Should I buy New, Old, or Build?


When looking to buy a property, either to live in or for an investment, a tough decision for many to make is whether to buy an existing house that is brand new, an older house, or to build a new one.

Each option has its own pros and cons as well as some dangers to look out for that can be extremely costly if not handled correctly. However, at the end of the day, there are 6 key factors that will decide the best approach for you. These are:

  • Experience
  • Available funds
  • Time
  • Knowledge
  • Income tax position
  • Stress tolerance

With these in mind, let’s have a closer look at the 3 main options – buying new, old, or building.

Buying New

Firstly, buying new comes with access to a number of financial benefits including taxation benefits for investors and numerous builder and government grants and incentives.

On top of this, you also get to be the first person to live in the house without having to take the time and effort to build it from scratch. While new houses are usually very trendy, have the latest techniques & features, and are generally very user-friendly, you will not get very much control over the design without going through a major renovation if it isn’t to your liking.

Due to ever-expanding cities, you will usually find more newer houses in the outer suburbs, while new apartments are usually found in the inner suburbs or right in the CBD.

Many home buyers are suited to buying new, especially if you don’t want to commit to building a house and have access to a larger deposit.

Buying Old

Due to numerous updates in the ATO’s taxation policy, there have been a number of benefits that have been removed over recent years, however, there are still many benefits to buying older houses.

Many investors like to buy houses with potential and either renovate them or knock them down and rebuild to increase the value. Many people also favour older houses as they are generally cheaper than new houses and many are still very nice.

In addition to this, older houses can come with that old-world charm that you just can’t find with a new house.


Building a house is the only option for those that want complete control over the design, layout, and features of their home. Similarly to new houses, building makes you eligible for many grants, incentives, and concessions that can aid with the generally higher cost of building.

If you buy off the plan, it is possible to negotiate pricing or receive a discount. At completion, the prices can increase, or they can decrease, however the latter is less likely.

The biggest danger when buying off the plan is that there can be severe consequences if your circumstances change around the time you’re due to settle. Even if you were approved when the contract was signed, you can still end up losing your deposit or even be held responsible for any costs or losses incurred from breaching the contract.

If building is your choice, there are a few things you can avoid by attempting to buy ‘at completion’.

This means you avoid:

  1. Issues from buying off the plan.
  2. Construction loans and the headaches from delays, changes, and mistakes.

Also, this allows you to take out a regular mortgage when the building is finished – but make sure you still get pre-approval!

Whichever option you’re leaning towards, you need to ensure you have the knowledge and education to make the right decision for your circumstances. Our team at Glass Financial are guaranteed to give you everything you need and guide you to the very best deal possible.

Speak with the Glass Financial team today to take the first steps towards getting into a home of your own – whether that’s old, new, or built yourself!

Call us on 1300 245 277 or email us at [email protected]

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