Browse Forums Owner Builder Forum 1 Mar 14, 2010 9:59 pm My husband and I have often thought about going down the OB track. His family own a construction company so we can get all our materials cheaper. They import also so we could look at getting windows, doors etc How much cheaper is it to go down the route of OB. The thought of having to do everything ourselves seems so very stressful and it just seems easier to get someone else to come in and do it.. but at what price. What is the general mark up. Re: How much do you save 2Mar 14, 2010 11:08 pm We are building in Perth and had our original design done by a builder who promised the world. I have a few friends in the business who we wanted to do some work and at the initial stages the builder was more than agreeable. As it came closer to crunch time they got more pushy and then said we couldnt use our trades. Part of our build was a concrete pool. So I phoned the company that the builder was going to use to build the pool .... and they had put a 45% mark up on it! It was at that point that we got new plans drawn by an architect and are now owner building with someone managing the project for us in terms of providing advice etc. Our aim is not so much to save but to ensure that the money we spend goes into our house and not the sales rep's Volvo! We realise that we would save more if we were skilled but that said we have already made significant savings! The general guide we have been told is a twenty percent mark up. Our build was nearly 600 000 so that was quite a lot of loot in someone elses pocket! Re: How much do you save 3Mar 15, 2010 11:02 am We're not doing it to "save" money - we're doing it to get the house we want, with the finishes we want. Yes, we will probably save money in terms of if we were to get this house built through someone else, but we're spending the same amount of money we would have if we had of decided to go with a builder in terms of our budget, if that makes sense? Our max budget is our max budget, whether OB or builder, it's the same. We will save money in certain areas (cabinetry is an obvious example) however the money we save from that will go towards 'upgrading' of other things i.e. double glazed windows. You have a lot more freedom. You seem to be in a good position with the construction company and being able to use their account for materials. This will help. You will find that OB isnt necessarily significntly cheaper, as builders may charge you more for 'upgrades' but base houses are relatively competively priced because of the fact that they can buy things significantly cheaper than what you or I would (even as a small company, given that we cannot order the quantity that they do) Good Luck! Custom European Cabinets - Melbourne Kitchen Specialist PM for business details as website currently being updated! Our Crazy Owner Builder Journey! Re: How much do you save 4Mar 15, 2010 2:44 pm Our experience is similar to Bam's. We are probably spending around the same money, but we are getting much more house for that money. you also get the flexibility to do things the way you want. Also, if you are handy (like me) you can do a lot of work yourself. This has a few advantages... -Saves money -you get to do things the way you want -you learn -and you have the satisfaction of actually participating in the build of your own house. eg, ive built the decks, railings, done painting, installed network cabling, some minor framing, plumbing ... etc etc... and thats just to date.. Things on the list to come are installing the kitchen, laying the floating flooring, installing the bathrooms, external stairs, installing water tank and pumps... At the end of the day im going to take much pride sitting on my back deck knowing i built my house View our story on here in photo form: http://simonandrachshouse.posterous.com/ Re: How much do you save 5Mar 15, 2010 3:52 pm Bam We're not doing it to "save" money - we're doing it to get the house we want, with the finishes we want. Yes, we will probably save money in terms of if we were to get this house built through someone else, but we're spending the same amount of money we would have if we had of decided to go with a builder in terms of our budget, if that makes sense? Our max budget is our max budget, whether OB or builder, it's the same. We will save money in certain areas (cabinetry is an obvious example) however the money we save from that will go towards 'upgrading' of other things i.e. double glazed windows. You have a lot more freedom. You seem to be in a good position with the construction company and being able to use their account for materials. This will help. You will find that OB isnt necessarily significntly cheaper, as builders may charge you more for 'upgrades' but base houses are relatively competively priced because of the fact that they can buy things significantly cheaper than what you or I would (even as a small company, given that we cannot order the quantity that they do) Good Luck! Ditto! Re: How much do you save 6Mar 15, 2010 10:45 pm Yep, I agree with all that have responded. Bam put it well, you may not spend less in terms of your budget ( which you must have ), but you will get better value for money. That value could just be that you got what you wanted, by doing research, and making your own selection on every little bit... Repeat- every little bit...every little bit.... . Yes, you are the decision maker, so be