Turn Key Packages vs Custom Builds: A Cost-Benefit Analysis

The tension between turn key packages and custom builds is real, but it's often framed incorrectly. Turn key is not the budget option, top-end H&L packages regularly push $600,000 to $800,000 with premium facades and full fitouts. The difference is process, not price.

Turn key packages offer three distinct advantages: speed (contracts are simpler, design is fixed, construction is faster), certainty (fixed-price contracts mean cost overruns are the builder's problem, not yours), and finance simplicity (lenders treat turn key packages more like established property than progressive construction loans).

Custom builds offer greater design control, the ability to integrate sustainability features more deeply, and often better lot utilisation, particularly important on irregular blocks. They also carry more risk: cost escalation through variation, longer timelines, and more decisions to manage.

For first home buyers or investors who want a streamlined process, turn key is almost always the right call. For owner-occupiers who have specific design requirements, significant equity, and tolerance for a longer and more complex process, a custom build may deliver a home that better matches their vision.

The honest answer is that most buyers overestimate how much they'll customise and underestimate how much complexity that customisation creates.