THE BENEFITS OF BUYING A DETACHED HOUSE
There's something about owning your own piece of land with a stately detached house on it. A backyard for the kids and the dog to run around in, a couple extra rooms for visitors and a generously sized deck for long summer barbeques.
Despite that, apartments and units are becoming more and more common by necessity. One option isn't better than the other - they're just different - so we've had a quick look at the pros and cons of buying a detached house for your first home.
More room to move
Australian detached homes tend to be on the larger side. Australian Bureau of Statistics data has them averaging at around 248sqm, and states that they're consistently 100sqm larger than the apartments and units.
Buying a detached home could mean having more space.
You may not need 248sqm, but there's no doubt about it - if you buy a detached home, you're likely to have far more space. That'll mean in future you're far less likely to need to upsize when your family grows and you may have the use of a handy spare room and/or a garage.
Keep in mind though that with more house comes more maintenance - with a smaller apartment you're likely to spend far less time on upkeep.
Capital gains galore
After the struggle of putting a deposit together, capital gains are easy equity for first home buyers. And detached homes often show better value increases than other properties such as apartments or units.
CoreLogic RP Data's Monthly Indices proves this, showing that over the year houses in Australia's three biggest cities have appreciated in value by between 2 and 8 per cent more than units did. On the other hand, detached properties generally cost more than units so you may have to save up a larger deposit to get into one.
Make it your own
Keep in mind though that with more house comes more maintenance.
If you purchase an apartment, you'll only own what's inside your four walls, and your strata organisation may have rules against most renovations. In a detached house on the other hand, you're free to get the tools out, hire a tradie or two and make the place your own at your whim.
That way you can add more value to your home with renovations, or customise it as your needs change later in life.
If you're still tossing up your options get in touch with an experienced agent here at First National for useful advice. We've helped thousands of first time buyers find happy homes, and we'd love to help you too.