Owner builder worth the headache?
9 years ago
last modified: 9 years ago
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- 9 years ago
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Does owner building save on building costs as much as first thought?
Comments (2)My husband and I are nearly at the end of a major owner build - before this the biggest thing we had built was a farm shed... Based on BMT's current building cost calculator we will have saved over 50% of the replacement cost of our home by owner building - it has been a hard slog but worth it in the end. Our valuer has indicated that at completion our mortgage will be around 30% of our properties value, which means we will have built in a LOT of equity. It's not for everyone but if you can - I say go for it! My lessons learnt so far: Go the extra mile in ensuring your plans are detailed/you have incorporated EVERYTHING you want in your new house before starting - major budget blowouts are inevitable if you keep changing things mid-stride! Have a plan and a budget and work to it:) Have a bill of materials and specifications that includes everything - even down to the brands, there is a major cost difference in a garden variety Bunning's vanity vs. a bespoke custom floating one - and unless you specify exactly what you require you will not get what you want and your budget will never be accurate (and your cost overruns will be scary!). Decide what level you want to be involved at: do you have plans to be hands on - building everything you can, learning all the trades like framing/plastering/tiling etc. or are you envisioning a owner-managing role where you are engaging trades to complete the work for you; this will dramatically alter the cost and the time the project will take. Will you be able to be present on site when trades are there to manage them? One of the major things a builder does is crisis control and problem solving!! Bespoke architect or kit or somewhere in between?? Another thing that will bear greatly on cost and project staging. For first time owner builders I would recommend a kit home - most of the inclusions are standard, you can modify many of the designs and the deliveries are staged so you don't have an influx of materials all at once. Most of the kit home providers are great with their after sales support and advice when you need it - they wan't to see you succeed as their business relies on successful customers! Ensure your finance is concrete and you are able to draw down funds as you need them - this is a major stumbling block when it comes to owner building as most financial institutions will not loan to owner builders. There is nothing more frustrating than getting halfway through a build only to find out that due to prevailing economic conditions your current lending provider will not loan you any more money and you have actually devalued your property by partially erecting a home (oh, yes sadly- I'm speaking from experience...). Build in contingency funds to any estimate of costs - you will sleep better at night. Be aware that even if you do obtain construction finance that most banks will pay these retrospectively - you have to spend the money before they will draw it down off your loan - that means having enough money to fund a stage in full ( i.e. brickwork, plumbing, electrical) before drawing down loan funds - and you can be guaranteed they will want to send round the valuer to ensure that the work has been carried out! Have written quotations and lists of inclusions/bill of materials when negotiating with tradesman and contractors - many are happy to work with you but a lot will take advantage of your naivety... Don't be left out on a limb after getting to the end of the job only to have your contractor demand large blowout payments - this is readily avoided by having everything in writing and will ensure your contractor keeps you informed of any expected costs overruns. Do not underestimate the impact an owner build will have on your life... You will be eating, living, breathing and dreaming it for as long as it takes (and yes there will be nightmares!). Be honest with yourself about how much time and commitment you are willing to sacrifice to make the cost savings worthwhile - if you are the kind of person who begrudges any intrusion into your personal time, can't go a week without a social occasion and can't handle working long hours and getting your hands dirty...maybe owner building isn't for you... Enjoy the journey! My husband and I have tackled every job we have been capable of - we have put up the framing, put on the roof, done the guttering, installed the insulation and windows and we are plastering the inside and painting as I speak. It has been good to learn new skills and exceptionally rewarding to see it all come together - sure if I had my time over again I would have done a few things differently but we don't regret the decision to take charge of our future and build our own home just the way we want it. Anything is possible if you give it a try!!...See MoreUnderfloor heating — worth the investment?
