch or listen to “Secret insight into builder promotions” on YouTube

About the Home Building Hub Podcast

The Home Building Hub podcast, hosted by industry experts Colin Bischof and Darren Brennan, is Australia’s premier resource for new home buyers. With weekly episodes featuring special guests, the podcast provides objective, high-quality insights into the home building process - completely free and without sales pitches. From understanding financing options to navigating the complexities of building a new home, each episode is packed with actionable advice and tips. Explore more episodes at http://www.homebuildinghub.com.au and join our growing community of informed home buyers.

Disclaimer

This article was generated by AI based on a transcript of our podcast episode and may contain inaccuracies or omissions. Whilst we’re all about providing value to you, this article should not be considered as legal or financial advice. It contains general information only and is based on the content discussed during the podcast episode. This information is relevant to the episode’s release date and may not be applicable at the time of reading. Always seek independent professional advice tailored to your personal situation before making any legal or financial decisions.

Promotion type What you might see What to check Price-focused A low advertised starting price or several upgrade packs bundled together Which floor plan, façade and standard inclusions come with the advertised price Value-for-money Discounted upgrade packs, a cash discount or a combination of both How many of the upgrades you would have chosen anyway, and what you still need to add Premium A luxury façade, a selection of higher-spec finishes or a premium pack paired with a discount Which selections are eligible and whether your preferred finishes cost extra