Affordability Advice: What Will You Sacrifice?

We regularly get sold the idea we can have it all but usually this isn’t the reality for first home buyers – or for those building or buying a home in general. Making some sacrifices or tradeoffs is a common part of buying an affordable property, and those who build a home will tell you the same thing. While its understandable you’d want everything to be perfect with your new home, nearly all buyers will make some kind of sacrifices to get there.

It’s not all doom and gloom however since often the things that homeowners initially thought they would miss in their home, they learn to accept and getting into the market by making sacrifices puts them in a favourable financial position in the future. Here are some of the most common sacrifices that homebuyers – many of them first timers – are faced with.

 1.     Location

Almost always homeowners may not be able to buy the type of home they need in their ideal suburb. That doesn’t mean that there aren’t other suburbs or areas that offer a good lifestyle. It may just mean making sure there are good transport connection, or the home is close to shops and schools. Buying into a more affordable suburb now means that owners can trade up later. If the size of the home is important, or you want to be able to buy land, sometimes locations further away from the city or established areas is a reality.

 2.     Dwelling Type/Size

Just because you can buy a big home, doesn’t mean you always should. Especially if you are on budget. While it’s important to allow for enough space as your family grows being open to different dwelling types will give you more options of properties including duplexes, townhouses, or apartments. This may mean closer neighbours or will mean less privacy than a detached home. Sometimes this means sacrificing that spare bedroom which can knock between  $100,000 – $150,000 off the purchase price. Some buyers who are not wishing to sacrifice inner city lifestyle are choosing to get into the property market by buying in regional areas, and collecting rent, while continuing to rent in the city. Many other young buyers are making sacrifices by living with parents for longer, or pooling money with siblings to buy property.

 3.     Land Size

Its no secret that land in Sydney and around Australian capitals have continued to decrease in size, and your dream to build a 3 bedroom home plus a backyard with room for a pony may have to take a backseat. Land values in many areas are at a premium so this may mean settling for a smaller, or narrow block when building a new home. Fortunately Dixon have many smart designs to accommodate small and narrow blocks, and there are many options to still enjoy the outdoors, including patios, decks for a barbeque and outdoor entertaining. Vertical gardens that grow up instead of outwards are also making a major splash in metropolitan areas where land prices are at a premium.

Whether it’s the home type, the square footage, the block size, the location of the property, or other factors, its important to understand that some sacrifices are usually needed when building or buying a home. The payoff of ownership is worth it, however, and Dixon Homes can work with all budgets to find a solution that suits. To find out more about building or buying home and land in Sydney, call us today on 1300 10 10 10