Browse Forums Owner Builder Forum 1 May 27, 2014 4:43 pm What is the cost deference between owner builder and building with project home builder? Re: Cost of building house 2May 27, 2014 4:59 pm It will vary dramatically as to what,where and when you build. I had Stroud Homes put together something for us, and their price was just under $270,000 and that was depending upon M class slab and standard earthworks. I then started to see what I could do as a owner builder, and then got my own new plans drawn up, and whilst they vary in several areas, the house isn't all that different, but my estimates up to now, and the roof is going on tomorrow, is that I'll end up paying between $160,000 and $180,000 depending up what addons I do to have a finished home. The soil test came out as H1 and the excavations had to remove several rocks. So the Stroud quote could've quite easily have gone up another $20,000. Will you achieve a $100,000 saving over a project home ? who knows, you may not. You really need to sit down and work it all out for yourself. Owner Building at Jimboomba Woods in Logan City Qld. Blog : http://bandlnewhomebuild.blogspot.com H1 thread : viewtopic.php?f=38&t=68283 . Re: Cost of building house 4May 28, 2014 11:49 am How you will be financing the build also needs to be a factor in the decision making (outside of just the overall cost). A lot of banks have a stricter LVR for owner builders in comparison to using a project home builder. I'm not sure if this has been considered, as it wasnt mentioned in your post, so forgive me if you were already aware of this. There have just been some previous posts in relation to Owner builder vs Project Builder and what is cheaper etc, without this little "issue" being factored in. Thread: viewtopic.php?f=31&t=66299 Slab: 16/6/14 Frame: 4/7/14 Roof: 22/7/14 Lock Up: 20/8/14 Fixing: 26/8/14 PCI: 9/10/14 Handover: 20/10/14 Re: Cost of building house 5May 28, 2014 1:56 pm I will be going through bank and I also heard that they are very stick with owner builder. If I will go owner builder path, I will not be doing anything myself. So I don't think there will be any significant saving. I just wanted to know from your experience if I decide to go this path. Thank you very much for your quick response. Re: Cost of building house 6May 28, 2014 2:43 pm They are VERY conservative with owner builder loans. You'd need to be putting up at the least, 40% of the value and be under a 60%LVR for them to consider it. Not always possible for everyone! All the best with however you do proceed Thread: viewtopic.php?f=31&t=66299 Slab: 16/6/14 Frame: 4/7/14 Roof: 22/7/14 Lock Up: 20/8/14 Fixing: 26/8/14 PCI: 9/10/14 Handover: 20/10/14 Re: Cost of building house 7May 28, 2014 3:02 pm A lot of people can't differentiate between an owner builder and project manager. Most OB's do a lot of the physical work themselves as well as running the job - getting quotes, organising materials and subbies etc. The work that they can do onsite is digging footings, laying the reo, installing the insulation etc. Mostly they will still get concretors, brickies and carpenters in to do their part of the build ( as well as the trades you can't do your self like electrical and plumbing ). Some OB's will do all the first three as well. This as qebtel mentions is where they save a lot but you have to balance that by the time not being paid from your regular job. PMs do the organising and running the site without doing much physical work on the tools and from some of the guys I know who do this for a living, this will only save you money on bigger more expensive builds. If it is for a run of the mill, standard type of house you will not beat a project home builder on price. Only if it is a one off design or something not standard that has lots of inclusions or extras. You have to weigh up whether you have the time, inclination and knowledge to run a job as an OB. Stewie Re: Cost of building house 8May 29, 2014 6:51 pm Hi zeeshanzaki There is no easy answer to your question. There are so many variables. As StewieD suggests you are better off going with a project home builder if it is a standard design and you have no skills to do anything yourself. If you are after a custom design then OBing will save you a lot. It has taken me some time but I have finally received approval from a significant lender to provide finance for up to 80% LVR for an owner builder using a project manager. Conditions do apply. Because you can save between 20-30% by not using a contract builder for a custom home you will effectively be able to borrow 100% LVR. This is because the bank views the final value of the home equal to a contract builder quote and not the actual cost of an owner builder build cost.if you save 30% on your build quote then that money is yours. Professional Project management makes a huge difference to OBs and also banks assessing risk. As STewieD suggests Owner Building is not for everyone but it is an option. I have heaps of free info on my website if you want to weigh up whether to be an OB or not. Www.greenifyconsulting.com.au After you have fully researched the options you will be able to answer your own question. Re: Cost of building house 9May 30, 2014 8:58 am Greenify and Stewie Thank you very much for sharing your knowledge. I am still exploring both options and more likely will go for project builder option. But havent decided yet. Re: Cost of building house 10Jul 02, 2015 11:29 am In my experience it all depends on time constraints and how handy you are. As others have said, if you're going to manage the project yourself you won't save that much. In the OB projects I've done with my dad, we've managed the trades as well as dug trenches, help lay plumping and electrical conduits, laying the reo, installing insulation and even worked at a labourer for brickies. We didn't have a strict deadline to stick to so although we did a lot of manual labour ourselves at a slower pace, it didn't worry us too much. Re: Cost of building house 11Jul 10, 2015 12:20 pm drad81 As others have said, if you're going to manage the project yourself you won't save that much. . Thats not what other have said at all. They've said the more you do yourself, the more you save. Project management is one area you will save if you can do it. last time I checked they charged a hefty fee. Re: Cost of building house 12Jul 10, 2015 1:07 pm I think the point may have been if you only manage the project yourself, and get trades to do the physical work, then you won't save much over getting a builder to do it. Re: Cost of building house 13Jul 10, 2015 6:56 pm My last owner build project i did in sydney cost me $300,000 for a high spec finish. It was a single storey 39sqm total on a flat block of land with no rock or anything. Inclusions. Full render acrylic 80mm waterfall caesarstone benchtops 2.7 ceilings raked ceilings in living 5 bedroom 3 bathroom 130mm blackbutt select grade floor all areas except wet areas led downlights all rooms marble tiles in all bathrooms floor to ceiling full frameless shower screens x3 6 shower heads fire place alfresco bbq area done with mini kitchen etc cost me $700,0000 with land and sold for $945,000. Good on you for having a go I am the opposite of DIY (so will pay a builder) - our vibe is industrial/simple so current thinking is 150mm concrete and then internally is… 3 3150 there is a few calculators you can use if you just google it 7 10461 custom probably not. Volume, most defiantly, but spec would vary. If youre doing a knock down, there additional costs associated with that that will eat into your budget… 1 10591 |