Hi Azzopardi As previously stated, it's all about your contract.... and the events subsequent. Firstly, I would suggest you post an example ie the details of an item that is being changed that you are unhappy about the most, including the original item specified and the item that is now being installed, together with the background on how that change came about. We can then perhaps give you some advice on that. Also, what type of contract is it? Is it a fixed price / design and construct / cost plus? Thirdly, I suggest you start reading your contract. In it you will find a couple of items you need to look for specifically... They are; 1. Variations - there is a set process whereby any changes to the contract need to follow a methodology. The builder needs some form of approval from you to make changes and it is detailed in this part of the contract. Equally, if you have made changes to the works you have asked your builder to perform then you need to follow the process ie in writing. Have you been having site meetings / progress discussions with your builder? 2. Disputes - there are often disagreements during the building process particularly where one persons recollection of events are different to others. That is why it pays to do everything in writing. That said, there is a mechanism in the contract telling you what to do and how to resolve a dispute with your builder including the use of an independent arbitrator etc. If you follow the steps and put it in writing you will soon find out why the changes are made. Cheers

Hello Sam Yes, yes and yes, regardless of whether it is a fixed price or cost plus. The general impression of most people is that builders do the job cheaper when it is cost plus and that is why they go looking for that type of contract. That's not the case. The costs are the same, just broken up differently. The only real difference is that on a fixed price, the builder takes the risk that he has allowed for everything whereas on cost plus you just pass on the bill. Cost plus can be a minefield. I have seen builders invoice a client for two lots of tiles and send half off to another job.... On the other hand, I have seen clients counting pieces of wood offcuts and claiming refunds on a barrow load of sand with builders... it can get that petty. GST is paid regardless of the contract as you know. Supervisors are required regardless of the project as in truth, there is not enough profit in a building project to support the legislative requirements, the back end staff, the insurances and contract administration from a single building project. The insurance companies also require a minimum profitability (ie builders margin) before they will insure a builder. The reality is that the builder must take on multiple projects and have competent supervisors to make it work. I suggest you work closely with your builder and understand that he has requirements as do you .... I doubt he is ripping you off. Cheers

Trent, what that builder is telling you is rubbish - they could provide whatever breakdown & information you are requesting if they want to.......but some just don't want to or can't be bothered......the best builders will disclose information and be completely open, honest and transparent as to the components and the margins - the dodgy ones won't open their books because they don't want you to see what's going on, and usually this indicates there is something they'd prefer to hide......... Builders/trades are masters of manipulating the owner. That's a generalisation and of course there are the rare good ones, but they are harder to find than the rest of the bunch - I've seen it and heard it all :) Good luck and if your about to jump into this stage of the game make sure you have your BS meter charged up... Cheers PD :)

PPA is also commonly known as the Plan Preparation Agreement or Preparation of Plan Agreement. PPA in Australia is an early stage agreement between you and the builder. It is an agreement where the client gives permission for the builder to start preparing all of the necessary drawings and documents for the council or authority approval. Such as site survey, soil report, working drawings, and et cetera. With PPA there is usually a small fee that you will need to pay, which is commonly transferrable to be part of your deposit payment for the build. You should discuss this matter with your builder as a different builder might have a different arrangement. But if for some reason, you decided to pull out, maybe because you can’t get your finance through. This money is non-refundable and the builder may claim for any extra cost that they have incurred for preparing the drawings and documents. Or if you had a change of mind and decided to build with another builder, this deposit is still not refundable. On top of the extra cost which the builder has incurred to date, there is also a copyright fee that you will need to pay should you want to use the design with the other builder. Although PPA is only one to two pages long, it is still very important for you to read it carefully, have a good understanding of it and clarify with the builder should you have any questions. Let me know your thoughts by commenting and sharing it below. =) Watch the full video discussion here: BUILDING CONTRACT - WHAT'S PPA EXACTLY?