prepared to do your homework! We are not going for too much 'bling' in our house, but we are getting what we want. For example, going old school footings and sub-floor, my garage is the size i want it to be, and Danni is getting a pantry the size of a bedroom , heaps of room etc.... We believe if you choose to build, build to ensure it will serve what you want it to do, and ensure it will sell when you want to move again.. So, in short, we are getting alot more 'house' for the same as what the shoebox mega-builders would charge. Good luck with your choice. Plans Done Feb 2010 Permit Done 23 April. Set out Done. Scrape and Excavations Done. Footings Done May 10th. Now, to find a brickie.Got one! Sub-floor bricks & Garage Done - 13th June Sub-floor installed 28 June (?) Re: How much do you save 7Mar 17, 2010 11:09 pm Having recently completed being an Owner Builder in the true meaning (only having to engage a Plumber and Electrician) I saved heeps and heeps. I haven't added up all the dockets but my cost is roughly around $200k. By way of a comparison the neighbour across the road had his house (smaller than mine) built (by a Builder) at the same time as me, he parted out with $376k and he had hastles with the Builder. I have a laugh to myself everytime I hear or read that someone is going to Owner Build and in the next breath they say subbies for everything. They're not Owner Builders they're Project Managers, they probably have lots of hastlles and I doubt if they save much $ at all. Re: How much do you save 8Mar 18, 2010 1:15 am We are the owner builders (to be when the council come to the party!) and whilst we are not actually doing any of the hard yakka in terms of the physical stuff I am doing a plenty in other areas. After all builders dont physically lay every brick and mortar in their homes so I kind of see it in the same vein. I wish I had the skills to do more stuff and yes we could probably save more money if I could lay bricks and build roofs etc but I cant and I am quite happy to pay to ensure I have control over what I get and how I get and how it gets done. Personally I think owner building is a big statements that caters for a wide variety of people. I have just gotten on this roller coaster and whilst I find it frustrating their is enormous satisfaction ... even in the project management! Re: How much do you save 9Mar 18, 2010 10:04 am Rod1949 Having recently completed being an Owner Builder in the true meaning (only having to engage a Plumber and Electrician) I saved heeps and heeps. I haven't added up all the dockets but my cost is roughly around $200k. By way of a comparison the neighbour across the road had his house (smaller than mine) built (by a Builder) at the same time as me, he parted out with $376k and he had hastles with the Builder. I have a laugh to myself everytime I hear or read that someone is going to Owner Build and in the next breath they say subbies for everything. They're not Owner Builders they're Project Managers, they probably have lots of hastlles and I doubt if they save much $ at all. Everyone's situation is different, but in our case, we can earn a lot more than what we would save by laying the bricks ourselves for example. By the time we do a short course and the amount of time it would take us to lay the bricks and all, not to mention the quality of work compared to a bricklayer with years and years of experience. It would simply not be worth it. However, if you didn't have a job and instead would have just been sitting at home doing nothing, I guess it would be worth giving it a go. Re: How much do you save 10Mar 18, 2010 10:34 am hiccup Everyone's situation is different, but in our case, we can earn a lot more than what we would save by laying the bricks ourselves for example. By the time we do a short course and the amount of time it would take us to lay the bricks and all, not to mention the quality of work compared to a bricklayer with years and years of experience. It would simply not be worth it. So what are you going on about? If you're earning sqwilloins why would you bother being an OB or a pretent one. Wouldn't you just get a builder Re: How much do you save 11Mar 18, 2010 10:41 am A builder is someone who organizes others to build and house and manages them as well as other many other issues. A builder is not a tradesperson. This is the first thing they drum into you when I did my Cet IV in building. The first house I built with my father. I spent my spare time organizing and pricing material which although he is great with his hands he doesn't like to spend time sourcing material, it was a great team. Re: How much do you save 12Mar 18, 2010 10:45 am Rod1949 Having recently completed being an Owner Builder in the true meaning (only having to engage a Plumber and Electrician) I saved heeps and heeps. I haven't added up all the dockets but my cost is roughly around $200k. By way of a comparison the neighbour across the road had his house (smaller than mine) built (by a Builder) at the same time as me, he parted out with $376k and he had hastles with the Builder. I have a laugh to myself everytime I hear or read that someone is going to Owner Build and in the next breath they say subbies for everything. They're not Owner Builders they're Project Managers, they probably have lots of hastlles and I doubt if they save much $ at all. @ Rod. An owner builder is by definition the person who owns the property