Did you know that there are hundreds (maybe thousands) of new house plans drawn every year that never get built? Hundreds upon thousands of dollars are wasted by would-be home owners simply because they fall victim to one of the most common mistakes in the building industry when designing a new home.
“Hi, I was wondering if you could take a look at my plans please and provide a cost assessment. You see I have just spent almost $10,000 on plans, engineers and various consultants and reports and now I have found that the quotes I am getting from builders are way over my budget and so I can’t afford to build. What can I do?”
The biggest mistake people make when designing a new home is having their plans drawn up, engineering and other consulting reports finished, and even certification processed through council, before they get their project costed.
Unfortunately relying too much on the designer to assess the costs is a big mistake! You should actually talk to a builder about costs before even approaching a designer. This will help to give you an understanding of costs involved.
It’s true you won’t receive an exact costing, but it will help you to establish a benchmark when designing a new home for your family.
Here are the steps:
- Narrow down a short list of builders before you go to the design stage. Ask them to show you houses that have been built in the last 12 months from their portfolio and find out exactly how much these homes cost. This will provide you with the necessary grounding in real building costs.
- Get preliminary concept plans drawn and once again talk to the builder/s you narrowed down to. They will never accurately price a home from a concept plan but they will be able to guide you within a 10% range of what they believe the final cost will be, based on their experience with the type of home you are considering. Once you know that then assume that you will pay 10% more than the initial assessment and base your decisions on that. If it eventuates that the final price is close to or even less than the initial estimate, then pat yourself on the back – that is a great outcome! If it ends up being 5% to 10% more than the initial estimate at least you had a realistic expectation prior to paying a non-refundable deposit.
- Now you’ve had the benefit of early consultations with experienced and professional builders you can make the decision to move forward or re-think your strategy.
To help with a costing strategy why not take advantage of our complimentary service by contacting Ison Homes today when designing a home. We can help you make the right decisions when designing your new home, house, duplex or townhouse development.