Choosing a block of land is one of the biggest decisions in your home-building journey. The block affects what you can build, how much your build will cost, and the lifestyle and resale value of your home.
This checklist covers what to check before you buy land in Australia, so you can avoid costly surprises.
Buying land checklist at a glance
1. Check zoning, planning rules and any estate design guidelines
2. Do a title search and check for easements and covenants
3. Get the soil tested and find out the site classification
4. Assess the slope and drainage
5. Check bushfire, flood and other hazard overlays
6. Confirm water, sewer, electricity, gas and NBN connections
7. Check the block’s size, shape and frontage against your home design
8. Check the orientation and sunlight
9. Look at the location, amenities and future development nearby
10. Check the existing condition of the land
11. Add up the full cost, not just the block price
12. Have a solicitor or conveyancer review the contract, and talk to your builder early
Factors in choosing a block of land
Zoning Rules and Regulations: Different councils and local authorities in Australia have different zoning courts. These authorities impose various kinds of restrictions and limitations such as the size, height or style of your home, among other factors.
Have a solicitor or conveyancer review the contract before you sign. Talk to your builder before you commit, so they can check that your design fits the block and the rules.
Talking to your builder can make the difference as most reputable construction companies are cognizant of local rules and regulations.
Bushfire, flood and other hazards: Check whether the block is in a bushfire-prone area. If it is, it will have a Bushfire Attack Level (BAL) rating, from BAL-LOW to BAL-FZ, which sets the construction requirements.
Also check flood, landslip and coastal hazard overlays, and ask an insurer about cover before you buy, because flood or fire risk can raise premiums or make cover hard to get.
Location and Lifestyle: Consider the distance to schools, shops, transport and work, noise from main roads, and what’s planned nearby. Established and growing communities usually have more amenities and stronger demand when you sell or rent.
In more rural areas, you may pay extra for services and travel further.
Size, shape and frontage: Match the block to the home you want. A wider block suits a single-storey design, while a narrower block may only fit the floor area you need if you build up another storey. Rectangular blocks are the simplest to design for.
Corner and battle-axe blocks can work well, but they can have different setback rules, access or privacy issues, so check them against your plan.
Existing condition of the plot: Check for existing structures, trees, rubble, fill or contamination. Demolition, clearing and excavation add cost, especially on infill sites, where you also need to protect neighbouring homes during construction. If you’re replacing an existing home, see our guide to knockdown and rebuild.
Services and connections: New estates are often connected to the boundary for water, sewer, electricity and the NBN. On infill or rural blocks, connections can be costly, especially sewer. Confirm what’s connected and what you’ll need to pay for.
Slope and drainage: Sloping blocks can offer great views, but they can add cost for excavation, retaining walls, drainage and engineering. A split-level design can work with the slope instead of against it. Talk to your builder about the fall of the block before you commit.
Having said that, building on a slope has a lot of issues like draining and soil instability. This means construction of retaining walls and displacement of soil is needed as a fix. This extra preparation adds to both the cost and complexity of the entire project.
Title, easements and covenants: Do a title search to confirm ownership and check for anything that limits how you can use the land.
An easement gives someone else the right to use a defined part of your land, for example for a sewer pipe or a neighbour’s access, and you can’t build over it. A covenant can restrict things like building materials, further subdivision or the number of dwellings. Find out about both before you buy, so you can design around them.
Soil and Site Conditions: Soil affects your foundation and your building costs. Under Australian Standard AS 2870, sites are classified as A, S, M, H1, H2, E or P. Class A is the most stable. Reactive clay sites (M, H and E) generally need stronger, engineered slabs and footings, which cost more. Class P is a “problem” site, such as filled or unstable ground, and needs specific engineering.
A standard soil test for site classification typically costs hundreds of dollars, and it’s best done before you buy. In a new estate, the land agency or developer may already have soil information for your block, so ask.
Orientation and Sunlight:In Australia, living areas that face north generally get the most winter sun, which helps with passive heating and lower energy bills. Check where the sun falls on the block, and whether neighbouring homes or trees will shade it.
The full cost of buying land: The block price isn’t the only cost. Allow for stamp duty (called conveyance duty in the ACT), legal fees, soil testing, site costs such as retaining walls and levelling, service connections and landscaping, plus your building costs.
First home buyer concessions may apply, so check current eligibility.
Convenience and Lifestyle: Buying land in establishing or upcoming communities is generally a safe bet. There are always places to meet people, shops as such areas have a lot of commercial activity.
More rural or underdeveloped areas however may not have modern amenities nearby which means you may need to pay extra for things like water and gas connections. You may also need to invest in infrastructure like sewerage or drains.
How do I go ahead with buying land in the ACT?
Most ACT land is sold under a 99-year Crown lease, and the Suburban Land Agency (SLA) sells land on behalf of the ACT Government. When you buy from the SLA, you pay a 5% deposit at your purchasing appointment, which reserves the block for up to 14 days.
Choose a conveyancer or solicitor who understands how buying Crown land works. You’ll need approval for your building plans before construction starts.
How ABM Homes can help
ABM Homes builds across the ACT and NSW. We offer house and land packages, and we can also help you source your own block and check it against your design before you buy.
To get started, call us on 1300 330 236 or contact our team, and we’ll be with you ASAP.
Frequently asked questions
What should I check before buying land?
Check zoning and planning rules, the title (including easements and covenants), the soil and site classification, the slope, bushfire and flood risk, service connections, the block’s size and orientation, and the full cost. Have a solicitor or conveyancer review the contract.
Can I build on any block of land?
No. Zoning, overlays, easements, covenants and estate design guidelines can all limit what you can build, so check your design against the rules before you buy.
How much does a soil test cost?
A standard site classification test typically costs hundreds of dollars, while broader geotechnical reports cost more.
Should I buy land or a house and land package?
A house and land package pairs a block with a builder’s design, which can simplify pricing and approvals. Buying land separately gives you more control over your design and builder.