Browse Forums Building A New House 1 Sep 28, 2016 6:52 pm Hi all, Building new. Having PCI meeting tomorrow and handover thereafter once issues are rectified within the builder's timeframes. Assuming 10-15 days from memory. So say by early Oct I'll have keys? From what I am aware of - major things to organize after handover include: Insurance (told builder's coverage ceases once you get keys?) Lighting - doing main areas outside of builder Fencing - assuming all neighbors have installed already, so I don't have to worry Window treatments - doing outside of builder. Not sure to DIY or not. Security door or alarms Anything I'm missing? Insurance wise: what do most use, have heard about, and recommend? Occupying it until I decide what to do with employment and perhaps moving city, so renting is a likely possibility in the near future (at least 6-12 months+ away as I have to satisfy my FHOG requirements) . So eventually I will need landlords insurance - recommendations there too? I assume LLI won't be needed until closer to rental and that all I need is building insurance and possibly contents? As I'm assuming building is structural only would one typically recommend getting contents to cover standard home inclusions i.e. stove, oven, if these are ever pilfered if broken into? Or does building insurance suffice? Recommendations please? Price is a factor, but I would like to cover the minimum basics - nothing over the top or fancy, but likewise not looking to go cheap at the expense of leaving myself exposed should the unthinkable occur (so not looking to skimp on corners or go over the top). Definitely looking for a provider with a good history of being reasonable in approving/paying claims and not those that try anything to draw blood from stone to avoid paying or wiggle out or slug you with hidden fineprint /technicalities. I read elsewhere something about getting building insurance to the value of your building contract cost + e.g. a 20% markup to cover 'extra' costs above your building contract that would be incurred over time as part of the building i.e. when I eventually install air conditioning, lighting , security alarms or door? House is Perth, WA based. So thereby assuming no need for fine print optional inclusions like flooding? But is there any extras or things I need to be aware of e,g. for bushfire, other 'damage' (storm?? hail?) that typically isn't a standard, and a fair trap for new players to not check to include? Lighting/Air conditioning - who would you have go in first? I'm assuming lighting, as the vents/ducts will be harder for the electrician to access the roof space once installed otherwise. Are they responsible to remove and re-install ceiling insulation properly given the builder's job is done and dusted by this stage? Window treatments - I am still tossing up DIY painting to save money. But ideally does one recommend painting prior to installing window treatments? Or in reverse to allow for patching and re-rilling mistakes while the window ledge/lintels remain unpainted? First time handyman hat attempting the job but I have heard it's pretty simple and not rocket science to drill and install the brackets needed to hang venetians and the railing/system for vertical blinds. Should suit also if it becomes a rental in terms of economic replacement by going with these treatment choices? The only issue is I have been told painting is recommended to be done a few months after handover to let the house settle and minimize cracking. Which leaves the issues of having no window treatments up security wise to prying outside eyes, unless installing then painting? If anyone has recommendations of what they use for temporarily covering windows until window treatments are installed I'd love to hear it? Security is more my concern as whilst not fussed when it's the builder's insurance/responsibility, after hand-over my brother was on the receiving end of someone hunting for new build parts/items to pilfer and had superficially damaged flyscreen and entered through a garage door requiring money out of pocket to fix despite nothing being taken inside (empty/not yet moved in) . Just a headache/cost i want to avoid. Thought about the old sticking newspapers onto the window, but assume this sticks out like a sore thumb target wise? Alternatively I have seen more proper/durable looking blue sheets/plastic things on new homes - are these something commonly found in say bunnings? And how do they just tape them down to secure them onto the windows?? Security - is it true rentals require a fitted security door/grill? Otherwise am tossing up installing this or an alarm system for peace of mind while at work or at night (until the new estate is more full/occupied) to get a phone call if it's triggered. This might also be an alternative to not having window treatments in straight after handover (if waiting for painting to go in first before window treatments) Appreciate any thoughts on anyone who's gone through the above process and had some bright ideas /solutions. Any thoughts or plain old advice is appreciated. I'm sure there are post-handover or preparation