Thinking about building your first home in Perth? You’re not alone. In a competitive property market where prices for established homes just keep rising, many first-home buyers are asking: how much does it cost to build a house in Perth?
If you’re weighing up building versus buying an established home, it’s worth understanding the full picture because there are savings to be had and smart choices to be made.
In this article, Easystart Homes Sales Manager Craig Padfield breaks down the costs and answers common questions that every first-home buyer asks. So, how much does it cost to build a house? Let’s find out.
Building versus buying: What’s the cost difference?
Buying an established home may seem like the easier option, but it often comes with extra expenses. One of the biggest? Stamp duty.
“When you buy an established home, you’re paying stamp duty on the full purchase price,” Craig explains. “And that can add tens of thousands of dollars to the purchase price.
“With a new build, stamp duty applies only to the land, and if you’re eligible for the First Home Owner Grant, that amount can be significantly reduced or is even waived completely on land with a purchase price of under $450,000.”
This can make building a home more affordable than it first appears, especially if you’re eligible for government incentives.
If you’re still deciding between buying and building, understanding why building a new home can actually be cheaper in the long run can be helpful.
Can I afford to build a house?
It’s a question we hear a lot. And you might be surprised by the answer. Budgeting for a home build can feel overwhelming, but knowing where your money goes helps you stay in control.
Craig says the key to budgeting for a home build is understanding your non-negotiables and being realistic about what your first home needs to deliver. “It’s not your forever home; it’s your first step,” he says. “My advice is to prioritise function over features.”
Not sure how financing works when you build? Check out our guide on what a construction loan is and how it works to understand your options.
Wondering how construction loan rates compare? We explain whether construction loans have higher interest rates and what that means for your budget.
Factors that affect the cost of building a house in Perth
Every home is different, so these figures are just a guide, but the biggest influences on your build price are as follows:
Land costs
- In today’s market, expect land to make up around 45 to 50% of your total home and land package.
- Land prices in Perth can start at around $300,000 and increase to 10 times that, depending on location and block size.
- Suburbs in Perth’s outer north and south offer more affordable land options, while proximity to the city or coast will increase costs.
Materials and labour
- The average cost to build a house in WA has been affected by increased material prices and labour shortages.
- Skilled workers, particularly in trades like bricklaying and carpentry, are in short supply, which can increase labour costs for homeowners who decide to build. “The shortage of skilled workers is the biggest challenge now,” says Craig.
Home layout
- Think bigger houses are more expensive than smaller homes? Well, there’s more to it than size. Craig explains. “A square home with a simple layout is cheaper to build than a long, narrow or uniquely shaped home,” he says. “Every extra corner adds materials and labour.” An efficient design can help reduce costs.
- Features like roof shape, hallway length and wet area placement can also affect your final quote.
Materials
- High-end or custom-made materials can significantly increase both material and labour costs.
- Tiles that need special cutting or fixtures that aren’t standard sizes are more expensive and take longer to install. Sticking with standard sizes and more affordable finishes can help keep your build on budget.
The average cost to build a house in Perth
Based on our data, here’s a rough breakdown of a typical house and land package for first-home buyers in Perth when building with Easystart:
| Component | Estimated Cost |
| Land | $300,000 – $350,000 |
| House build (including site works) | $300,000 – $350,000 |
| Total Package | $600,000 – $700,000 |
These costs typically include:
- full turnkey finish (flooring, window coverings and paint)
- site works and council fees
- alfresco area and driveway paving.
Tip: Easystart’s turnkey packages mean fewer surprise costs, meaning your home is move-in ready.
For buyers building on their own blocks of land, the price per square metre to build a house in Perth typically ranges from $1,200 to $2,500. The wide range is due to factors like block access, materials, layout complexity and whether turnkey features are included in the price.
How much does a new house cost?
Let’s look at a four-bedroom home, one of the most popular house sizes. The cost to build a four-bedroom house generally starts at around $360,000 and goes up with upgrades and block requirements.
Going from a five-bedroom to a two-bedroom home? Smaller homes may seem like the more affordable option, but that’s not always the case. So, how much does it cost to build a small house in Perth?
“Economy of scale matters,” Craig says. “Larger homes can have a lower per-square-metre cost because fixed expenses are spread further.” So, while the overall cost for a small home is lower, the price per square metre can be higher.
Why is it so expensive to build a house?
Wondering why it’s so expensive to build a house right now? Craig explains that house prices have been rising due to several factors. “It’s largely due to skilled labour shortages and material costs.”
That’s why it’s so important to buy smarter. Easystart mitigates some of these pressures with in-house steel manufacturing and a directly employed workforce, which means you, the buyer, have better cost certainty.
Hidden or lesser-known costs to keep in mind
Still thinking you might go it alone to build your new home? Craig shares a few common budget surprises that trip people up:
- Site works: Soil quality, slope, or bushfire ratings can drive up the costs of building a home on certain blocks.
- Noise or environmental overlays: Some blocks require extra insulation or engineering to comply.
- Design limitations from land zoning or orientation: These can force costly layout changes or even require a two-storey build.
- DIY costs after handover: Other builders don’t always include aspects like the letterbox, clothesline and backyard landscaping.
“When customers buy their own block then come to us, they’re sometimes shocked by the extra costs,” Craig adds.
“With our house and land packages, we’ve already done the due diligence – like checking bushfire ratings, soil conditions and zoning requirements – so you’re not hit with unexpected upgrades later. What you see is what you get.”
Choosing a house and land package can simplify your build – and your budget.
Can I reduce the cost of building a house in Perth?
Yes! But it’s about being strategic, not cutting corners.
“Remember, your first home doesn’t have to be your forever home,” says Craig. “Focus on what you need now, not what you might want in 10 years.”
Here are a few smart ways to stay on budget without compromising too much on lifestyle:
- Choose an efficient layout over a bigger one.
- Limit upgrades to essentials – you can add things like overhead cupboards in the kitchen, solar panels or painted feature walls later.
- Avoid complex shapes that increase build costs.
- Be realistic about what you can afford now.
- Choose turnkey packages to avoid budget blowouts later.
- Stick to the developer’s standard block orientation where possible.
Build smart with Easystart
So, how much does it cost to build a house in Perth? Right now, most first-home buyers spend around $600,000 to $650,000 on a move-in-ready package.
But the best way to get an accurate figure? Talk to an Easystart consultant who can get to know your needs and advise on the best way to get there.
At Easystart, we specialise in helping first-home buyers get into their new homes with confidence, clarity and no surprises. Our expert team can walk you through the real costs, help you access grants, and build a home that suits your lifestyle and your budget.
