Cost of Land Drives Knock Over Replacements

The high cost of land, real estate fees and government charges and taxes will drive the increasing trend for people to knock over their old homes and rebuild on their existing site rather than moving, Archicentre, the building advisory service of the Australian Institute of Architects said today.  

Archicentre General Manager David Hallett said, "with re-location costs running into tens of thousands of dollars on even a median priced home when you take into account government charges and taxes, stamp duty on the new property, real estate fees and marketing costs, lawyers and banks fees and charges, in some cases money will be better spent put towards a new home."

"Knocking down the old home and building a new one also creates the opportunity to design the new home to maximise it's sustainability and to cut energy and water costs."

Mr Hallett said, "the starting point for anyone considering knocking down and rebuilding is to have a professional assessment of the property and the development of a concept plan to ensure it complies with all relevant building and development controls.

"It is no good planning to have your old house knocked down until you have a clear idea of what you are going to do, have your plans approved and have an architect and builder appointed".

"The aim of this strategy is to ensure the shortest time possible is taken to knock down the existing property and rebuild the next one to save on rent and storage costs."

Mr Hallett said the cost of building a new home can be comparable to a major renovation and the home owner ends up with a home with new and warranted wiring, plumbing and construction.

"For many people it is also a bonus to remain in their community where they have friends and other community connections such as schools, medical facilities and sporting clubs."

www.archicentre.com.au

Media Enquiries;
Ron Smith, Corporate Media Communications, Archicentre - Mobile: 0417 329 201