/ 11 July 2011

Is it cheaper to build or buy a house?

Tsolo asks: Which is a better in terms of cost savingm, buying a complete house or buying an empty stand and building a house yourself?

Maya replies: What may surprise many people is that it is usually more cost effective to buy an existing home. It would cost you about 20% to 30% more to build than it would cost you to buy the identical existing house.

It all depends on what you plan on building, but a small home in a good area will cost around R4 000 to R5 000 per square metre to build and the building costs for a duplex house or apartment costs between R5 000 to R6 000 a square meter.

The basic building costs of a luxury cluster could cost between R7 100 and R8 600 per square metre.

You also need to factor in other issues, like the fact that building your own home gives you a home exactly the way you want it. There may be no suitable houses in the area you want to live but land is available. But if it is cost saving you are after, buy an existing home.

If you are planning on building, speak to other people who have built or renovated their homes and they will tell you that it takes twice the time they expected it to take and at least 50% more than they were quoted.

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