Comments (139)If those prices don't include the electrician's costs of connection then to me they don't match up and I'd say your supplier/installer can't do maths lol. Pricing will change between supplier and of course electricians, and of course I'm working off the impression that the floors are flat where you want it installed. If the quote includes the electrical work, as in it covers everything besides tiling to where you can switch it on, then it looks reasonable to me and sits around the ballpark of what we paid. With the electrician's connection costs included then the figures match up better between the bathrooms and the living area, looking at it from a total per m2 viewpoint. If it includes the floor covering as well, then I'd say get on the phone and book the job straight away before they realise their mistake lmao. For instance if the quote is just for material and install, without electrical connection then the two bathrooms are quoted at $166.66 per m2 and the living area is quoted at $53.57 per m2. A large difference at cost per m2. If however the quotes include the electrical connection then you can average out the m2 cost across all three rooms and it amounts to $73.53 per m2. The electrician would be charging the same price for connection of each room (with only minor differences) if there is nothing out of the ordinary in any room. That means it's a static cost in each room that could make the bathroom quotes look inflated, and the living room look on the cheaper side. When you have a m2 quote on something across multiple rooms of different sizes, it's important to factor in anything outside of materials that's included in the quote. Assuming the install could be considered standard (whether it be underfloor heating, tiling, carpet, etc.) there will be other costs involved such as labour hours, wiring connection, installation materials, etc. Some can be considered static such as the electrician installing a single thermostat in each room, whatever actual size that room may be. Others will be more fluid such as labour hours for the tradesmen doing the install - will take a lot longer to lay tiles in a room of 56m2 than it will to lay them in a room 6m2. Whenever you are given a quote involving installations by m2, it's important to get them to detail what exactly is included in the quote. If you don't do this you run the chance of ripping yourself off. Let's say you get 3 different quotes from underfloor heating suppliers who all give you different prices but without details. One may look more expensive than the other two but actually be cheaper overall due to including everything up to 'turn on' phase, where the other two may only include supplying and laying the underfloor heating with you having to organise your own electrician after install....See MoreBuilder? Draftsman? Architect? All? None??? HELP!!!
Comments (11)"Architect-designed houses are not accessible to all." This is a myth championed by the building industry. Alternatively, why not focus on the key benefits architects bring to a project. Here are a few for you: • Appoint an architect to your project and you’ll gain a home designed for the way you want to live.The alternative is a builder-designed home that suits what the builder is used to building. Quality builders will ask for plans and specifications to be thoroughly documented so that they can go ahead and do what they do best, which is build. Working out with the owner what you’re going to build and why is the architect’s role. • An architect manages planning approvals. This process is complex, often arbitrarily applied by many Councils, fraught with pitfalls for the novice and is ramped up every year with new hoops to jump. If you want a professional on your side who knows the territory, will go in to bat for you and will forge a way through this minefield, you need an architect. • If you’d prefer to put the works to tender to a number of builders rather than having to accept the quote of the builder you started the process with, you need an architect. • If you’d prefer to protect yourself with a proper, architect-managed ABIC contract that works equally for both parties and is legally enforceable, you need an architect. • An architect will minimise costly changes during construction as he or she will produce a proper level of drawings (expect 20 x A3 pages for a new home, rather than the 1-2 pages you’ll receive from a drafting service.). The reasons for this are that you have on paper exactly what you want to build. Without this, you are entering a contract with a builder with none of the details resolved. You wouldn’t do that if you were buying a house, so why do it when spending an equally significant amount of money? Unfortunately, some builders see this approach as an opportunity to happily accept constant changes from ‘project managing’ owners because it’s just another variation that he can charge for. The longer he is there, the better for his margins, particularly when there’s no contract to speak of. Finally, an architect is a specialist with a professional duty of care, irrespective of financial gain. In other words, they’re there to support and protect you, without benefit to themselves. No one else in the building industry can provide this....See MoreMake builder change drawers? Worth it or not? :/
Comments (38)I have to agree with the comment on symmetrical. I really thought that was something I should be pedantic about but then I had to take into consideration what storage I needed and as my kitchen is only small, there was no way I could even begin to think symmetrical. I chose to have finger pulls on my drawers which unlike handles does not draw attention to the unevenness, but even then I actually prefer the fact that each of my drawers are different, to me it is more interesting, and better still, helps OLD minds like mine remember where I put things....See More- 9 years ago
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