Melbourne Greenfield Living: 7 Reasons to Build New

Considering a move to one of Melbourne’s thriving greenfield estates? Here’s why it’s better to build a dream home from the ground up than compromise on one that’s already built.

Savvy buyers are flocking to Melbourne’s greenfield suburbs. The reasons are obvious; housing is more affordable and shows massive value-growth potential, plus you’re surrounded by nature and close to transport with easy access to the CBD.

If a move to one of the beautiful estates in a greenfield location is on the cards, read on to learn why it makes better sense – both financially and practically – to build a home from scratch than buy an existing house.

    1. Get the home you want

When you build a home from the ground up, you don't have to compromise on a single thing.

Fact is, when you buy an existing home, there are always going to be compromises, whether it’s a less-than-perfect layout, a bedroom or bathroom less than you wanted, or colours and finishes that simply don’t suit your style. Unless you’re prepared to embark on costly renovations to fix these issues, you’ll have little choice but to live with what you’ve got.

     2. Design for the future

Building a brand-new home allows you to plan with foresight and create a living environment that meets your needs now and in the future.

Perhaps you want your home to have a third living area where the kids can hang out with their friends in the teenage years, bedrooms big enough for sleepovers, a second master suite for ageing grandparents, or a quiet, separate study if you plan to work from home down the track.

This thoughtful planning provides longevity in both your investment and your living situation, giving you peace of mind and a home that will remain functional and comfortable for the long haul.

     3. Customise it your way

Choosing to build from scratch means you can customise your home down to the finest detail. You decide on the room sizes and configurations, choose the colour schemes and materials, and design the exterior to match your vision.

This level of personalisation ensures your new home not only meets your family's unique requirements but reflects your personal aesthetic.

    4. Cheaper running costs

Building a new home in Melbourne means you’ll benefit from the latest energy-efficient features, thanks to the government's recent increase in the minimum energy-star rating from six to seven stars.

This higher rating means that new homes are designed to be more energy-efficient, incorporating features like double-glazing, highly efficient heating and cooling systems, premium insulation and energy-efficient appliances. These features minimise your greenhouse gas emissions and slash your power bills, so you can enjoy comfort and savings for years to come.

    5. Financial incentives

In Victoria, the stamp duty you pay when you build on an empty block is generally calculated on land value only, not on the value of your future house. This can result in lower stamp duty costs compared with buying an existing home, where the duty is calculated on the total purchase price (land plus house).

You might also be eligible for further concessions and grants, such as the First Home Owner Grant (FHOG), which provides $10,000 financial assistance to first-time buyers building or buying a home, and the Victorian Homebuyer Fund shared equity scheme, where the Victorian Government contributes up to 25% of the purchase price of new homes to buyers with as little as 5% deposit.

     6. Lower maintenance costs & more protection

New homes cost less to look after as everything from the roof and the electrics to the plumbing is brand new. This not only saves money on repairs but gives you peace of mind.

When you build a new home with Carlisle Homes, you’ll get a home that’s crafted to the highest standards of quality, using the latest, energy-efficient materials. And they give you the assurance to prove it. Every new Carlisle home comes with a 25-year structural guarantee. In addition, three months after construction, Carlisle will undertake a comprehensive 100-point warranty inspection to address and rectify any issues.

     7. Maximum depreciation returns

Are you planning an investment property? Depreciation is a tax deduction that property owners can claim for the wear and tear on a home and its fixtures over time, reducing taxable income and lowering tax payments. Brand-new properties offer the highest depreciation benefits because the entire value of the building and its new fixtures can be depreciated, providing higher deductions in the early years of ownership.

Recent changes in tax laws have limited depreciation benefits for existing properties as owners can no longer claim depreciation on second-hand plant and equipment, such as flooring, window furnishings and heating/cooling systems. Consequently, brand-new properties now offer the best opportunity for maximising depreciation deductions, allowing investors to claim depreciation on both the building structure and new fixtures, which can lead to substantial tax savings.