How house and land works

A house and land package is two purchases put together so you can see the total price upfront. You sign two separate contracts.

Aira is not a party to either contract. We partner with the builder to put the package together, publish every detail and answer your questions.

Titled land is ready to build on now. Untitled land is still being developed; you may wait months for it to title, and your finance approval can expire in that time. Every package here tells you which one it is.

Your buying journey

1. Look around and run the numbersBrowse packages, open the calculator and read the inclusions. If you have questions, leave your details and we will get in touch.
2. Talk to a broker and an accountantGet pre-approval and check how the purchase fits your tax position. We can suggest independent people; you choose.
3. Build and submit your packageChoose standard selections or upgrades and send it to us. We confirm availability and price any upgrades.
4. Complete your Expression of InterestIf you want to go ahead, you complete an EOI form. We then request your land contract from the developer and your building contract from the builder.
5. Sign the land and building contractsHave a conveyancer or lawyer review both. You pay the land deposit to the developer and the building deposit (5% maximum) to the builder, directly.
6. Formal finance and land settlementYour lender values the finished home, then the land settles in your name.
7. Permits and site startSoil test, engineering and building permit. Construction usually starts 6 to 12 weeks after land settles.
8. ConstructionAround 8 to 12 months for a single-storey home. You receive photos at each stage and approve each progress payment.
9. HandoverAfter the occupancy permit, final payment, keys and warranties. A 6-month maintenance period starts.
10. Lease it or move inA local property manager can have it listed before handover so it starts earning quickly.

Watch the construction stages step by step

Money: what you pay and when

You never pay money to Aira. Deposits go to the land seller's trust account and to the builder, under your contracts.

Your lender pays most of these from your loan. While the house is being built you normally pay interest only, on the amount drawn so far. The calculator estimates this cost.

First home buyers

Victoria and the federal government both help first home buyers who buy a new home. Eligibility rules apply, so confirm with your broker and the State Revenue Office.

First Home Owner Grant

$10,000 towards a new home valued at $750,000 or less. For house and land, the value is the land and the building contract together. You must live in it for 12 months, starting within 12 months of completion.

Stamp duty

No duty on land up to $600,000 for eligible first home buyers, and reduced duty up to $750,000. On a house and land package, duty is worked out on the land contract only.

5% Deposit Scheme

A federal scheme that lets eligible first home buyers borrow with a 5% deposit and no lenders mortgage insurance. Price caps apply: $950,000 in Melbourne and Geelong, $650,000 elsewhere in Victoria, including Ballarat.

Turnkey matters more

With a small deposit there is no room for extras mid-build. A turnkey price means flooring, blinds, driveway and landscaping are already paid for in the loan.

Sources: State Revenue Office Victoria; Housing Australia. Rules as at September 2026.

Tax basics for investors

This is general information about how the rules work, not advice about your situation. A registered tax agent should confirm what applies to you.

Negative gearing

If the property costs more to hold than it earns in rent, the loss can reduce your other taxable income. From 1 July 2027 this is limited to new builds, plus properties bought before 7:30pm on 12 May 2026.

Capital gains

Investors in new builds can choose the 50% discount or the new indexation method when they sell. Established purchases move to the new method for gains after 1 July 2027.

Depreciation

A new home lets you claim the building itself (usually 2.5% of construction cost a year) and its fittings such as the oven, carpet and blinds. You need a quantity surveyor's schedule. It is a tax deduction, not cash in your pocket.

Costs during construction

Interest and holding costs while the land is vacant and the home is being built are generally not deductible until the home is finished and available to rent. They may form part of the cost base instead.

Land tax (Victoria)

Charged each year on the site value of Victorian land you own on 31 December, excluding your own home. If this is your only Victorian investment, it is assessed on this lot alone.

Stamp duty

Paid on the land contract only, not on the building contract. On a $300,000 lot that is about $13,070 at general rates.

Buying from interstate

• You can sign contracts electronically and never visit. Many buyers visit once, for handover, or not at all.
• Use a Victorian conveyancer for the land contract. Settlement is done electronically.
• Consider an independent building inspector at frame, lock-up and completion. It costs roughly $400 to $600 per stage and protects you before each payment.
• Victorian land tax applies to investment land here even if you live elsewhere. It does not combine with land you own in other states.
• Choose a local property manager before handover so the home is advertised early.

Key terms explained

Turnkey

The home is finished and ready to live in: floor coverings, blinds, driveway, landscaping, fencing and appliances included. Some builders use the word loosely, so always read the inclusions list.

Site costs

The cost of preparing the ground: levelling, the type of slab the soil needs, and connecting services. Fixed site costs mean the price will not change after the soil test, within the stated conditions.

Variation

A change to the contract after signing that adds or removes cost. Turnkey packages keep these to a minimum.

Practical completion

The builder has finished the home to the contract, apart from minor defects. Final payment is due only after the occupancy permit.

Occupancy permit

Issued by the building surveyor to confirm the home is safe to live in.

Domestic building insurance

Covers you if the builder dies, disappears or becomes insolvent and cannot finish or fix the work. The builder must give you the certificate before taking a deposit.

LVR and LMI

Loan to value ratio is your loan as a share of the price. Borrowing above 80% usually means lenders mortgage insurance, a one-off premium that protects the lender, not you.

Gross yield

A year's rent divided by the purchase price. A quick comparison, not your actual return.

Rental appraisal

A written estimate of rent from a local property manager. Ask for one on any package before you commit.

Questions to ask anyone selling you a package

Ask us these too. If an answer is vague, walk away.

1. Who is the registered builder, and what is their registration number?Check it on the Building and Plumbing Commission register.
2. Is the land titled? If not, when?
3. Are site costs fixed, and under what conditions?
4. What exactly is not included?
5. Where does the rent estimate come from, and how old is it?