BUILD 2025: Setting a building budget

Setting a building budget

Building a new home or renovating your existing one is one of the most significant investments you will make in your life. Setting a realistic budget is key to getting the home you want, within your means.

CHECK YOUR FINANCES

Before diving into specifics, you need to honestly assess your financial situation.

• Savings: how much cash do you have readily available?

• Financing: are you securing a construction loan, mortgage, or using a combination of both? Pre-approval is key.

• Contingency fund: always allocate 10-20% of your total budget for unexpected costs.

HOW MUCH DOES IT COST TO BUILD IN THE ACT?

Costs for building in the ACT can vary widely. Recent figures1 say it's between $2,050 and $4,050 per square metre, but anecdotally, builders say it can be up to $1,000 more than this depending on a wide variety of factors. Below, we've attempted to sketch a rough guide to what your money will get you.*

*These prices are indicative only. Final price will depend on number of bedrooms, levels, complexity and materials used.

DEFINING BASIC, MODERATE AND LUXURIOUS

The cost of your project will vary a lot depending on your desired level of finish and features.

Basic home build/renovation

Your focus for a basic home build will be function and affordability. Prioritise essential features, and opt for standardgrade appliance, basic cabinetry and readily available building materials.

Moderate home build/renovation

For a moderate home, the aim is achieving a balance of quality and cost. You can splurge a little more and may opt for mid-range appliances, higher quality cabinetry, and durable, aesthetically pleasing materials.

Luxurious home build/renovation

Quality is the focus for a high-end build. You can go to town on premium materials, high-end finishes, and sophisticated design elements, along with top-ofthe-line appliances, custom cabinetry, imported materials, and advanced technology integration.