For many households, a renovation is the second-biggest investment they will make after buying their home. Whether you are planning a major project with a builder or a smaller update, you will need quotes from qualified tradespeople – and those quotes can vary enormously in the amount of detail they provide.
Steve Burke of Perth renovation builder Amerex Renovations and Additions says there is no standard template for quoting.
“The amount of detail included by builders and tradespeople can vary greatly. There is an old saying, though – ‘the devil is in the detail’. Make sure everything you need is clearly listed. If it is not listed, it probably will not be included.”
Here are Steve’s tips for spotting hidden costs – and why the cheapest quote may cost you more in the long run.
1. Check Exactly What Is Included – and Excluded
It sounds obvious, but always ask what has been included in a quote and what has been left out. Do not assume that everything you asked for has been covered.
A good quote clearly lists both inclusions and exclusions. Do not accept a verbal assurance. If an item is not listed in writing as an inclusion, treat it as excluded.
2. Make Sure Quality Materials Are Specified
Prices can vary widely depending on the type and grade of materials. If a quote is much cheaper than expected, or much cheaper than the others, ask what materials are being supplied.
For example, if pine is being used for timber framing or beams, check whether it is treated or untreated. A quality builder will use treated pine to protect against termites and borers.
3. Watch for Low Allowances on Fixtures and Fittings
Setting a very small allowance for items such as door handles, bathroom fittings and kitchen appliances is one way to make a quote look more affordable. When it comes time to make your selections, you are likely to choose better-quality products than the allowance covers – and the difference becomes a variation that adds to your final cost.
This can add thousands of dollars to a project. Before you sign, do some research online or visit the displays at Home Base Design & Build Centre to check whether each allowance is realistic for the products you actually want.
4. Remember That Quality Lasts
Pay for the best quality you can afford at the start. Cheap fixtures and building materials are more likely to break or wear out, and a short-term saving rarely brings long-term gains.
A project completed with quality materials and workmanship is also more likely to add lasting value to your home.
5. Ask About Variation Fees
Almost every building and renovation project has variations – changes to the original scope, such as adding power points or changing a fixture selection. If a builder suggests otherwise, be cautious.
Many builders charge an administration fee for each variation, on top of the cost of the change itself. If this fee is not shown in the quote, ask about it. Across a project with several variations, these fees can add a significant amount you had not budgeted for.
In Western Australia, variations to a home building contract must be agreed in writing, so make sure every change – and its full cost – is documented before the work goes ahead.
6. Consider the Hidden Cost of Delays
If you need to move out during a major renovation, every week the project runs over is another week of rent or accommodation costs.
Before you sign, find out whether the builder has a track record of finishing on time. Ask about similar projects they have completed in your area and how long they took. Do not just take their word for it:
- Ask for references and call previous clients
- Make sure any completion dates are written into your contract
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This article was written by Suzanne and Steve Burke of Amerex Renovations and Additions and provided by Jason Windows. Visit the Jason Windows display at Home Base Design & Build Centre or go to jasonwindows.com.au.