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Different types/levels/tiers of residential builders

Noob Homeowner
2 years ago

Hi guys, first time building, and looking for some clarification between the 'types' of builders there are. Finding it really confusing with terminology from companies I've spoken too, and can't really find an answer on google. Tried posting on reddit/whirlpool/homeone initially, but can't get an answer.


I feel like when calling professionals is trying to sell me their service without giving me a straightforward answer!

Could anybody please clarify the following:

(I'm from South Australian so using SA building companies because that's all I know)

1. Project/Volume builder: the most common type of builder, display homes everywhere. Website with many different floorplans. The most affordable, with the poorest quality of construction. Markets themselves as 'customizable', but really you can only select one of their template floorplans with very superficial customization. Unable to design a truly unique floor plan for you? Only really able to build on flat square/rectangle blocks. What most people build with?
Been quoted from $900-1500 per sqm. So companies like:
- Weeks (https://weeks.com.au/)
- Rivergum (https://rivergumhomes.com.au/)
- Metricon (https://www.metricon.com.au/) - I think they market themselves as a more premium volume builder? But even their signature line is all templates?

2. Custom builder: a builder that builds 'custom' to your idea/floor plan. Has no templates? Able to customise your floorplan into a build. Has an inhouse designer/architect. Able to build on a variety of blocks.
Usually start around $2000 per sqm. So companies like:
- Scott Salisbury (https://www.scottsalisburyhomes.com.au/)
- Latitude 37 (https://www.l37.com.au/)
- Samuel James (https://www.samueljames.com.au/)

(these two I figured, but the rest is confusing):

3. Spec Builder: what exactly are they, how do they market themselves, and how do they differ from project and custom builders?

4. Premium Builder: are these basically custom builders?

5. 'Bespoke/Boutique' Builder: found some that do not do -any- design work at all, but only work off architectural plans. Are these the highest 'tier' of builder with the best quality, or is it all just marketing? How do they compare to 'custom' builders - can custom builders do similar quality?
Been quoted at least $4000 per sqm. For example:
- Ikon Projects (http://www.ikonprojects.com.au/)

5a. If 'bespoke/boutique' builders are better, what's the deal with most of the HIA/MBA awards going to custom builders?

6. Architects - what is the benefit of going to an independent architect (and tendering to a 'bespoke/boutique' builder) vs. going to a 'custom builder' that has an inhouse architect (not designer). I have been told that 'custom builders' recycle their floorplans and aren't truly custom, and their architects design to that builders 'style' - and that they're not truly 'custom', and just a pimped out volume builder with better decorations. Is that true?

7. It seems people talk about custom builders being better than volume builders, but within the custom builder category, is there a big difference between different custom builders (especially ones that have awards)?

8. Home lottery homes - typically these homes are lovely, are these usually built by custom builders or achitecturally designed?

I've been told display homes are generally built with better trades to the best quality, and not really representative of a builders typical work. Well today I went to a display home of an award winning custom builder (starts at $2500 per sqm) and I was shocked to see this kind of quality:

https://imgur.com/a/CM6DCtg

Is this the best I should expect/representative of $2500+ per sqm work, or am I just too anal/OCD and have unrealistic expectations of perfection?

Thanks for all your help!

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