Browse Forums Building A New House 1 Jul 20, 2020 5:34 pm I know this question is a bit like "how long is a piece of string" but i am curious to how much the quoted price for a build changes between the initial tender stages and contract stages. Off the back of a lot of reading and help from this site and other sources we have made an effort to try and include everything and anything we could think of (within reason) to our tenders. We have been back and forth multiple times and finally landed at a price which should hopefully work for us ($350K) and allow for a small margin of flexibility for unknown costs and any additions (eg: extra power points, lights, etc). We've made sure site costs are fixed (as much as possible) and upgraded all the important structural things already which are all included in the tender price. If however, the next price comes back 50K over we might have to reconsider things so am just looking for a gauge for how likely that might be. Follow my build here: https://www.instagram.com/ivy5custom Re: What price change did you experience from tender to cont 2Jul 20, 2020 7:34 pm Like you I spent a lot of time with the builder nutting everything out, so I wasnt expecting much outside of the slab cost, but they did try to increase costs on stuff that were just allocations unsurprisingly. My driveway/perimeter concreting cost was increased from 7K to 12K to 20K for no good reason, so I took it off the builder completely. Retaining wall and fencing went from $10K to $20K so I again took it out (got most of it sorted before the builder even took over the site for just $8K). Rainwater tank + storm water for $5K, ended up being $5K each, so I took the rainwater tank out and just left the stormwater in. Their $800 plastic tank and $200 pump seemed a rip off for $5K so I'll do that later. Ended up needing 3 phase power, so that added $700. Otherwise it was limited to the slab increasing from $42k to $47k after soil tests, and $500 to downgrade (yeah don't ask why a smaller cook-top costs more...) my cook-top which didn't fit properly in with electrical regs (distance for isolation switch away from cook-top). Re: What price change did you experience from tender to cont 3Jul 20, 2020 8:39 pm Callifo Like you I spent a lot of time with the builder nutting everything out, so I wasnt expecting much outside of the slab cost, but they did try to increase costs on stuff that were just allocations unsurprisingly. Thanks for that. We've tried our best to call them out on strange things during the tender but I do expect them to try and slip a few weird ones in when we go through the next stage too. Were these things done before the final build contract was signed? Follow my build here: https://www.instagram.com/ivy5custom Re: What price change did you experience from tender to cont 4Jul 20, 2020 8:57 pm No, after. The fixed priced stuff included before signature was generally fine (some stuff actually came in under what I could get it done for later, e.g. data points were only $90 per run, they are $150 post handover). My theory is they want to get you to sign so they make their offer more attractive, at cost price and make bugger all, so that later, they can attach a fat 40% margin to stuff when you are locked in. So much stuff is put in as allocations at final contract signature, they wont actually work them out until a later stage. Then they come to you as a contract alteration. My contract, from memory had these as allocations: footings cost, fencing and retaining, stormwater, watertank, carpets + tiling, airconditioning. E.g. carpets / tiling $12K allocation on contract, you then go to Beaumonts at the selection stage and find out what you like is actually $15K. It's not to say you can get $12K carpet/tiling, but you might like something better. However, there were things where I would have been fine with the cheapest option, but the allocation was suddenly way short and the price then doubled. You either have to roll with it, or just take it out. If you find the price in unacceptable, and its something that can be done later, just take the work off the builder. Re: What price change did you experience from tender to cont 5Jul 20, 2020 9:37 pm Callifo E.g. carpets / tiling $12K allocation on contract, you then go to Beaumonts at the selection stage and find out what you like is actually $15K. It's not to say you can get $12K carpet/tiling, but you might like something better. This is our concern currently. We are certain this will happen so are trying everything we can to lock down as much as possible so we had e the capacity to take on those things as they occur. What I'm finding hard though is that with this builder (New Living Homes) the credit we get back for removing items off the tender is far less than what it would cost for us to install. Follow my build here: https://www.instagram.com/ivy5custom Re: What price change did you experience from tender to cont 6Jul 20, 2020 9:50 pm Monty85 What I'm finding hard though is that with this builder (New Living Homes) the credit we get back for removing items off the tender is far less than what it would cost for us to install. Yeah downgrading definitely not worth it. I only did that for one thing, and they offered me nothing back. Said a custom order would be more expensive then the high volume discount they get for their tier of stuff. That's also what happened to the cook-top, got a slightly cheaper 10cm narrower unit (900 to 800mm wide) and it cost me an extra $500. Argued with them for 2 weeks, before I gave it and took the hit. Hi, you've probably already resolved this, however, Commbank will probably pay the funds to you after you send evidence the work is done regardless the change in the quotes. 1 35305 2 2959 Thank you so much everyone. This all makes a lot of sense. I guess when you talk to a builder who butters up everything to look very polished, you get to start believing… 7 17516 |