Whether you’re buying an established home or starting from scratch with a new home build, it’s easy to become caught up trying to decipher financial jargon and navigate industry lingo. And if you are building a new home, some of the key terms you’ll need to wrap your head around are titled and untitled land.

What's the difference between titled and untitled land?

Titled land means there is an official record of who it belongs to and it’s registered with the Land Registry. In short, it’s build-ready.

While on the other hand, untitled land is sold before it’s registered with the council and therefore it needs to go through the titling process. This means the lots usually still have to be connected to main amenities, such as footpaths, roads, water and power, and you’ll typically find these types of blocks in new estates and land releases.

Choosing either titled or untitled land can have a big impact on your home journey in terms of build time and budget, so it’s important to understand the pros and cons of each in order to make the right decision for you.

The pros and cons of titled land

Generally speaking, the biggest advantage of purchasing titled land is that it gives home owners a faster, and in many ways a more simple pathway, for starting their new build. With titled land, your builder is able to access your block for the necessary preliminary works and building can commence as the services are already connected. Additionally, you don’t have to worry about unforeseen weather conditions or drawn out council delays prolonging the titling process. Instead, you’re able to head to site to start bringing your vision to life.

Generally speaking, the biggest advantage of purchasing titled land is that it gives home owners a faster, and in many ways a more simple pathway,

This is also important when you think about extra costs. Many builders will have a fee built into the contract if there’s a drawn-out period of time between the customer signing the contract and the builder being able to go to site. Land titling can take anywhere between a couple of months up to even a couple of years, meaning delays could incur additional fees or a re-evaluation of the contract in its entirety. While titled tends to be more expensive than untitled land, you don’t have to gamble with council delays (and the subsequent fees) that are out of your and the builder’s control. Plus, for many, a big drawcard is that it presents a faster pathway to moving out of a rental and paying your own mortgage instead of your landlord’s!

The pros and cons of untitled land

For many, buying untitled land can be a practical solution for getting their foot in the property market. Not only do you tend to have a lower price point for buy-in, but we’re also seeing untitled blocks increase in value as owners wait for the title. Adding to this, the stamp duty you pay is calculated based on the value of the land, so purchasing untitled could mean that you end up less out of pocket.

The biggest consideration when buying untitled land is time. When you sign your Contract of Sale, your vendor will typically give you an approximate time frame of when you can expect your land to title. But as we’ve touched on, unpredictable weather and unforeseen council delays can cause these initial estimates to blow out, leaving you with no other option but to wait, or retrieve your deposit on the land and go back to square one.

Our local New Home Specialists have a lay of the land when it comes to the titled and untitled blocks in your preferred area and we always recommend having a chat with them to weigh up your options.

But if you already have titled land, for a limited time you’re entitled to some serious savings, putting cash in your pocket to add the finishing touches to your new home. Save tens of thousands and bring more living into your lifestyle. Your dream ensuite, ultimate entertaining set-up or wish list of luxe features are all now within reach when you build with Simonds.