Building to a Budget: 12 Must-Know Design Considerations
Know what can influence the final price of a new-build before setting your design wish list in stone
Dominic Bagnato
31 March 2017
Houzz Australia Contributor. Director at Bagnato Architects. I have a passion for architecture and building, and I love creating spaces that are well planned and simple, using natural materials to create warmth and luxury.
Houzz Australia Contributor. Director at Bagnato Architects. I have a passion for... More
If you are considering building a new home, or embarking on a renovation that may require new additions, then I have one question to ask that simply must be answered at the outset. What is your budget? There are many design and construction considerations that affect what your project is going to cost, and it’s essential to know about them early to avoid disappointment later.
Left unanswered and unmonitored, the fundamental question of budget can have a devastating and lasting financial impact on you. Clients can be reluctant to reveal their budgets for a number of reasons, one being that they don’t want to stifle the designer’s creativity by providing them with budget constraints. Another reason is that they hope the final construction cost, once tendered out to builders, will come in under budget – by revealing their budget prior, they fear it will prejudice the final construction cost.
Nothing could be further from the truth. Without a budget, a designer is simply sailing through open waters without a compass or destination. Without direction, who knows where they will end up? The last outcome we all want to see is a house designed that the client simply cannot afford. Keep these considerations in mind from the outset – they’ll have a big impact on your budget.
Left unanswered and unmonitored, the fundamental question of budget can have a devastating and lasting financial impact on you. Clients can be reluctant to reveal their budgets for a number of reasons, one being that they don’t want to stifle the designer’s creativity by providing them with budget constraints. Another reason is that they hope the final construction cost, once tendered out to builders, will come in under budget – by revealing their budget prior, they fear it will prejudice the final construction cost.
Nothing could be further from the truth. Without a budget, a designer is simply sailing through open waters without a compass or destination. Without direction, who knows where they will end up? The last outcome we all want to see is a house designed that the client simply cannot afford. Keep these considerations in mind from the outset – they’ll have a big impact on your budget.
1. Size does matter
If your budget doesn’t allow you to have a home that meets your brief, or for that matter a home similar in size to your neighbours’, then consider building a smaller or simpler one. A house designed just for the sake of being large may mean that all those interesting design details discussed at concept stage may have to be stripped away to meet the overall budget, denying you the pleasure of an amazing bespoke home.
If your budget doesn’t allow you to have a home that meets your brief, or for that matter a home similar in size to your neighbours’, then consider building a smaller or simpler one. A house designed just for the sake of being large may mean that all those interesting design details discussed at concept stage may have to be stripped away to meet the overall budget, denying you the pleasure of an amazing bespoke home.
2. Access while you build
Did you know that the home featured in the first photo, although smaller in size, may in fact cost significantly more than this house constructed on a larger site? The ability for a builder to drop off and store materials on site can have a huge effect on the construction cost.
If site access is so constrained that materials have to be handled multiple times and moved from here to there, rather than storing them in one location until needed, then the cost to build will be higher. This is a major reason why homes located in higher density areas within city limits cost more that those in the outer suburbs.
Did you know that the home featured in the first photo, although smaller in size, may in fact cost significantly more than this house constructed on a larger site? The ability for a builder to drop off and store materials on site can have a huge effect on the construction cost.
If site access is so constrained that materials have to be handled multiple times and moved from here to there, rather than storing them in one location until needed, then the cost to build will be higher. This is a major reason why homes located in higher density areas within city limits cost more that those in the outer suburbs.
3. The shape of the building
Keeping the form of your building to a simple shape will have a ripple effect across the whole construction process, saving money and keeping your budget in check. Having fewer twists and turns in the shape of the building allows each of the individual trades such as bricklayers, carpenters and concreters to work faster and more efficiently, and the cost savings are passed onto the client. Curved walls are at the other end of the scale, so stick to straight lines if you can.