items I haven't even thought of or remembered. Edit: on a PCI/handover note, we uncovered whilst doing the building inspection (inspector plus myself on site) that the fridge recess nib walls are noticeably out of line. It is so clear with the tiles that they aren't straight/in line that it annoys the heck out of me. It is definitely out of tolerance levels, but is there much point at this stage as what are the chances builders are going to knock down the fridge recess and reinstall, complete with the o/h cupboards, regrouting and tiling of the kitchen splashback etc? I'm assuming nil? Still very annoyed as if it was carpeted it wouldn't be noticeable, but very wonky! Ta, Saber Re: Insurance after PCI handover (& other minor q's) 2Sep 29, 2016 1:49 am A quick note with the insurance. Generally your bank won't release the final payment unless you show them you have insurance (certificate of currency). I took out my insurance on the day that I sent in the final payment authorisation to the bank. Mason Green Estate, Piara Waters with Celebration Homes: https://forum.homeone.com.au/viewtopic.php?t=79358 Re: Insurance after PCI handover (& other minor q's) 3Sep 29, 2016 10:05 am To address the landlord insurance: - Some building covers will cover contents (carpets, blinds, floating floors etc) as fixtures and fittings to a % of your building cover. Others may require contents cover for those. - You'll want cover for rent default of around $5,000 or more. - Rent through an agent who will send breach notices etc at the correct times - insurer will expect that available legal avenues have been used to reduce the amount of the claim and may reduce or refuse a claim if this hasn't occurred. Some may insist as a condition of the insurance that it's managed by an agent too. - Cover varies greatly. Some will cover malicious damage by tenant, some will also cover deliberate or intentional damage, and some will cover accidental damage. Most won't cover tenant neglect, scratching, chipping, scorching, pet damage, gradual deterioration, removal of rubbish or contents or garden repairs. Be clear on what you need cover for and chase the product that will closely match that. - Your lender will probably have their own landlord / building product - don't be Sucked in by the discount they'll offer, again shop around for whatever will give you the cover you want. You'll often get what you pay for so it's important to do your research. - Some specialist products are on the market such as via Terri Scheer are more comprehensive than others. No idea on cost or service though. Good luck! First home builder - Brightwood Estate, Baldivis. Celebration Homes. Follow my build here Re: Insurance after PCI handover (& other minor q's) 4Sep 29, 2016 12:03 pm You may need to order your rubbish bins. I had to call the council and have them delivered as my builder doesn't do that and the council required the owner to do it. Also will you need to order gas tanks? Do you have gas stove or hot water? ~Shellby~ GJ Bridgewater 203 11/3/2016 - Site Work Started 29/9/2016 - Handover 142 Work Days 6 Work Days Over https://forum.homeone.com.au/viewtopic.php?f=31&t=80174 Re: Insurance after PCI handover (& other minor q's) 5Oct 04, 2016 8:54 pm Hi shellby -I have a gas stove and the instantaneous hot water appliance hooked up. I didn't ask about the bins though, good point - will need to ask about that to the builder, if not get onto my council on it. oduen may be able to comment as being in the same vicinity? Imightbedave thanks for the comprehensive run down. With so many differing factors is there an easy way to find the right provider short of going from one to the other reading pages of PDS fine print? Do most just use a comparison website/aggregator such as mozo - or are these generally limited/skewed to those who are featured on the search engine comparison website? I assume that some discretion of paying to be featured takes place? Given I intend to live in the property and am only considering IF I rent it out in the future (say I move interstate, as there has been some thinking of it recently) I would be requiring insurance as an occupant of the house initially. Given initially I won't have much contents to move in with - just a bed or two, a suitcase with clothes, your odd cleaning products and the like, so nothing valuable: does one still require both home building & contents insurance? From what you mentioned on landlord insurance you said some building insurance cover fixtures and fittings? I assume some don't, so the only way around this is to ask around as I assume some providers require contents insurance to cover your stove, ovens, cupboards? And more importantly what value do I ask to insure my building for?? Given I've just recently built, I know that for example e.g. $200,000 was the builder's contractual price. Would I insure for building value of $200,000 as this is how much it cost to build, and would technically take to rebuild it (assuming no inflation/price increases of course). Naturally one would assume that if the house burnt down one would need to pay for demolition and removal