Browse Forums Building A New House Re: Builders Margin 2Oct 24, 2022 12:15 pm Designer,Engineer (Civil,Const & Envir),Builder,Concrete & Masonry Contract.Struct Repairs Re: Builders Margin 4Nov 12, 2022 3:28 pm GRave Hi We've signed a standard HIA building contract for a new house build which has the 20% builders margin. We've received our first variation and the builder has included a mark up of about 5% in addition to the margin making it 25% citing a retail accounting process. I have experience with commercial building contracts and the builders margin has always been fixed per the contract with no mark up and a lot of project managers and contractors I have spoken to in that space all agreed it should be fixed at 20%. There is no provision for "mark up" in the contract and the HIA contract defines builders margin to include all admin costs, overheads and profit. I'm sure most builders include a mark up in their fixed priced portion which fine as long as its competitive, but when it comes to firming up prime and provisional sums this will crop up again as they have to provide us the trade costs. Are they allowed to add 5% mark up on these items as part of the contract? What are peoples experiences or thoughts on this? Thanks Perhaps this is the problem - from my other post... viewtopic.php?p=1911665#p1911665 "ECOECO" At 'EcoEco', we design windows, we design the best windows, we do it for you, so that when you’re happy we are happy. Tel. 1800 326 326 Look at your bill from the electricity company. It should detail the charges. You will need to do some estimating and some calculations. Then charge the… 8 4276 Site works are just about to start on our build with Blueprint in Midvale. viewtopic.php?f=31&t=106894 2 3974 Hi all, We are looking to build a new two storey house in western Sydney. Can anyone recommend a smallish builder to go with? We are trying to stay away from the big… 0 12187 |