Benefits to the Major Players.....
There are a number of benefits to the major segments.....the builder, the home owner and the financier. The following examples portray these benefits.
Financial Benefits for Builders
Based on average Australian house construction using the Megawall System
Average house size 243m2
Average cost of construction $300,000
(Data derived from realestate.com)
As can be seen by the above pie chart, Megawall builders will be cash flow positive sooner as a massive 75% of contract value is claimed within 4 weeks from start. Compared to traditional building timeline of 24 weeks.
Financial Benefits for the Home Owner
Based on the average build time in Australia of 8 months.
Based on these figures, home builders/buyers that are renting while waiting for their home to be built will be financially better off.
Based on the Santorini home in Australia the total build using the Megawall building system removes a considerable amount of material and trades from the equation therefore lowering the final cost by 11.5%. This is based on an average Australian new home build.
Derisking the Financier
Australian Banks and Financiers lend $20 Billion AUD per month on residential mortgages.
There is less risk when lending to home owners $160 billion AUD over 8 month period for the average home loan by reducing the average build time to 8 weeks equates to $120 billion AUD less exposure for banks and the builders releasing surplus funds sooner for re investment back into the housing sector.