Browse Forums General Discussion 1 Apr 24, 2009 6:26 pm I'm curious about this. Some of the prices we are being quoted by the builder don't seem to add up right, what they add up to is in the builder's favour, of course. Are we allowed to see the prices the builder is being charged. I've got no issue with him putting on a percentage in order to make a profit, but when his "quote" costs more than the retail prices that I would pay from the same supplier, I am a little concerned. We are being told that we cannot see the builder's prices and that we can only see the total price at the end of the quote. Re: Am I entitled to know the prices of building items? 2Apr 25, 2009 11:25 pm I'm not sure whether you're entitled or not to see prices. When I asked my builder about a particular item he became cagey and told me that the contract was for a fixed amount, set job etc and that was that, ie, not my business! Re: Am I entitled to know the prices of building items? 3Apr 25, 2009 11:35 pm Isn't it standard for them to chuck a 20% markup on their prices? This is a tough one, they sort of back you into a corner with some things. Is there something in your contract about the 20 or 25% markup? I don't know whether the have to legally show you anything. I've negotiated a couple of things with my builder, smaller builders can move a bit more in my experiences. Re: Am I entitled to know the prices of building items? 4Apr 25, 2009 11:36 pm i think if you have agreed to a fixed price contract then wether he pays 100 or 1000 for any product dosnt really matter as you agreed to the bottom line.he may make substantial profit in some areas but very little in others as long as you get the end result at the price you agreed to then you should be happy. keep in mind sometimes larger stores who buy in bulk will be able to sell for lower then some smaller suppliers can actually buy it for. recently our local hardware store said they pay $42.00 for a sheet of wood where i can buy from bunnings myself for $37.00. stay safe happy building Re: Am I entitled to know the prices of building items? 5Apr 26, 2009 4:20 am The things I'm wanting to see prices for are variations to standard items. We are getting slugged for changing taps, towel rails etc, adding extra taps and powerpoints. $500 to add an extra set of taps in the garage with the kitchen just on the other side of the wall, so all the piping is already there. I don't care or mind (much) that he will be adding his percentage onto the price. I want to know so that if I can buy the item somewhere cheaper than his supplier, then I want to do so. We are cutting it very close to the line on the amount we are borrowing and don't really have any room for being overcharged. We could borrow more, but that means redoing the loan application and being subject to the bank's new lending criteria, which would exclude us on the size of our almost non-existent deposit. I'm starting to think that we may have to start stripping out some of the extras and go with the builder's standard range and perhaps change these things down the track if we really want to, and only get the things that can't be done or changed later on, done now. Re: Am I entitled to know the prices of building items? 6Apr 26, 2009 7:28 am digamma I'm starting to think that we may have to start stripping out some of the extras and go with the builder's standard range and perhaps change these things down the track if we really want to, and only get the things that can't be done or changed later on, done now. That's exactly what we did, Digamma, after going the whole way to contract stage with two builders and battling the same issues as you do at the moment. One was horribly unclear about with prices and explained a lot of discrepencies away with explantions about having Buying Power or not, while the other was more transparent but much higher in the Basic House Price. At the end we came out at the same price with both builders but we are not sure if we are talking about the same quality in build. Overal there seems to be 20% profit in every build and you are paying one way or the other. Good luck . Re: Am I entitled to know the prices of building items? 7Apr 26, 2009 8:57 am digamma The things I'm wanting to see prices for are variations to standard items. We are getting slugged for changing taps, towel rails etc, adding extra taps and powerpoints. $500 to add an extra set of taps in the garage with the kitchen just on the other side of the wall, so all the piping is already there. I don't care or mind (much) that he will be adding his percentage onto the price. I want to know so that if I can buy the item somewhere cheaper than his supplier, then I want to do so. We are cutting it very close to the line on the amount we are borrowing and don't really have any room for being overcharged. We could borrow more, but that means redoing the loan application and being subject to the bank's new lending criteria, which would exclude us on the size of our almost non-existent deposit. I'm starting to think that we may have to start stripping out some of the extras and go with the builder's standard range and perhaps change these things down the track if we really want to, and only get the things that can't be done or changed later on, done now. unless its a structural change you will be better off waiting till after hand over to make the changes if they want an arm and a leg to get them done now. as for it being a simple job im sure there is no such thing in the building industry take into account its proberly a brick wall between house and garage and just because some pipes are already there it dosnt mean they dont have to put in extra pipes but its like anything mechanics charge upwards of $100 to put brakes on your car yet the brakes only cost them $20 it takes them 20 mins so works out at $240.00 an hr not bad for a mechanic. stay safe happy building The best advice is for you to get a competent building consultant to guide you through your build 7 4675 The significant date is when receive final payment invoice Check that section of contract Bit of fluff by builders prior to that 1 15937 Tradie may sit at home but will need to get house plastered as well or will you sit it out? 6 9961 |