Browse Forums Building A New House 1 Jun 08, 2013 9:09 am After a long process of amending our plans (Thanks God it's finally there!), we're going to sign the contract soon. The contract is prepared using the HIA copy. Is there anything that I need to pay extra attention to on the contract? Re: Signing contract soon! ANYTHING to keep in mind? 2Jun 08, 2013 9:32 am Probably the first thing to check is are there any builders modifications to the standard conditions. IMHO the standard conditions are reasonable but.......The builder isn't going to make changes that are to your benefit. There is a lot more advice at this link http://www.anewhouse.com.au/?p=5400 The Harder You Try - the Luckier You Get ! Web site http://www.anewhouse.com.au Informative, Amusing, and Opinionated Blog - Over 600 posts on all aspects of building a new house. Re: Signing contract soon! ANYTHING to keep in mind? 3Jun 08, 2013 10:29 am bashworth Probably the first thing to check is are there any builders modifications to the standard conditions. IMHO the standard conditions are reasonable but.......The builder isn't going to make changes that are to your benefit. There is a lot more advice at this link http://www.anewhouse.com.au/?p=5400 Thanks Bashworth! I am also trying to find out if there is anything that needs to be added into the standard HIA contract. Re: Signing contract soon! ANYTHING to keep in mind? 4Jun 08, 2013 10:37 am I have worked with civil engineering contracts for over 30 years and believe writing things into a contract can be a minefield. It shouldn't be attempted without a good Contract Lawyer. It's best to leave any modifications to; changing amounts in the schedules only. (for example making sure the liquidated damages are a reasonable amount NOT $1 a week which some builders suggest) The Harder You Try - the Luckier You Get ! Web site http://www.anewhouse.com.au Informative, Amusing, and Opinionated Blog - Over 600 posts on all aspects of building a new house. Re: Signing contract soon! ANYTHING to keep in mind? 5Jun 08, 2013 10:50 am Yes - just keep your wits about you AND look through it - ie don't just accept what they say. Agree on changes - read carefully any "minor" changes they have made ... Re: Signing contract soon! ANYTHING to keep in mind? 6Jun 08, 2013 11:38 am bashworth I have worked with civil engineering contracts for over 30 years and believe writing things into a contract can be a minefield. It shouldn't be attempted without a good Contract Lawyer. It's best to leave any modifications to; changing amounts in the schedules only. (for example making sure the liquidated damages are a reasonable amount NOT $1 a week which some builders suggest) What liquidated amount is reasonable to a approx. $400K building contract? Re: Signing contract soon! ANYTHING to keep in mind? 7Jun 08, 2013 11:40 am Saint Mike Yes - just keep your wits about you AND look through it - ie don't just accept what they say. Agree on changes - read carefully any "minor" changes they have made ... Thanks for your advice! There is one thing I'm curious is that the color selection is done after signing the contract. So when they are going to add all the items that I picked during my color selection into the contract? Re: Signing contract soon! ANYTHING to keep in mind? 8Jun 08, 2013 5:57 pm alanoz What liquidated amount is reasonable to a approx. $400K building contract? Liquidated damages is called that because it is compensation for the damage caused by late completion. Generally the damage would be rental for alternative accommodation. If the damages are too much the builder will want to increase his overall cost to cover the risk. I would have thought something in the order of $3-400/week should be enough to give the builder an incentive without scaring him too much. alanoz There is one thing I'm curious is that the color selection is done after signing the contract. So when they are going to add all the items that I picked during my color selection into the contract? Some builders do this at what is known as Pre-Start The Harder You Try - the Luckier You Get ! Web site http://www.anewhouse.com.au Informative, Amusing, and Opinionated Blog - Over 600 posts on all aspects of building a new house. Re: Signing contract soon! ANYTHING to keep in mind? 9Jun 09, 2013 8:05 am alanoz Saint Mike Yes - just keep your wits about you AND look through it - ie don't just accept what they say. Agree on changes - read carefully any "minor" changes they have made ... Thanks for your advice! There is one thing I'm curious is that the color selection is done after signing the contract. So when they are going to add all the items that I picked during my color selection into the contract? There will probably be an amount allowed - and you can upgrade if you like. Some do this with a few items. also - an allowance for items that might change - can even go down. Re: Signing contract soon! ANYTHING to keep in mind? 10Jun 09, 2013 10:27 am We had our solicitor go over the contract before we signed it. It's so worth it. Fortunately ours didn't have any issues, the only thing he recommended us have changed was to increase the penalty payment made by the builder if they go past the agreed handover date (so from $250 p/w to $350) My Hamptons build (completed): viewtopic.php?f=31&t=63370 Moved in Wednesday 11th Dec 2013 Front landscaping completed June 2016 https://form.jotform.com/240284569218058 Please spare a moment to fill out this survey form for a project. You stand a chance to win a digital gift voucher. Legitimate… 0 2824 I had an old shower unit that broke on me and when I took it off, there were only 2 water pipes, instead of the normal 2 water pipes and a shower head pipe. S o I… 0 36939 You talk about deletions, are they variations or PS and PC adjustments? pleas list them 1 16557 |