The Cheapest Way to Build a House in NSW: 9 Savings That Matter
The cheapest way to build a house in NSW
Build a compact, simply shaped, single-storey home on a flat block, approved as complying development, at a basic or mid-range finish. On CKS Projects' figures a 180 m² home built that way costs about $525,000–$740,000 all-in before land. The same floor area at a premium finish on a steep block costs about $815,000–$1,180,000.
- $2,000–$2,400per m², basic finish
- $70k–$100ksaved on a flat block vs steep
- 15–25%added by complex shapes
- $13k–$30ksaved with a CDC vs a DA
Talk to the builder, not a salesperson. A detailed fixed-price quote before you sign. NSW contractor licence 258735C.
By Keiron Moore, Director of CKS Projects, with 25+ years building on the South Coast. Updated October 2026.
Important Disclaimer:
“This article is general guidance, not an exact price guide, guaranteed returns, or a substitute for professional advice or a formal quote. Construction costs, rental yields, and capital growth examples reflect 2025 conditions and will vary with site constraints, design, materials, and market movements. Speak with a qualified financial adviser before making investment decisions. For accurate estimates and design recommendations for your site, contact CKS Projects. We’ll provide a comprehensive consultation and a formal quote tailored to your Wollongong new home.”
Government charges are as published at the date shown and change over time.
The 9 biggest savings when you build a house
Each saving is worked from CKS Projects' published figures for 2025 conditions. Most of them are decided before a single brick is ordered: in the block you choose, the size and shape you design, and the approval pathway you can use.
| Choice | What it changes | Saving |
|---|---|---|
| Build less floor area | Every 10 m² at a mid-range finish | $24,000–$28,000 |
| Choose a basic or mid-range finish | 200 m² at basic instead of premium | $200,000–$280,000 |
| Build on a flat block | Site works on a flat block instead of a steep one | $70,000–$100,000 |
| Keep the form simple | Avoiding the 15–25% that complex shapes add, on 200 m² mid-range | $72,000–$140,000 |
| Build single storey where the block allows | Single-storey vs two-storey rates on 200 m² | $80,000–$120,000 |
| Qualify for a CDC instead of a DA | Approval, certificate and report fees | $13,000–$30,000, and months |
| Adapt a proven design | Design fees, instead of starting from a blank page | $10,000–$20,000 |
| Test the ground first | A $1,500–$2,500 geotechnical report | Avoids foundation surprises of $50,000 or more |
| Build on land you already own | A knockdown rebuild instead of buying a new block | The land, its stamp duty and the HPC |
Your block decides the biggest savings. On a slope, talk to sloping block builders before you choose a design, and read how council approval works to see whether a CDC is open to you. To see how floor area alone moves the price, use the estimator in the 4 bedroom house cost guide.
Lean build vs premium build: the same 180 m²
| Lean build | Premium build | |
|---|---|---|
| Finish | Basic, $2,000–$2,400 / m² | Premium, $3,000–$3,800 / m² |
| Block and approval | Flat block, CDC | Steep block, DA |
| Construction | $360,000–$432,000 | $540,000–$684,000 |
| All-in before land, with contingency | $525,000–$740,000 | $815,000–$1,180,000 |
Same floor area, a difference of about $290,000–$440,000. Run your own numbers in the house cost estimator.
How to cut cost without cutting corners
Design out wasted floor area
Every square metre costs $2,000 or more to build. Tight circulation and rooms that do double duty keep the home smaller without feeling small.
Keep the form simple
Simpler forms built well beat complex designs built cheaply. Fewer corners, roof valleys and level changes mean fewer hours on site.
Spend where it lasts
Mid-range is usually the sweet spot: quality that holds its value, without paying for features that don't pay you back.
Choose materials that perform
Locally available bricks cost less than imported stone. Porcelain tiles that look like marble cost about half as much and perform as well.
Cheaper routes: rebuild, granny flat, owner-builder or kit
Knock down and rebuild
Build on land you already own: no land purchase, no stamp duty on a new block and no Housing and Productivity Contribution on a one-for-one rebuild. Demolition and asbestos are extra. See knockdown rebuild costs and knockdown rebuild builders.
