Which Home Builder and When to Sign The Contract - New House Building

Hi All,
We have bought the land in SE Melb and land will be released next year Aug/Sept. We looking to build as soon as it will be released.
We are planning to have Double Story 40 Sq house. We haven't thought about the builder yet so just want to have a quick advise on choosing good/reputable builder who doesn't rip their customer off with extra charges after the fixed rate contract.

and as the land will be released next year, when is the right time to start finding and signing up the contract with fixed price. How we can negotiate with them.

We looking for Nice Decent 4+ Bed, 2+Bath and 2+ Car home with Alfresco/Theater room.

What do you guys reckon , how much would be an Avg Cost for 40 sq house and what can be the maximum price with all upgrades. Not looking for Luxurious house but should be not less than dream house.

Thanks for your advise guys. You are the best.

Comments

  • +1

    Hey Ozyboy, may I know which estate and suburb, you bought into?

  • +4

    The costs will vary a lot depending on your construction material and finishes. As a ball park, I think you're looking at a build of about $500k, excluding landscaping. Talk to a lot of builders, go to their suites, read the reviews (but take with a grain of salt - usually only the complainers leave reviews). It's a long process, so don't be afraid to start seriously talking with builders now.

    Note that you will never get a 'definite fixed price'. It's not possible. There are always unforeseen things in the ground that may come to bite you. Expect about $40k of unexpected things, including some changes that you request after signing off the floor plan.

    Note that you are not allowed onsite during construction for OH&S reasons. However it is essential that you sneak on site at every opportunity (usually they will let you in anyway). By seeing what's happening you can ask for corrections then and there, rather than doing it when the change costs become higher.

    Note that you will get huge attention before you sign up. Once you sign a contract, their attention will drop as they have you.

    Good luck.

    • Thanks mate. Don't you think so $500k is too much for 40 sq ?

      • You could cut off ~$50-80k, depending on your choices.

  • +3

    Double storey 40 SQ with medium level inclusions- any where between $380k to $425k. As soon as you start upgrading floors to say solid timber and bathroom/kitchen with Vinyl and stone, it will quickly cross $450k.

    • Any recommendation on Builder ? Out of Budget at this price.

      • +2

        Make a list of all the volume builders, go to their websites and see what designs fit best to your criteria. if you refine all designs by lot width, double storey, number of bed rooms and bathrooms- you will be left with 2-3 per builder.
        eliminate all what you don't like and you will have a design which is very close to what you need.
        Check following builders
        Mimosa homes
        Metricon
        Dennis family homes
        Henley
        Carlisle
        Porterdavis
        Preferably don't go towards custom builders if you don't have the budget. For custom builders you need to have a budget of at least $450+ for 40 SQ

        • +1

          We are building in SE Melb very near to your new estate with SJD Homes. They have a few displays in the local area - there is a double storey display home in the Berwick Waters estate. http://www.sjdhomes.com.au/our-homes/the-grande/
          We have had a great build with them and highly recommend them.

        • @ms_caz: I heard the same.. they are pretty good but haven't got a chance to speak to them yet.

        • No way custom builder.. they are very expensive. I am leaning towards. .SJD/Henley/Carlisle/Fair Heaven.
          Metricon are good but very expensive though.

      • +1

        You will hear mixed reviews from different people. Perhaps their quality depends on the location or the construction cycle or the site manager that you get. Who knows. But in my case, we had minimal issues with Plantation (I think they are called Henley in other states).

        Keep in mind that was in QLD, and 5 years ago. And just to give you an idea on price, from memory we paid about $330k for a large (365 m2) one level house with many extras/upgrades. I remember calculating at the time that a similar house as a 2 level would have cost us about another $100k.

  • +1

    What ever do you, do not go to a private builder. Good luck!

    • So which one you recommended.

      • If I could go back in time I wished we had built with Porter Davis. Expensive but probably less headache than what we are dealing with now. At least they won't blackmail you ( I hope so).

        • +1

          Which u used so i can avoid them. If you dont wish to name them here. Send me on PM please.

        • +1

          I'm sorry to disagree but my current home was built by Porter Davis and I don't recommend them. I can explain why but PM me if you're interested to know why.

        • +1

          @burningrage:
          I am speaking from my experience. I guess this shows how terrible my current builder is.

