ABSOLUTE HOMES

Fixed-Price vs. Turnkey: What’s the Difference and Which One’s Right for You?

When you're building a new home, understanding how you'll pay for it is just as important as choosing the perfect floor plan. Two of the most common pricing structures are fixed-price contracts and turnkey packages—and while they both get you to the same place (your dream home!), the journey can look a little different.


So, what’s the difference?

Fixed-Price Contract

A fixed-price contract means you agree upfront on the total cost of your build—no surprises later. This option gives you clarity from day one, with all build costs locked in, including materials, labour, and allowances.


You’ll pay the builder in stage payments (e.g. deposit, foundation, roof on, etc.) as construction progresses.


Why people choose this option:


  • You know exactly what you’re paying for
  • Easier to budget
  • Ideal for people with a construction loan
  • Great for those who want transparency and peace of mind


Keep in mind:


  • You’ll need to have your loan approved in advance and manage the stage payments
  • You may need to factor in some upfront costs like legal fees & landscaping unless otherwise included 

Turnkey Package

With a turnkey build, you pay a deposit upfront and the rest when the home is 100% finished and ready to move in. The builder covers all construction costs along the way—you don’t make progress payments.


This option is popular with first-home buyers because it keeps things simple—just sign, wait, and move in!


Why people choose this option:


  • Lower upfront costs
  • No stage payments during the build
  • Easier for people with lower deposit or standard home loans
  • Less admin during construction


Keep in mind:


  • Costs more than a fixed-price contract, as the builder covers all construction costs throughout the build before final payment
  • May be less customisable (if the build has began construction)

So, which option is right for you?

There’s no one-size-fits-all answer—it depends on your budget, your lending situation, and how involved you want to be during the build. At Absolute Homes, we offer both fixed-price and turnkey options, and we’re happy to talk through what’s best for your situation.


We’re here to make building your new home as straightforward and enjoyable as possible—whichever path you take.