of all the junk, so is there a proper process for insuring over and above the $200,000 , say $20,000 to account for additional costs?? Just not sure what the standard process is in determining a value? Or would you insurer technically assign a value based on their understanding of the area demographically? oduen - I think my bank (bankwest) has no issues with it, but I do need final payment to go through as I did get the progress payment sent to me recently. So I will try and find out. My understanding from the builder was that as soon as I pickup my keys their insurance coverage ceases. So while I may make payment I haven't picked up keys? Still I should probably do it all before paying or picking up keys to be safe I assume? I'm just flabbergasted at what insurance to take out as I would want 100% of any value that it would take to replace my brand new building and internal fixtures, carpentry etc. but am not sure the process in assigning values or in sifting through providers. oduen what did you end up using for your own, given your occupying? Re: Insurance after PCI handover (& other minor q's) 6Oct 04, 2016 9:07 pm I ordered my bins once I had the keys. You just need to call the council, maybe check their website. I think they deliver new bins on Tuesday mornings. You get a regular one and a recycling one and they don't cost anything. You just need to have your house number clearly displayed. I just stuck a sheet of paper on my front window. I am with Bankwest and I know in the initial documents outlining the progress payments it stated that a Certificate of Currency was required along with the final progress payment authorisation. They won't release the final payment without proof that the building will continue to be insured. The builders insurance is over as soon as they give you the keys. I went with RAC for my insurance. About $650/year I think for Building and Contents. I think I covered the building for about $70k more than what I paid the builder. This was to cover any demolition required as well as all of my post-handover investments such as the lighting, landscaping, paint, other electrical work and other additions. Possibly window coverings would be covered by contents but I am not sure. Mason Green Estate, Piara Waters with Celebration Homes: https://forum.homeone.com.au/viewtopic.php?t=79358 Re: Insurance after PCI handover (& other minor q's) 7Oct 18, 2016 11:04 am Thanks Oduen. I actually asked RAC and they seemed to mention that demolition costs etc. were provided by RAC above and beyond the value you insure it for. I.e. 250k building value if you insured it for that amount and demolition took another $10k they would cover that past the 250k insured. I am not sure if there's a cap but it sounded like overall any demolition and clearing costs were included. Until im all fully moved in im thinking getting contents insurance would be not worth it? i am not sure id buying building or building and contents combined woukd be a huge price differential. But im assuming if i wait until im fully moved in with more items in the house after a few weeks i could do contents? Gives me a chance then to properly scope out competitors. Although i am thinking of goinf RAC for simplicity. There's probably cheaper out there but at least RAC has a physical Wa presence if you need assistance or problem resolution, and for car insurance at least they've generally paid out or processed my at fault without drama or too much paperwork. Interesting you mentioned paint and landscaping. Are you aware if that is contents or building?? I would think landscaping is somewhat "fixed" and would form under building. But by definition it's seperated physically. Paint is also somewhat "fixed" if you get what i mean. Might have to ring up RAC to clarify! Thanks for the advice on bins! I do need to make an appointment for the landscaping post site handover. Figured that way no more remedial work around the house would intefere with landscaping. Did you end up doing that council verge deposit refund thing? Something about you can get some money back from the council for the verge /foot path corrections made by yourself/builder?? Re: Insurance after PCI handover (& other minor q's) 8Oct 18, 2016 11:04 am Oh, i might keep the builders sign if not paper house number it is. Not sure how expensive but i am digging those metal plate signs of house number and street, or do most find it tacky? Haha Re: Insurance after PCI handover (& other minor q's) 9Oct 18, 2016 3:19 pm Hi mate, I'm on mobile so sorry if I miss anything: 1) Insure your home for probably 1.2x your build cost. Insurance builders may have higher margins so take that into account in working out your sum insured. 2) Remember to increase to allow for solar panels, aircon, shed, retic, retaining walls, paving - any extras that will also need to be replaced if a fire were to occur. 3) Definitely get contents cover. Most insurers will have a minimum say $20 or $30k but it's worth it. Increasing it later is easy but best to start off with it. If owner occupied you'll need contents not just for your furniture and other belongings but also carpets, blinds, vinyl, floating floors etc. $50k doesn't go far if you have to start from scratch. 