Keeping the form of your building to a simple shape will have a ripple effect across the whole construction process, saving money and keeping your budget in check. Having fewer twists and turns in the shape of the building allows each of the individual trades such as bricklayers, carpenters and concreters to work faster and more efficiently, and the cost savings are passed onto the client. Curved walls are at the other end of the scale, so stick to straight lines if you can.
4. Single storey versus two storey
A single-storey home not only has all the benefits for the occupant of having every room on one level, but these benefits are also passed onto the builder who doesn’t have to organise trades to work at a higher level, incurring additional costs. There is no need for internal staircases or the carting of material to an upper level or, for that matter, the requirement for non-standard building methods such as the use of external scaffolding.
A single-storey home not only has all the benefits for the occupant of having every room on one level, but these benefits are also passed onto the builder who doesn’t have to organise trades to work at a higher level, incurring additional costs. There is no need for internal staircases or the carting of material to an upper level or, for that matter, the requirement for non-standard building methods such as the use of external scaffolding.
Scaffolding the external part of a two-storey building allows tradespeople to complete their work in a safe manner, while giving them platform access at each level. Because scaffolding is required across many trades, from carpentry to painting, it may be required for the duration of the construction period, adding a great cost to the building. Scaffolding is generally hired, incurring a per-day cost.
5. Material and trade selection
Limiting the number of trades working on your project can also help keep the cost down, and one way to do this is through the use of limited materials. Consider using a single type of material, such as the timber seen in this home, to clad the outside of the building. The trade involved is a carpenter, and keeping the cost in check is easier than the next home, where multiple trades were required.
Limiting the number of trades working on your project can also help keep the cost down, and one way to do this is through the use of limited materials. Consider using a single type of material, such as the timber seen in this home, to clad the outside of the building. The trade involved is a carpenter, and keeping the cost in check is easier than the next home, where multiple trades were required.
The cladding of this home required a variety of tradespeople skilled in using different materials – brickwork, render and metal cladding. Individually, the cost of each finish may be reasonable, but collectively they can add up to a significant amount.
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Browse more home exteriors
6. Roof design
A simple design consideration such as the shape of the roof can have a big impact on the budget. The roof of a building is essentially a hat to keep the water out of your home. The fancier the hat, the more it is going to cost. In roof plumbing language, the more hips, valleys, gutters, downpipes and flashings you have (a fancy hat, in other words), the more it is going to cost. The flat roof of this home is very simple and drains away in one direction, keeping the cost down.
A simple design consideration such as the shape of the roof can have a big impact on the budget. The roof of a building is essentially a hat to keep the water out of your home. The fancier the hat, the more it is going to cost. In roof plumbing language, the more hips, valleys, gutters, downpipes and flashings you have (a fancy hat, in other words), the more it is going to cost. The flat roof of this home is very simple and drains away in one direction, keeping the cost down.
The roof of this home is a lot more complicated. It has multiple drainage points and twists and turns, requiring the roof plumber to carefully consider how the water is going to be diverted from the home. A further cost consideration is the structure – this roof design would require roof carpentry and plastering in addition to the standard trades, meaning it’s going to cost a lot more than the flat roof above.
7. Grounding your home
Whether you have a sloping or flat site, how you place your home on the land beneath can significantly affect the construction budget. Raising your home on posts requires fewer site works such as cutting the land beneath in preparation for the home above. A simple platform is built and the build above reverts to conventional building methods.
10 reasons to get your house off the ground
Whether you have a sloping or flat site, how you place your home on the land beneath can significantly affect the construction budget. Raising your home on posts requires fewer site works such as cutting the land beneath in preparation for the home above. A simple platform is built and the build above reverts to conventional building methods.
10 reasons to get your house off the ground
This home, however, is vastly different. The land beneath was cut away, and the addition of retaining walls and concrete footings were required before the home could be built. In other words, the lay of the land beneath was altered, requiring stabilisation before construction could take place, which then added a whole lot more to the build cost.
