What does a new build really cost you, from land to tenant?

Estimates only. General information, not financial, tax or credit advice. Assumes stamp duty at the selected state's general (investor) rate for 2026-27, on the land price only, with no foreign purchaser surcharge, first home buyer concession or NSW premium duty on land over $3.87m, legals of $2,500, interest charged monthly on funds drawn, and your own build contribution paid before the loan draws. While the dwelling is being built, the land is treated as vacant under the ATO's vacant land rules, so land loan interest, council and water aren't deductible until the home is finished, can lawfully be lived in and is available for rent. Those costs may be added to your cost base for capital gains tax. Interest on construction funds is treated as deductible during the build, in line with ATO guidance. Uses 2026-27 resident tax rates plus 2% Medicare levy for every year. With two owners, every tax figure (build-phase interest and holding costs, then rent, running costs, interest and depreciation) is split by each owner's share on title and taxed at their own marginal rate, with quarantined losses tracked per person. The split follows the title, not the loan or who pays. Ownership through a company or trust is shown before tax only. Also assumes running costs rising 3% a year, Div 43 at 2.5% of the build contract and Div 40 falling 20% a year. The negative gearing check simplifies the Treasury Laws Amendment (Tax Reform No. 1) Act 2026. The definition of a new dwelling is still in a Treasury exposure draft (August 2026) and could change before it becomes law. Losses on non-qualifying property are quarantined from 1 July 2027. Excludes LMI, land tax, builder variations, later vacancies and the CGT changes. Speak to your accountant and broker before you commit.