taking on the role of the builder and therefore the liability to make sure it is constructed to the required standards and specifications. It doesn't mean that you have to literally build the whole lot yourself. Even registered builders use sub contractors. Your username indicates that maybe you are a little older and possibly have a little more time on your hands to be able to spend getting your hands dirty, and good luck to you. However it certainly doesn't diminish the efforts any OB puts into organising the construction of their home. If anything it probably lessens the stress felt as all you are doing is organising yourself. I'm a carpenter so will be fairly hands on with my OB, however I know enough about construction to realise that I'm better of going to work and doing what I'm good at, and paying another tradesman that is good at what he does to work on my place. @ to the OP, yes I am hoping to save money on my house. As the others have said, My wife and I have a budget and have to work within that. However the house we will end up with (not to mention the quality of fittings) will far exceed what we could have got by going through a builder. I guess we really have just maximised our bang for our buck. Accessible Carpentry & Cabinets accessiblecarpentry@gmail.com accessiblecarpentry.com.au https://www.facebook.com/pages/Accessible-Carpentry-Cabinets/583314911709039 Re: How much do you save 13Mar 18, 2010 11:10 am Yep fair point Chippy. I guess sometimes we see things from one angle only. And yes I'm a chippy too and from a time when one was/is very multi skilled. And yep I still have to work for a living. Re: How much do you save 14Mar 18, 2010 11:23 am Rod1949 hiccup Everyone's situation is different, but in our case, we can earn a lot more than what we would save by laying the bricks ourselves for example. By the time we do a short course and the amount of time it would take us to lay the bricks and all, not to mention the quality of work compared to a bricklayer with years and years of experience. It would simply not be worth it. So what are you going on about? If you're earning sqwilloins why would you bother being an OB or a pretent one. Wouldn't you just get a builder I never said I was earning sqwilloins. And even if I was I would still not get a large builder but would instead still be an Owner Builder. For example, Why pay $700,000 for a $500,000 house when you can have a $500,000 house for $500,000? It's just silly Re: How much do you save 15Mar 18, 2010 12:29 pm Rod1949 Yep fair point Chippy. I guess sometimes we see things from one angle only. And yes I'm a chippy too and from a time when one was/is very multi skilled. And yep I still have to work for a living. I think most chippies are fairly versatile. After all we often get to see construction from start to finish, so we get to see what most trades do and pick up skills. That's why chippies make the best builders! (just don't tell the other trades that) But I'm happy to leave the Grano and bricklaying (though I'll check the set out) plastering , both licensed trades and the painting (I hate painting) to the experts. Sure I could do it but it would take twice as long and not be as good so I'm happy to get someone in to do it. Builders typically charge 20-30% margin on building. They buy materials cheaper than an OB can, however as materials only make up half the cost of a building (must check the actual %) there is still a good saving to be had. The down side is the stress and build time. Expect it to take longer (sometimes much longer) and be quite stressfull. But when you hopefully get what you want, it's all worth it. Accessible Carpentry & Cabinets accessiblecarpentry@gmail.com accessiblecarpentry.com.au https://www.facebook.com/pages/Accessible-Carpentry-Cabinets/583314911709039 Re: How much do you save 16Mar 18, 2010 1:13 pm chippy ...and the painting (I hate painting) Bugger me! The same here I hate brush painting and it stems from my first 3 months as an apprentice where I was in the joinery shop and all I did was prime coat every bit of joinery work that was required to be primed before it left the shop. I don't mind spray painting though... can get some great finishes. Re: How much do you save 17Mar 19, 2010 9:07 am Our OB is only small but at the end of the day, it's your blood, sweat & tears which go into it which is very rewarding. Yes as Bam said, you learn things & also you know things have been done correctly, your not going to do a crappy job on your own house. On our place, we could have it all done for us, I'm guessing with a lot less headaches, faster & cost us approx an additional 30%, so yes a significant saving there. But we are finding it extremley difficult to find tradies to quote us, especially plumbers. It does take time but patience is a virtue, as they say. It will all be worth it in the end. "A dream you dream alone is only a dream. A dream you dream together is reality" -John Lennon Re: How much do you save 18Mar 19, 2010 12:38 pm Hi SerialStyler, If your having trouble finding a plumber, i can see if mine is interested. He is a mate i grew up with, and does a great job. Our plumbing inspection passed first go without so much as a raised eyelid. View our story on here in photo form: http://simonandrachshouse.posterous.com/ I've just had a look at the website. The company are just building broker's. 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