While building a house is decidedly more complex than buying a car off a showroom floor, understanding what is and isn’t included in a build quote has some parallels to car shopping.
With a car, the price on the windscreen might look good, but does it include tinted windows, heated seats, mag wheels, colour choice and everything else today’s buyer expects from a new vehicle?
Just like keeping an eye out for asterisks on car ads, buyers getting quotes from builders to build their new home, whether from standalone contractors or volume builders, need to read the fine print, according to industry experts.
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What is usually included in a quote to build a house?
Master Builders Queensland’s manager of building services, Tony Mitchell, says with no uniform laws across Australia controlling what is and isn’t included in a standard building quote, it’s up to the consumer to work with builders to define what’s what.
There’s no uniform laws controlling what is and isn’t included in a standard building quote. Picture: Getty Images
“Each and every builder across Australia will have their own template of what is included and what isn’t, so during the quoting process, consumers need to be very specific about the scope of work they want done and then understand what is included and what isn’t in the quote when it comes back,” he says.
“You need to consciously read and understand what you’ve been quoted for…and never assume,” Mitchell says.
For example, some volume builders take care of site costs, like engineering work, soil tests, unexpected tree removal or rock excavation, as well as council and regulatory requirements, but not all independent builders will.
“Unless you can see it written down, you’re not getting it, so check,” he says.
Mitchell says things like driveways, landscaping and fencing are all generally treated as “extras”, but can be included in an “all-in-one” quote if requested.
Be aware that landscaping, driveways and fencing are generally treated as ‘extras’. Picture: Getty Images
The actual inclusions in a property – things like appliances and light fittings – are listed in the specifications.
“Make sure the specifications, as listed, are what you want.”
Pay careful attention to “prime cost” items, which are where a provisional amount is set aside for something, but not yet purchased, Mitchell says.
“Ensure the allowances you have for things, it may be $1000 for a cooktop, are actually sufficient for what you want,” he says. If there’s a difference, the consumer pays.
Also be aware that connections, like stormwater, gas, power and internet, are generally the responsibly of the owner, not the builder – and can be costly.
While using a “turnkey” provider is different to engaging an independent builder, volume builders generally quote in a similar way, making to possible to compare.
Hotondo Homes’ national sales manager Fred Abu-Elias says most builders will start with the base price, the inclusions and any added upgrades.
“There are a number of components we include in our quotes, however this can vary depending on the type of home you are building. The price will include the base price of the home itself and the standard inclusions; the type of flooring in the home, fixtures such as tapware and appliances and paintwork,” he says.
“A quote will also include any upgrades the client has specified during their initial appointments. Some builders also include driveway or landscaping allowances.”
What might not be included in a quote to build a house?
He says items buyers choose to upgrade throughout the process, like benchtops, fittings, appliances and structural changes, are not be included in the initial quote.
Upgrades of benchtops and fittings throughout the process are not included in the initial quote. Picture: Getty Images
“Groundwork is also not included on split level homes, as it is hard to judge what work is required without visiting the block,” Abu-Elias says.
“Front and back landscaping is almost always an extra, as every client will have a different idea of what the perfect front or back yard is.”
Burbank Homes’ managing director Jarrod Sanfilippo agreed driveways, landscaping and fencing are treated as extra.
“Other things to consider are town planning requirements, planning permits and occupational health and safety requirements when building within an established area, like traffic management,” he says.
“Some builders may have different clauses around their fixed site costs and so on, but they generally each share the same approach when it comes to quoting. Any good builder would be more than happy to meet with prospective buyers and discuss their options, which can be easier than them trying to figure it all out for themselves,” Sanfilippo says.
