4 Must-Know Terms Before Choosing a Home Design

25th November 2024

Pre-Construction

Learn the four essential terms every Australian home buyer should know before selecting a home design, helping you navigate builder websites with confidence and clarity.

4 Must-Know Terms Before Choosing a Home Design

When searching for the perfect home design, it's easy to feel overwhelmed by the jargon and various options on builders' websites. To help you navigate this process with confidence, we've broken down four essential terms that will make choosing the right floor plan and house and land package much simpler.

1. Design Ranges & Standard Inclusions

Most builders offer different design ranges to cater to varying budgets and preferences. While each builder may name their ranges differently, they generally fall into budget level categories like the examples below:

• Entry-Level Range (Silver): Ideal for first-home buyers and investors, these homes come with basic inclusions and limited customization options. Some may have pre-selected color schemes, making the process straightforward.
• Mid-Range (Gold): Often the most popular option, offering a wider variety of floor plans, better inclusions, and promotional packages. This range suits most buyers.
• Luxury Range (Platinum): Designed for those with higher budgets, these homes feature premium inclusions, extensive upgrade options, and greater flexibility in design customization.

📌 Pro Tip: Before selecting a floor plan, check the inclusions list for each range to ensure it aligns with your expectations and budget.

2. Design Names & Sizes

Understanding home sizes can be confusing, as builders use different naming conventions. In Australia:

• Victoria: Homes are commonly measured in squares (1 square = 9.29 sqm).
• Other States: Builders may use square meters (sqm) instead.
• Some builders name designs based on their size (e.g., "Colin 20" means 20 squares or 186 sqm), while others use creative names like locations, artists, or landmarks.

📌 Pro Tip: Always check the floor plan details to confirm the home size rather than relying on the name.

3. Lot Dimensions & Home Suitability

Your block of land has specific dimensions that determine which home designs will fit. Key factors include:

• Lot Width vs. House Width: Your house must be smaller than your lot to allow for required setbacks (e.g., a 12.5m-wide lot will suit an approximately 11.1m-wide house).
• Lot Depth vs. House Depth: Most lots require front and rear setbacks (e.g., a 28m deep lot with a 4m front setback and 3m rear setback leaves space for a 21m deep house).
• Site Coverage Rules: Local regulations may restrict how much of your lot can be covered by your home. 60% maximum coverage is generally the rule, but is dependent on location.

📌 Pro Tip: Builders' websites may not specify all requirements, so always confirm with your consultant whether your preferred design fits your block.

4. Base Price vs. Actual Price

Many builders advertise a base price, but this is not the final cost to build your home. Additional expenses may include:

• Site Costs: The cost of preparing your land for construction, which varies depending on soil type and slope.
• Estate Requirements: Some estates have design guidelines requiring features like water tanks or specific facades.
• Upgrades: Personalizing your home with different materials, fixtures, and finishes can add to the cost.

📌 Pro Tip: As a rough guide, budget an additional $20,000-$40,000 above the base price for site costs and upgrades, depending on the inclusions and land conditions.

Key Takeaways

• Understand Design Ranges: Choose a range that suits your budget and needs.
• Clarify Home Size Labels: Square meters and squares are different measurements.
• Confirm Lot Dimensions: Make sure your chosen design fits your land properly.
• Factor in Extra Costs: Base prices don’t include site costs, estate requirements, and upgrades.

By keeping these terms in mind, you’ll be well-prepared to navigate builder websites and select a home design that meets your needs and budget.

Frequently Asked Questions (FAQ)

Q: Why do builders use different names for home designs? A: Builders create unique names for branding, marketing, and internal reference. Always check the actual size and specifications.

Q: How much should I budget for site costs? A: Site costs typically range from $10,000 to $30,000, depending on land conditions and location.

Q: What happens if my preferred design doesn’t fit my lot? A: Your builder may suggest an alternative floor plan or modifications to suit your land’s constraints.

Listen to the Full Episode

For more in-depth insights, listen to our full podcast episode: 4 Must-Know Terms Before Searching for a Home Design.

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 www.homebuildinghub.com.au and join our growing community of informed home buyers.

Disclaimer

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.