8. Alterations and additions to an existing home
If you are considering an extension, try to limit structural alterations of your existing home where possible. Building your addition away from your home and linking it with a smaller structure such as this glazed access path is one way to do this.
Traditionally the link is lower in height than the home under renovation and the new structure, so it fits neatly under the existing gutters, meaning there’s no need to make changes to the exiting roof.
If you are considering an extension, try to limit structural alterations of your existing home where possible. Building your addition away from your home and linking it with a smaller structure such as this glazed access path is one way to do this.
Traditionally the link is lower in height than the home under renovation and the new structure, so it fits neatly under the existing gutters, meaning there’s no need to make changes to the exiting roof.
In the floor plan of this home, the link can be clearly differentiated from the existing home and the new additions to the rear. Try to restrict the changes you make to the existing home to cosmetic changes, such as a new bathroom and kitchen or painting. In other words, try to work with what you have and don’t structurally touch what’s there if you don’t have to.
9. Bespoke detailing
It’s every designer’s dream to be able to craft each individual element of the building, but custom-designed details cost money. These laser-cut screens across the upper-level windows, for example, have been designed just for this house. Keep in mind that if cuts to the budget have to be made, these custom features will be the first things to go.
If it’s not the screens that have to go, it may be some other bespoke detailing, such as the way the building is held up. In this case, that’s done with the diagonal columns. To reduce costs, consider using off-the-shelf screens or standard columns, and adding architectural interest elsewhere in the design.
It’s every designer’s dream to be able to craft each individual element of the building, but custom-designed details cost money. These laser-cut screens across the upper-level windows, for example, have been designed just for this house. Keep in mind that if cuts to the budget have to be made, these custom features will be the first things to go.
If it’s not the screens that have to go, it may be some other bespoke detailing, such as the way the building is held up. In this case, that’s done with the diagonal columns. To reduce costs, consider using off-the-shelf screens or standard columns, and adding architectural interest elsewhere in the design.
10. Going underground
Underground cellars, swimming pools and even garages are being requested more often. Land is expensive, after all, and digging down frees up space. Descending downstairs into your own private cellar stocked with favoured wines is a fine idea, but excavating a hole to accommodate such a luxury is very expensive. There are additional costs involved to dig, stabilise the earth, drain away water, and so on.
Underground cellars, swimming pools and even garages are being requested more often. Land is expensive, after all, and digging down frees up space. Descending downstairs into your own private cellar stocked with favoured wines is a fine idea, but excavating a hole to accommodate such a luxury is very expensive. There are additional costs involved to dig, stabilise the earth, drain away water, and so on.
Fortunately, there are often alternative design solutions so you don’t have to miss out on these luxurious spaces – ask your designer what the options are for your proposed project. You could substitute your underground cave for an above-ground walk-in cellar, for example, in your existing home.
A glazed wall sections off this well-stocked cellar, and custom-made joinery and feature lighting make it a space you won’t want to hide away. An in-ground pool can also be substituted with an above-ground pool, and surrounded by an elevated deck to achieve a similar look.
Cool things to build underground
A glazed wall sections off this well-stocked cellar, and custom-made joinery and feature lighting make it a space you won’t want to hide away. An in-ground pool can also be substituted with an above-ground pool, and surrounded by an elevated deck to achieve a similar look.
Cool things to build underground
11. Standardisation
There is a reason why high-volume builders can build homes to an exact budget, and it’s called standardisation. Just about every conceivable building material can be bought off the rack, from windows and doors to kitchen cabinets and floor coverings. All of these items can also be specifically and individually designed just for you, but they will come at a cost.
You can achieve great budget savings by asking your designer to specify standard items or a combination of both standard and custom designs, using product lines that are available for affordable prices without compromising the overall design.
There is a reason why high-volume builders can build homes to an exact budget, and it’s called standardisation. Just about every conceivable building material can be bought off the rack, from windows and doors to kitchen cabinets and floor coverings. All of these items can also be specifically and individually designed just for you, but they will come at a cost.
