Browse Forums Building A New House 1 Feb 01, 2012 1:26 pm I may be thinking wrong but my builder is charging 20% for the total bill of works and not just for the sum over the provisional amount. Is this normal? It seems they are getting 2 bites of the cherry. eg storm drainage 3k provisional Invoice 3.5k builders margin of 20% =700 I would have thought in the provisional cost would have already have had builders margin. Ahhh trap for first timers Re: Builders margin 4Apr 30, 2013 10:33 pm newey I may be thinking wrong but my builder is charging 20% for the total bill of works and not just for the sum over the provisional amount. Is this normal? It seems they are getting 2 bites of the cherry. eg storm drainage 3k provisional Invoice 3.5k builders margin of 20% =700 I would have thought in the provisional cost would have already have had builders margin. Ahhh trap for first timers What type of contract are you on? the Invoice that was 3.5k is that actual invoice from the company that completed the works, do you get to see the invoice? If the invoice is 3.5k, then you'd expect to pay 20% maring on the 3.5k. Re: Builders margin 5May 01, 2013 5:18 am I think your builder is right. The provisional sum is more or less an indicator of how much things might be which usually doesn't take builder's margin into consideration. In case it is less than the provisional amount, builder's margin will be the actual amount. Alternatively, you can sign a contract with pre-defined known amount you pay to the builder for management and warranties and then you just pay the invoices their provide… 2 5247 Hi, This is my first post. We are planning to buy new home via House and Land (H&L) Package around Boxhill/Gables/Marsden Park in Syndey. Googled reviews for most of… 0 10468 Very good points. Thanks so much ponzutwo for your advice. Appreciate it. 2 10367 |