Hi all,
I am at the beginning of my very first building journey, and am going with Statesman Homes.
I continue to see nightmare stories of variation costings and builders marking up prices etc so they balloon from what was originally told, and it has me scared to death.
I was just wondering whether anyone is able to shed any insight as to what would potentially cost more money moving forward? For ease of reference, lets say I make no upgrades at Selections, therefore there is no price increase on my behalf.
I know the footings is variable and can change.
Is the PC item pricing subject to change due to the going rate at the time? (I'm also not sure what PC means and why only some things are noted as this)
Noting the quote on the attached is roughly $291k, and taking into account the land price, that leaves roughly $30k to the maximum amount of the loan my broker feels comfortable with.
Should I be nervous moving forward with this quote and noting what my broker has said?
I have gotten the builder to add in absolutely everything I can think off, and there is a very easy $8k to come off in the blink of an eye from the quote if needed.
I am looking at doing landscaping and concreting outside of the loan just FYI.
PC = provisional cost or provisional allowance.
And yes they most certainly can change as they are just an estimated figure
PC = provisional cost or provisional allowance.
And yes they most certainly can change as they are just an estimated figure
Sorry to hijack post a little but at the end of the build does the builder itemize the PC prices that were actually spent (and subtract them from final payment)?
Is it transparent?
PS we live in a granny flat on site so we’re pretty aware of all the comings and going’s so would have a good idea of what actually happened on site.
Don't be sorry be smart
Sorry to hijack post a little but at the end of the build does the builder itemize the PC prices that were actually spent (and subtract them from final payment)?
The builder just has to present an Invoice ...what do you check it against? LOL, the salesman guess?
And if there's a discrepancy what are you going to do?
Is it transparent?
PS we live in a granny flat on site so we’re pretty aware of all the comings and going’s so would have a good idea of what actually happened on site.
Do you have any idea of what a fair days pay or the actual costs are on site?.....just curious
So when you get a PC variation for $25K for piles and you see them on site for 2-3 days you just pay it?
How do think the plumbers labourer digging trenches feels on less than $250/day?
Look around on site there are plenty that are underpaid and many that are overpaid usually doing very little (clipping the ticket) eg. new home salesman ($10K)
OT Housing construction costs in Sydney and Melbourne are $2500/m2 to put it into context that's half the cost of japan and new york... LOL how does that make us...... the lucky country? Food for thought
Well, I have Itemised PC sums. So if it says ‘4K to clear my lot’ and I know no lot clearing was done then if I see a PC sum of ‘4K for lot clearing’ then yeah, I expect to see an invoice.
And yes, I have a fair idea of costs that I would expect to pay for some of the PC items - not all of them - but then, I am also not unreasonable.
The only way to control site costs is to do sufficient geotech. investigation to enable the most economical design up front. Where variations are claimed buy the builder (say due to unforeseen ground conditions) and a decent geotech report is useful to validate/reject those claims.
You may be reasonable but many bulk builders entire process is geared towards limiting their risk (which is transferred to you) and rapid turnaround of jobs using standard design irrespective if a more economic option exists.
Not sure where you are-if in NSW on a sloping block and builder is using a CDC for the build - Make sure you understand the cut/fill depths and implications of retaining walls. It seems to crop up a bit and can result in significant costs.