You can achieve great budget savings by asking your designer to specify standard items or a combination of both standard and custom designs, using product lines that are available for affordable prices without compromising the overall design.
12. A crystal-clear recipe
Baking a cake requires you to follow a specific recipe. If you had to guess at some of the ingredients, it is unlikely the cake will turn out exactly how you wanted it. A builder too needs a recipe to build your home. That recipe consists of three important documents: the architectural drawings, project specification and a building contract. These documents need to be comprehensive and detailed to prevent any misunderstandings and cost blowouts.
Baking a cake requires you to follow a specific recipe. If you had to guess at some of the ingredients, it is unlikely the cake will turn out exactly how you wanted it. A builder too needs a recipe to build your home. That recipe consists of three important documents: the architectural drawings, project specification and a building contract. These documents need to be comprehensive and detailed to prevent any misunderstandings and cost blowouts.
The architectural drawings describe to the builder exactly how to build your home and what it will look like – the more drawings you provide, the more accurate the builder’s interpretation of the design will be.
The project specification lists in great detail every conceivable item that will be incorporated into the building, including doors, windows, appliances, floor and wall finishes, and more. This comprehensive written description may include model numbers and suppliers, so the builder provides the client with exactly what is expected and what they have paid for, without any discrepancy.
The building contract highlights the final cost of the building, and how and when the builder will be paid. It also includes items that the client may provide to the builder, or any exclusion of items to be provided by other parties. Importantly, it highlights when the builder will start and when they will finish, including any penalties that may arise if key dates are not met.
The project specification lists in great detail every conceivable item that will be incorporated into the building, including doors, windows, appliances, floor and wall finishes, and more. This comprehensive written description may include model numbers and suppliers, so the builder provides the client with exactly what is expected and what they have paid for, without any discrepancy.
The building contract highlights the final cost of the building, and how and when the builder will be paid. It also includes items that the client may provide to the builder, or any exclusion of items to be provided by other parties. Importantly, it highlights when the builder will start and when they will finish, including any penalties that may arise if key dates are not met.
A suitably qualified architect or designer will be able to provide these documents as part of their service. An important note: preparing these documents requires a lot of time and cross referencing; requesting that the designer reduce their fees for these will only result in these documents being less comprehensive and open to interpretation and potential conflict. Trying to save money at the recipe stage is far more likely to end in disaster.
Your say
What design considerations have you adopted to keep your project to budget? Tell us in the Comments section below.
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Read more stories about working with pros
Your say
What design considerations have you adopted to keep your project to budget? Tell us in the Comments section below.
More
Read more stories about working with pros
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Hi spmm, while I 100% agree with you that higher ceilings are far better, the accumulative effect on additional cost of 3.0 m ceilings is significant. Gyprock is sold in 3.0m length sheets but they cant be laid vertically. If you do, you will add many more vertical joints in the wall as opposed to one horizontally. Also you will need to add an extra timber stud behind each vertical joint to secure the sheet hence carpentry will escalate. Also where the plaster meets the ceiling, the cornice will not sit exactly flat as it will be fixed across multiple joints. Also once you build over 2.7m in height stud sizes and spacings have to be beefed up to meet the Australian Building Code. If you multiply this across every room in the house, it all starts to add up.
My verdict, I would still prefer 3.0m ceilings.
We like to work with clients on the design and build for this exact reason. Collaborating with the client when designing a home, we are able to incorporate building sensibility with an aesthetic design that works for the client and complements the block it will be built on, while respecting their budget. We spend a lot of time educating the client about aspects of the build that will impact the integrity of the construction - because you can only do structural things once and you need to get those right. Once clients understand what things will impact the budget and why, then we are able to work together on designing and building a home that meets their unique requirements and stays within budget. I will forward this article to potential clients as I think it is a good way to start educating them about things they may want to consider in their design and build. Thanks for posting!