Granny flat
If you need a small second home rather than a new house, a secondary dwelling of up to 60 m² pays no HPC and usually no Long Service Levy. It can't be subdivided or sold separately. See granny flat costs and studio and granny flat builders.
Owner-builder
You save the builder's margin and take on the coordination and risk. NSW needs an owner-builder permit for work over $10,000 that requires a DA or CDC, and an approved course for work over $20,000.
Kit home
A lower advertised price, but it rarely includes site preparation, footings, stormwater, connections or approvals. Compare fully installed prices.
Owner-builder rules: NSW Government, when an owner-builder permit is needed. HPC: NSW Planning, HPC worked examples.
False economies to avoid
- Skipping the geotechnical report. It costs $1,500–$2,500. Reactive clay alone can add $20,000–$40,000 in deeper footings, and rock $30,000–$60,000.
- Building with no contingency. Hold back 10–15%. Every project runs into something unplanned.
- Picking the lowest quote on the headline number. Low quotes often carry large provisional sums and prime cost allowances that come back as extra costs. See fixed price vs cost plus.
- Budget fixtures throughout. They save money up front but wear out sooner. Spend on the things you touch every day.
How CKS Projects keeps a budget on track
Free discovery call
Talk through your land, ideas and budget with the builder, not a salesperson.
Design to the budget
Your home is designed for your block, with 3D renders, so the cost drivers are visible before you commit.
Itemised preliminaries
Site setup, management, compliance and logistics costs are priced before a contract is issued.
Fixed-price contract
A detailed fixed-price quote before you sign. Any variation is documented and priced before work proceeds.
More on new home builders in Wollongong. Not sure which type of home fits the budget? Compare spec, project and custom homes.
Cheapest build FAQs
What is the cheapest way to build a house in NSW?
Build a compact, simply shaped, single-storey home on a flat block, approved as complying development, at a basic or mid-range finish. On CKS Projects' figures a 180 m² home built that way comes to about $525,000–$740,000 all-in before land, against $815,000–$1,180,000 for the same floor area at a premium finish on a steep block.
What is the cheapest type of house to build?
A single-storey home with a simple rectangular footprint and one roof line, on a flat block. Every corner, roof valley and level change adds cost, and complex shapes add 15–25% to construction.
Is it cheaper to build a single-storey or double-storey house?
Per square metre, single storey: about $2,200–$2,600 per m² against $2,600–$3,200 for two storeys. On a narrow or sloping block, though, a two-storey design can fit the same floor area with less site work, so compare whole-project budgets.
How much does a complying development certificate save?
On CKS Projects' figures, CDC and occupation certificate fees run about $4,500–$7,500, against $17,500–$37,500 for a DA with a construction certificate, occupation certificate and extra reports. A CDC can also be approved in as little as 20 days, against 12–16 weeks or more for a DA.
Is owner-building cheaper?
It can remove the builder's margin, but you take on the coordination, the program and the risk. In NSW you need an owner-builder permit when the work needs a development consent or CDC and costs more than $10,000, and you must complete an approved owner-builder course when it costs more than $20,000.
Are kit homes cheaper to build?
The advertised price is lower, but it rarely includes site preparation, a slab or footings, stormwater, service connections or approvals. Compare a fully installed, approved price before you decide.
Is a knockdown rebuild cheaper than buying land and building?
You avoid buying land and the stamp duty on it, and a one-for-one rebuild pays no Housing and Productivity Contribution. You add demolition and any asbestos removal, priced after an inspection. See the knockdown rebuild cost guide.
What should you never cut to save money?
The geotechnical report, a 10–15% contingency, and a licensed builder with home building compensation cover. Each costs little next to the problems it prevents.
Does the cheapest quote mean the cheapest house?
Not always. Low quotes often lean on provisional sums and prime cost allowances. In one CKS Projects example, an $850,000 quote needed another $65,000 to actually complete the project. Compare what each quote includes.
Find the savings on your block
Tell us about your land and what you need. We'll show you where the money goes, then give you a detailed fixed-price quote before you sign anything.
