Building your first home in Perth is exciting, but it’s also filled with decisions that can make or break your experience.
This guide compiles the 20 most common lessons first-time home builders learned the hard way, so you can avoid the same mistakes and build with confidence from day one.
🚨Quick Tool: If you’re short on time, we’ve condensed these 20 lessons into a simple Google Sheets Survival Tracker. It includes a checklist of all the points below and a calculator to help you estimate your total project costs. Click here to Get the Google Sheet Checklist & Calculator.
1. Your Initial Quote Isn’t Your Final Cost
Most first-time builders assume the builder’s quote is set in stone. The reality is that Perth projects routinely exceed initial estimates by 10-20% due to site-specific costs, variations, and unforeseen complications.
What you should know: Rocky soil, poor drainage, or the need for retaining walls can add $15,000-$40,000 to your build. Always budget for a 15-20% contingency on top of your quoted price.
2. Not All Builders Are a Good Fit
Walking into a display home and signing with the first builder you meet is one of the biggest mistakes first-time builders make. Display homes showcase the best of what a builder can do, which is not necessarily what they will do for your project.
What you should know: Builder quality varies dramatically across Perth. Some excel at volume builds, others at custom designs. Research their track record, visit recently completed homes (not just display homes), and verify their licensing and insurance status.
3. Land Costs Are Just the Beginning
You’ve found the perfect block at a great price, but have you factored in connection fees, earthworks, and site preparation? Many first-time builders focus solely on the land purchase price without considering these essential costs.
What you should know: Connecting utilities (water, sewer, power) can cost $5,000-$15,000. Sloping blocks may require $20,000-$50,000 in earthworks and retaining walls. Always get a site assessment before committing to land.
4. Timing Your Land Purchase Matters
Buying land too early means paying holding costs (rates, land tax) while you finalise your build. Buying too late might mean missing out on your ideal block or facing price increases.
What you should know: The optimal timeline is securing finance pre-approval first, then land and builder simultaneously. This minimises holding costs while ensuring you don’t lose your preferred block.
5. Display Home Inclusions Aren’t Standard
That stunning kitchen, designer tiles, and landscaped garden you saw at the display home? They’re often upgrades that cost tens of thousands extra.
What you should know: Always ask for a detailed inclusions list showing what’s standard versus upgraded. Compare apples to apples when evaluating different builders’ quotes.
6. Council Approval Takes Longer Than You Think
First-time builders often underestimate how long council approvals take in Perth. What you assume will be a few weeks can stretch to several months, especially for complex designs or heritage areas.
What you should know: Standard approvals take 6-12 weeks. Complex designs, sloping blocks, or heritage overlays can extend this to 4-6 months. Factor this into your timeline and rental commitments.
7. Your Builder’s Financial Health Matters
Perth has seen several high-profile builder collapses in recent years, leaving homeowners with unfinished projects and significant financial losses.
What you should know: Check your builder’s financial stability through ASIC records, industry reputation, and how long they’ve been operating. Ensure they have proper insurance and ask about their current project load.
8. Verbal Agreements Mean Nothing
“The sales rep said it was included” is a phrase we hear constantly from first-time builders facing unexpected costs. If it’s not in writing, it doesn’t exist.
What you should know: Every promise, inclusion, and specification must be documented in your contract. Never rely on verbal assurances, no matter how trustworthy the sales representative seems.
9. Cheapest Isn’t Always Best Value
Choosing the lowest quote often leads to the most expensive build. Cheap quotes usually mean cheaper materials, rushed work, or hidden costs that emerge later.
What you should know: Focus on value, not just price. A builder charging $20,000 more but including quality fixtures, better warranties, and proven reliability will save you money and stress long-term.
10. Site Inspections Are Non-Negotiable
Many first-time builders skip site inspections during construction, assuming the builder will get everything right. This is a costly mistake.
What you should know: Attend every major stage inspection (slab, frame, lock-up, fixing, practical completion). Issues are far cheaper to fix during construction than after handover.
11. Variations Add Up Fast
That small change to move a window? The upgraded tapware you fell in love with? Each variation seems minor, but they compound quickly.
What you should know: Track every variation in a spreadsheet with costs. Set a strict variations budget (typically $10,000-$15,000) and stick to it. Remember, variations are charged at premium rates.
12. Energy Efficiency Pays for Itself
First-time builders often skimp on insulation, window quality, or solar panels to save upfront costs. This is short-sighted thinking.
What you should know: Perth’s climate means cooling costs dominate your energy bills. Investing an extra $5,000-$10,000 in double-glazing, quality insulation, and solar panels can save $1,500-$2,500 annually.
13. Orientation Matters More Than You Think
The direction your home faces dramatically impacts liveability and energy costs. Many first-time builders don’t consider this when choosing land or designing their home.
What you should know: North-facing living areas maximise natural light and warmth in winter. West-facing bedrooms become unbearably hot in Perth summers. Design your floor plan around your block’s orientation.
14. Fixed-Price Contracts Have Loopholes
A “fixed-price contract” sounds reassuring, but it doesn’t mean your costs are locked in. Variations, site costs, and exclusions can still blow your budget.
What you should know: Read the fine print. Understand what’s excluded (landscaping, fencing, driveways are often extra). Clarify what triggers price variations and how they’re calculated.
15. Builder Delays Are Common
Expecting your home to be completed on the contracted date is optimistic. Material shortages, weather, and labour availability regularly cause delays in Perth.
What you should know: Build an extra 2-3 months into your timeline. Don’t give notice on your rental or sell your current home based on the contracted completion date alone.
16. You Need More Storage Than You Think
First-time builders consistently underestimate storage needs. What seems like adequate cupboard space in the plans feels cramped once you move in.
What you should know: Maximise storage in your design phase. Add extra linen cupboards, pantry space, and garage storage. It’s far cheaper to include during construction than to add later.
17. Landscaping Costs Are Substantial
Many first-time builders exhaust their budget on the house, leaving nothing for landscaping. You’re left with a beautiful home surrounded by dirt and weeds.
What you should know: Budget $15,000-$30,000 for basic landscaping (lawn, gardens, paths, fencing). Factor this into your total project cost from the start.
18. Your Neighbours’ Builds Affect You
If you’re building in a new estate, neighbouring construction can cause delays, damage, and disputes. Many first-time builders don’t anticipate these issues.
What you should know: Coordinate with neighbours on shared costs (retaining walls, fencing). Document your property’s condition before neighbouring builds start. Understand your rights regarding construction damage.
19. Defects Are Normal, but How They’re Fixed Isn’t
Every new home has defects. The difference between a good and bad building experience is how quickly and professionally your builder addresses them.
What you should know: Document every defect with photos during your pre-handover inspection. Understand your builder’s warranty and defects process. Don’t accept handover until major issues are resolved.
20. You Don’t Have to Navigate This Alone
The biggest lesson first-time builders wish they’d known? You don’t need to figure everything out yourself. Expert guidance exists, and it costs you nothing.
That is exactly where a building broker adds value. Instead of navigating land, builders, quotes, and approvals alone, you get experienced support from the very beginning. The result is a smoother process, fewer surprises, and a home build that stays aligned with your budget and expectations.
At Better Way 2 Build, we have guided hundreds of first-time builders through the process, helping them avoid costly mistakes, compare builders properly, and understand the true cost of their project before they commit. If you’re planning your first build in Perth and want expert guidance at no cost to you, speak to Better Way 2 Build today.
Check out Our Step by Step Home Building Support Process here.
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