          After this I will never ever build again. VBA is too weak to do anything to protect the consumers.

        • +1

          @Banana:

          The key is to dare yourself to insist on inserting quality clauses which may offend them but to protect you.

          An example is non-completion penalty clause. Do not let them put too many qualifying clauses which effectively nullified the penalty clause.

          The other example is to try to insist paint inconsistencies must be visible at all angle and at all distance, not the 5 metres mandated by VBA.

          The one that I successfully avoid was variable site cost instead of fixed cost, which they kept insisting on knowing that they have put up lots of buffer (or wastage provision) so they won't lose out.

        • @burningrage:
          My builder has straight us told us he won't honour what's written down in our contract and there is nothing we can do about this.

          I honestly don't think any clause would have helped in our situation. With that being said it was kind of a huge oversight to not get a lawyer involved at the early stages.

        • @Banana:

          How does that work? Contract is a legally binding document…

        • @burningrage:
          He acts like he is above the laws. Didn't want to do anything initially as he had threatened/blackmailed us however we are starting to fight back. But with the laws we have in Vic home owners are never on the winning sidde…

        • @Banana:

          That's a shame. I am sorry to hear that.

          With my home, I always see the defects everyday. I am planning to perhaps rent this one out and get another one but this time with major builder.

        • @burningrage: With Major Builder you paying the premium because of their reputation but what is the guarantee that they won't fk up. I have heard the stories with major builder as well.

        • @ozyboy:

          Major builders don't guarantee f**kups but they are more sensitive to complaints as they are big enough to matter the authorities.

          Wasn't Metricon taken to court before?

          So I am finding with major builders, they do try to keep their reputation. But with my builder, my regret was perhaps not to post pics or videos on social media to show the world how much of f**kups they were.

  • +2

    Hello Ozyboy

    Everyone's expectations will differ, hence the end price can differ by as much as $100K.

    From experience, you will end up paying around $400K (Complete Build) + $25K Site Cost (On Average). This will get you a decent home with decent spec finish.

    For $400K-$500K, you will have a nicer and higher spec finish, like engineered timber floors, nicer stone bench tops, perhaps a better looking facade and upgraded kitchen appliances. The list of upgrades are endless and can cost a pretty penny if you are not careful.

    Do not overcapitalize, and decide on the "must haves" vs "nice to have" and you should be alright. Remember, most developers will never commit to SITE COST till much later in the quotation/tendering process…so whatever you decide to do, ALWAYS keep around $20-30K backup for your site cost. Trust me, it will come and it will be expensive and a shock. Builders who quote you under $20K for site cost are not being entirely upfront, unless your particular block of land is ideally flat, founded on rock or clay and minimal excavation or fill required.

    Getadeal's list is a good place to start and is where I would go looking first. I believe it will be sufficient for what you need.

    Finally, ALL builders have good and bad days. There is no builder with perfect record. Just make sure you cross all the T's and dot all the I's before you sign.

    Hope that helps you.
    Good Luck!

    • Great Advise mate. sure will consider this.

  • +2

    If you can afford it, go double brick or concrete house.

    • What are the benefits.. ? how much extra would it cost ?

      • +2

        Double brick and Concrete house are thing of the past. No builder will help you with this. don't waste your time.

        • So do you think .. we should with HEBEL or Brick with render.

        • +3

          "No builder will help you with this"

          Tell that to our house that just completed last month.

          Obviously it costs more, but theyre more than happy to do it.

  • +2

    I truly believe the days of double brick is all but gone. Today's developers will use either HEBEL or BRICK with render as the finishing surface to most homes.

    With the advent of Batts Insulation in the External Walls, we do not need double brick in modern homes as was the best practice in days past. Most new homes will be certified 5-6 Stars Energy Rating these days with modern insulated walls, ceilings and roofs.

    I would like to add if you were sensitive to noise pollution from either traffic or neighbors having BBQ's. Consider installing Double Glaze windows to you rooms ($4K+), which helps mitigate the noise levels within sleeping quarters.

    Cheers!

