Real estate in Adelaide has been great in recent years, even withstanding the effects of the pandemic felt by other major cities in Australia. The market is steady while the local economy is flourishing, and this combo has enticed investors from all over to set up roots in the south.
You can easily buy a home in Adelaide, but another great–and often more cost-effective–option is to build a house from the ground up. The average house building price in Adelaide is $1,800 to $4,000 per square metre or around $330,000 in total, though this amount varies greatly depending on several factors, including the house’s quality, design, and size.
How Much Does It Cost to Build a House in Adelaide?
The average cost of building a house in Australia is around $500,000. In Adelaide, it’s lower; at $330,000, with the cost per square metre varying between $1,800 to $4,000.
In Adelaide, the costs to build a low floor will be around $1,580 per square metre and $3,450 per square metre for higher floors.
Let’s say you’re building a 3-bedroom house in Australia, it’ll set you back around $1,300 per square metre for budget materials. For more expensive finishings, the costs will be around $1,600-$1,900 per square metre.
Before building a home, it’s important to consider two things: the property’s location and supply costs. The former will eat up a chunk of your budget; building a house near the central business district (CBD) or in an affluent neighbourhood will make the process generally more expensive.
The latter will also affect how much you spend, especially because the price of supplies also fluctuates. You may also want to consider the price of building inspection in Adelaide in your budget, and if you’re building a house to rent it later on, factor in property management fees in Adelaide, as well.
Factors That Affect House Building Prices
House building prices can vary depending on multiple factors, most of them related to labour and materials. Here’s a breakdown of the different factors that affect the cost of building a house in Adelaide:
Size of the Build
A larger build will need more materials and specialised equipment to accomplish, on top of extra labour (otherwise it will take longer to finish, which also incurs extra fees). The average size of Australian homes is 200 square metres, which is a good place to start your estimate with.
Quality of Materials
Higher quality materials will naturally be expensive, but it doesn’t stop there. Better materials often require a higher level of finishing and craftsmanship, and hiring the right people for the job will usually incur costlier labour. Adding luxury materials, technology, and energy-efficient equipment can also add up to a more extravagant bill.
That said, you shouldn’t skimp on materials just to save because using cheap fixings and equipment may lead you to spend more later on repairs and replacements.
Design
The more complex the architectural design of a building, the more expensive it will be. If you want to use the best home builders in Australia, they might cost you more, but they will like also be the most experienced.
This is because concepts like voids, split levels, and open plans are harder to conceive, assemble, and build.
Accessibility
If your property is set in an inaccessible area, such as a place with tight corners, slopes, or beside the water, you’ll have to pay the costs needed to ensure that labourers and equipment are properly supported and protected.
Time Frame
Properties that need to be built quickly will require more labourers and, therefore, will be more expensive. You can save by hiring a sole operator, instead, but that will stretch the time it takes to complete the home.
Is It Better to Build or to Buy in Adelaide?
It’s more cost-effective to build a home from scratch, plus it gives you more freedom and creativity to create the home as you imagine it. That said, it does take a lot of time and effort, and the bill can rack up if you require a lot of bells and whistles or run into unexpected mishaps.
If you have a bit more wiggle room in the budget or would rather find a turnkey property, look for the right match on Soho. Download the app for the full experience of saving and shortlisting the properties you love, and be one step closer to your future Adelaide home!
