When starting out on your building or renovation journey, it can be a bit difficult to know where to set your budget at. You may hear friends tell you prices of their build 15 years ago, or the latest reality show on TV will give you very unrealistic prices and it just leaves you confused.
It is important to have an accurate budget in mind from the start and it is important to disclose this with your builder. Having an accurate and realistic budget in mind will save you time from getting quotes higher than expected, will enable an accurate scope to be set and will help the professionals make your dreams come true.
Setting a budget is a bit like asking “how long is a piece of string.” But with this simple guide we hope that we can help set you in the right direction to achieve your new build or renovation dream.
Project Homes are designed and built in large numbers. Most of the selections are off the shelf and you are limited with customisation. The plans are usually purchased as is, with limited changes available. They are very affordable and represent good value for money. However, they can be difficult to build on steep blocks and don’t consider the orientation of the land or the surrounding houses. But are still an excellent option if you’re looking for a new home with a smaller budget.
These type of builders design build or renovation specifically to meet your needs. These builders work with Building Designers and Architects, as well as engineers, town planners and interior designers which saves you the time of running around to different services. Because of this they are also able to provide you accurate pricing right from the start. Tide Constructions offers a design and construction service for new homes and renovations that are custom and designed to meet your needs. As the client, you’re involved in the design process to ensure that you get a home that meets your needs. This is a great option if you have a medium to large budget in mind.
Building designers provide professional design and documentation services for your residential home construction. Building designers come from a design-related background and are able to design a functional home that will suit your needs. As building designers have a lesser qualifications to that of an registered architect, they are a more cost effective solution if you require your new home to be designed on a smaller budget.
Architects are the specialists in designing homes and through their extensive training they are able to maximise the design opportunities for your home. They offer the most flexibility and freedom with the design, however it is also the most expensive form of design for your new home or renovation. Architects have to have a formal registration to be recognised as an architect. Due to their extensive training they are able to better consider the fall of the land, the orientation of the sun, aspects and adjoining properties. They’ll be your representative during the construction. However, their specialist knowledge and training does come at a price.
If you make your selections such building materials, external cladding and roofing materials, internal finishes such as carpets, tiles, cabinetry and tapware early, this can not only give you an understanding of costs of various materials, it means that your preferences are locked in from the start which makes it easier for you to set budgets and compare different quotes. If you change your mind frequently then it makes it difficult to get a true understanding of where your budget lies.
Is your site steep? Is the access difficult? What is the availability of services? These are all items that impact the cost of your build and can impact your budget. The steeper the site the more it costs to build due to foundations and supporting structures, as well as excavations for retaining walls and drainage. Is the home a long way from the street? This can increase the cost to get water, sewage and power to the home. Are you in an apartment or narrow street where there is a long distance to carry building supplies from the delivery vehicle to the site? This pushes up labour costs considerably due to the extra time it takes to walk products and materials in. If you believe that your site is difficult, make sure you add a reasonable amount of money to your budget to allow for this. It is important to choose a builder, designer and/or architect that has experience working on sloped or difficult sites to minimise budget blowout.
Speak with the experts
Rather than ask the neighbours or your friends, call up the experts who can give you a much more accurate estimate for your works. Architects, building designers and builders can advise budgets based on similar projects they are undertaking. It is also helpful to speak with a bank to find out just how much you can borrow if that’s how you’re looking at financing your project. While you may have an Architectural dream, you may be limited to a project home budget. It would also pay to speak with real estate agents as they can guide you to what other people are doing in the area. It may not be worth your while investing $500,000 in a renovation, but instead knockdown and rebuild may be better value for return.
Do you have more of an understanding of where your budget is at? Do you understand what financial investment you need to make to get the build that you desire? To have a realistic budget set right from the start will ensure that you end up getting a build that you can afford that meets your needs. Or are you still confused? If you are unsure about your budget, give the experts at Tide Constructions a call today and we can help you with any enquiry.