    • +1

      Double Glaze Windows is must as at my current home, i can hear all kind of road noises into our bedroom. It is disturbing

      • +2

        @Ozyboy- Double Glazed windows is a premium upgrade. Commit to your budget not to what you want in the house. I am sure you also want to upgrade following
        Flooring-Solid timber
        Appliances - something better than technika (Builder standard and too common)
        Blinds-Timber or plantation shutters
        upgraded canopy in kitchen which is quieter and more effective
        upgraded doors- you wont like the standard builder doors
        upgraded bathroom fixtures- standard are too boring
        ceiling upgrades
        and list keeps going…

        • Yes… i would love to… then the budget will blow out of the proportion… That's why i am here to find out what i can expect in standard pricing vs upgraded pricing.

      • +1

        Agree. Go the double glazed windows. Cost about 30% more than single but thermal and acoustic wise it's better. You can upgrade other things like carpet, appliances etc later if need be as they are simple to remove. Retrofitting double glazed windows is much more expensive.

        Also, I would go hebel panel wall for cladding and hebel floor for your upstairs. I hate the squeaky floorboards in my house.

      • +1

        Don't opt for double glazing if you think it'll be required for every rating. As if u ask them for it it would be more than $5k/6k.
        If you go for preliminary contract they would add it there for around $3k and if u go for straight contract they would add the same item for less than $1.5k or so.

        • What does mean preliminary contract vs straight contract ? how can we save money ?

        • @ozyboy: let me correct myself first. I was meant to say energy rating not every rating. If u think your sales assistant have done a good job and if you're happy with ur plans then u can avoid going for prelim contract. This will not only save u money but time as well. I have deposited more than 270 days ago to metricon. I'm yet to have my land titled that means I will need to pay metricon $1200 every month until the land title. This is for the base price extension. But when I deposited I saved a lot by depositing then as the double story prices went up $5k plus all the other things went higher in price as wel. So idm paying 1200 or 2400 as it'll title very shortly.
          But keep in mind if u alter anything it'll cost u extra. Even if it'll take less material. They rip people off. All of em.

  • +1

    You have still got plenty of time. Don't pay deposit too early otherwise you will end up paying $1200 for base price extension after 270 days. Friend is building with metricon. They've got a deal $249000 for 42sq house Glendale range and his construction will finish at around $360 with fair few upgrades. I'm building with them too but 30sq. Try to stay under $10000 per sq if you chose reputed builders but some are more expensive than this eg. Boutique. Since you're building a massive house sticking between $8k/9k per sq would be ideal. If you go for local builder, make sure you ask questions about post construction issues and how they give you warranty and stuff. Personally I'd go on productreview.com.au to get some idea before going to visit display houses. Then shortlist few options then check their deals and displays. Keep an eye on the structure warranty they give as well. Eg Simmonds 7 years. Metricon 25 years. Just for the piece of mind.

    • +1

      Around my area, Metricon houses take 3 times longer to build than other builders. Consistently. It makes me think they sign up more orders than they have builders.

      • I heard other way.. They build very quick as they don't do much customization and they are very expensive even with standard structure pricing.

        • It's possible. The houses around my location are in SE Sydney, so it's likely they don't share the same pool of builders.

        • @airzone: they build it pretty quick in new estate so they can get more contracts. Simmonds built a single story in truganina in less than 5 months.

        • A bit of a necro post, however we have one metricon build left on the street. They have been building the driveway for about 4 weeks - as in 4 weeks ago the excavator dug up the area. It took about 3 weeks for the form-work to go in, as in a couple of hours a day, for a few days each week. In the last week, someone had installed 2 sheets of re-bar mesh. The rest is still on the nature strip.

          In that time, the house next to it has gone from a bare slab to having it's 2 story frame erected, and all the brickwork done.

          I realise that some things take time. Like it takes 4 or so weeks to fully cure a slab before erecting a frame. But a month so far to do the driveway? Compared to another house on the same street with a different builder. Digger one day, formwork the next, rebar the day after, and concrete the day after that.

          Since I moved into that location, there have been 3 or 4 metricon houses and it's unbelievable how slow they are.

  • +1

    One of my friend recently built a double story home with Henley homes and happy with them except the slow process.They have lot of upgraded inclusions with the fixed price.They got double glazed windows also as the part of promotion without additional cost.Carlisle homes also have good inclusions with the starting price.Better to approach all reputed builders and choose the best.visit "productreview.com.au"website and select builders.you can read lot of reviews of various builders there

    • How much was the expense and how big was the house ?

