Browse Forums Building A New House Re: Profit margin of builders 44Mar 27, 2009 12:12 pm I have it on good authority that upgrades, would be in the vicinty of a 25% margin. Builders don't like to cut their prices and offer discounts.. They are more willing to sweeten the deal by adding extra's.. This is how I will be proceeding.. Leaving the upgrades to the minimum, doing flooring seperately (using the builders preferred supplier so that it can be done during constuction) My flooring quote was 24k for around 92m2 of timber floor. I am now asking for a quote directly with their supplier and will let you know what it comes back at, but I am expecting to save around 6k. Re: Profit margin of builders 45Mar 27, 2009 12:30 pm andrew78m I have it on good authority that upgrades, would be in the vicinty of a 25% margin. Builders don't like to cut their prices and offer discounts.. They are more willing to sweeten the deal by adding extra's.. This is how I will be proceeding.. Leaving the upgrades to the minimum, doing flooring seperately (using the builders preferred supplier so that it can be done during constuction) My flooring quote was 24k for around 92m2 of timber floor. I am now asking for a quote directly with their supplier and will let you know what it comes back at, but I am expecting to save around 6k. Your authority is correct - but more like 40% margin. Any price you get from a supplier you can add around 25% to get the builder's price. Ed "ECOECO" At 'EcoEco', we design windows, we design the best windows, we do it for you, so that when you’re happy we are happy. Tel. 1800 326 326 Re: Profit margin of builders 46Mar 27, 2009 12:47 pm Don't forget that the larger builders will have deals built in on the products they use I know one large sydney builder for every house done with a brand of electrical switches they receive free IXL's lights and a rebate on the gear bought payed back from the manufacturer. And quite often they buy some gear alot cheaper than the wholesalers for the simple fact they want their brand installed first up, sowing up future upgrades etc.. Thats just on the electrical side.....now start thinking roofs, bricks, insulation etc etc.... And Im sure they would have growth targets aswell...more money back through the back door Electrical Wholesaler Look at your bill from the electricity company. It should detail the charges. You will need to do some estimating and some calculations. Then charge the… 8 4258 Site works are just about to start on our build with Blueprint in Midvale. viewtopic.php?f=31&t=106894 2 3962 Hi all, We are looking to build a new two storey house in western Sydney. Can anyone recommend a smallish builder to go with? We are trying to stay away from the big… 0 12159 |