4) No comparison website as far as I'm aware. Word of mouth is important but unfortunately reading the pds is the most important part and shouldn't be skimmed over. If you have questions on a particular product I'm happy to assist and give general advice if you like. 5) Demolition/removal of debris is different across different insurers. Some will pay over and above sum insured, often to say 10 or 20% of your sum insured as a cap. Others will say you need to allow for it in your sum insured. 6) Landlords products are quite different to standard owner occupied so worry about that when you rent it out. For now worry about owner occupied. 7) Most insurers will have a sum insured calculator on their website and usually they will be conservative ie will be on the high side to ensure they haven't encouraged underinsurance. First home builder - Brightwood Estate, Baldivis. Celebration Homes. Follow my build here Re: Insurance after PCI handover (& other minor q's) 10Oct 18, 2016 4:28 pm Hey Imightbedave ! THanks for your responses. I'll address them by the number they appeared in. 1) So it is not worth insuring based off my contractual price i.e. this is a new build so I have all the costs that went through my loan application to cover the whole house package, and extras I plan to do after handover , for example notional costs for air conditioning, painting etc? If these totaled to $250k you don't think this is reasonable to insure? I thought you would be allowed to have the same builder or another project builder such as Celebrations (I'm building with SmartHomes FYI) rebuild a house to your liking? If it has to be done by specified insurance builders that the insurance company nominates and the 1.2 x increase is advised then I will do that? 2) I have quotes for likely costs of air conditioning , and paving was done as part of the project/house build so I assume by working off my original building contractual price this includes all the cost of the built in paving to the alfresco, driveway etc. THe only thing I did not think of/account for is the reticulation and landscaping cost. Good pointing out! I don't know the cost of this as this will be covered by the estate incentives - would $10k for a small front lawn with reticulation and landscaping setup be reasonable? 3) The PDS for RAC covers tiling as part of building, but funnily carpet is considered removable anyway so it has to go under contents. I would therefore have to insure for carpet and window treatments which I am yet to do through a third party. I've emailed my builder for the cost of the carpet, but assuming they won't disclose this is there a reasonable guide to estimating carpet costs? I haven't a feint clue, it's just the basic, polyprop nylon for example carpet. 4) Thanks - would you have a look at the RAC PDS for building and/or contents if you have a time and see if anything is out of place? The only few points that concern me is a) they don't cover animal damage such as termites - is it normal to have no termite coverage for building insurance?? and b) if a sinkhole occurred under my land or any other land shifting that wasn't the result of typical insured events such as flooding, fire or storms, then it just wouldn't be covered. Damage to my house from falling into a sinkhole or some freak land shifting nature would therefore not be covered. Again your general advice on this would be much appreciated? Not sure if you can comment on if any other insurance providers typically can and will cover termites and these sort of natural , land shifting damages that could occur? RAC PDS: https://rac.com.au/products/insurance/policy-documents/building-contents-valuables-insurance 5) Your right - RAC one is capped at 10% of your insured value. I'm assuming a $250k building value would provide $25k for demolition /removeal of debris - would this typically be enough on a standard 375-400sqm block for a 4x2? 6) Ok - so deal with insurance as is now then apply for a pro-rata refund down the track if I ever switch to renting out and therefore need landlord insurance instead? 7) Having tried RAC's and getting a $400,000+ building g insurance value, I don't know how accurate these are haha. The sales line for RAC thought this included the value of land , as most clients would think of it as one figure, however I fail to see the logic in that. Given that, that would imply my building was way under what it cost with my project builder, once you remove my land price. Thanks for your thoughts and opinions. i would not be signing anything on the day read your contract about when builder submits final invoice generally, have to meet builder within 7 days of receiving final… 1 4735 I recently went through a similar renovation and move scenario when updating our family home. We also swapped some rooms around and tackled a major… 2 10031 We hired Darbecca to do every stage inspection, and I strongly recommend them to anyone that asks me. They were amazing. Thorough reports with photos at every stage,… 6 7126 |