2026 is here, and buyers across Australia are deciding whether to purchase an existing home or build a new one. Both options can be suitable, but they come with different timelines, costs and finance structures, all worth understanding before making a decision.
Buying an Existing Home
Established properties often suit buyers looking for certainty and speed.
Common considerations include:
Settlement allows for immediate occupation or rental
Access to established suburbs and infrastructure
The purchase price is agreed upfront at contract
Existing homes may require maintenance or future upgrades
For buyers prioritising location and shorter timeframes, established homes can offer a more straightforward path.
Building a New Home
Building remains popular for buyers wanting modern design and efficiency.
Key factors to consider:
New homes generally meet higher energy efficiency standards
Maintenance costs are typically lower in the early years
Construction timelines can vary and may be impacted by delays
Finance is usually structured as a progressive construction loan
Buyers in 2026 should pay close attention to contract terms and cost allowances when planning a build.
How Finance Structures Differ
The way a loan operates can differ depending on whether you buy or build.
In general:
Existing home loans are funded in full at settlement
Construction loans are released in stages as work is completed
Repayments during construction are often interest-only on funds drawn
Understanding these differences early can help manage cash flow and expectations throughout the process.
*Disclaimer
This information is general in nature and does not take into account your personal objectives, financial situation or needs. Individual circumstances vary, and speaking with a Bernie Lewis broker can help you understand how these considerations apply to your situation.