  • +1

    My stepdad works for a concrete supplier around south east and gippsland area and recommended http://www.roseleighhomes.com.au/ as a really reputable builder in the area.

    • Thanks i will have a look if i need to.

  • +1

    Got mine done by Henley for $375,000 all. Very happy

    • How many Square.. Double Story ?

      • 42sq
        Double storey
        4BR
        Two Ensuites
        Rumpus/Theatre
        Double Garage
        3 Lounge (2 downstairs, 1 upstairs)
        4 toilets(2 ensuite, 1 communal upstairs and 1 Downstairs)

        • I am sure Flooring/Stair Glass/Blinds/Driveway/Landscaping is included in this price ? if not then it might have cost them more thank $400k

        • @ozyboy: blinds were not included, neither was landscaping and Cooling.

          Costs about another $20,000

        • @curryblender: I checked on their Website. Few Standards are around $310K for 42 sq and $340K for 48 sql then on top of it lot of exclusions and few inclusions. Would cost around $400k with all inclusions and upgrades.

        • @ozyboy: yes
          We did add a lot of upgrades, I even got put a gas pipe and duct in the garage for future use, as im planning to put a small kitchen in there as well.

          Downlights throughout the house, sliding doors for toilets and Bathrooms. Extra long kitchen island table etc.

        • @curryblender: Where about you build ? Which package did you use so i can check and ask for some upgrades on that.

        • @ozyboy: sorry for late reply, Marked all read by mistake.

          In Manor Lakes
          I got Emperor series Belle q1
          Base cost is around $350k and then you do ad ons.

          Cheers

        • @curryblender: belle Q1SQUARES 48.59 LOT WIDTH 16M+
          you pay $338,900*

          What upgrades did you ask and what was not included ?

        • @ozyboy: we had a small kitchen in the garage.

          A second ensuite.

          Bigger Island granite table

          Toilet in Garage

          Fromt yard and bacyard landscaping

          Downlights throughout the house

          Extra points for chandeliers

          Downlights in alfresco

          Extra gas and powerpoints in alfredco for Bbq

        • @curryblender: what flooring did you use ? how much you paid for drive way ?

        • @ozyboy:
          We got Porcelain tiles
          Drive way was around $4,000 from top of my head

  • How does this square sizing work? Whats it mean?

    • +2

      A square is an older unit of measure - a 10 foot by 10 foot square. It's very roughly near 10 square metres (9.3 or thereabouts).

      • Thanks!

  • +1

    i had porterdavis build my brand new house. they used indian immigrants to do the painting….and it was a dodgy job..i had to employ another painter to paint all the walls…at 3000 dollars extra. the plumbing was done by someone really dodgy contractor as the house got flooded by burst pipes less than 1 week the house was handed over to me. after 1 week of complains, they sent two high schools kids "plumbers" to fix the problem.
    the tiles on the floor are not really straight and the front door does not lock properly.
    they just simply refuse to acknowledge and fix the problems.
    avoid them at all cost unless you have plenty of spare money to take them to courts

    • Can't comment on about any immigrant but i am pretty sure Porter Davis must have their own regularity and Audit for their builders as well. It is about their reputation.

  • +1

    Not sure about double storey but for single storey we currently pay ~$900 per square metre (or ~$8,600 per square) for a standard but good quality house. This is just the base price and doesn't include the ~$40k for extras like carpets, tiles (except wet areas), driveway and paths, light fittings, blinds, media (projector setup, etc), fences, retaining walls, landscaping, and garden shed.

    We use a reputable builder (not a big chain) who offer good quality, value and support.

    • One of my fried just built. He was saying around $9k to $10K for per Square.

    • Can you please pm me the builder name and the area/estate where you building? Thanks.

      • PM sent

    • Hi still, would you mind PMing me the build too? I've been looking at Clarendon and Mertricon and would be interested in hearing about smaller builders. Our neighbour used Betterbuilt for a custom build not too long ago but they stopped doing custom designs.

      Thanks.

  • +1

    Whichever builder you choose, also engage an independent building inspector to inspect/sign off at every stage; was about 2K a couple of years ago but worth every cent. Budget for 12K/Sq as a rule of thumb…

    • +1

      Inspectors don't do anything. They have a tie up with the builders and won't tell u shit.

      • I heard the same..few get commissions as well from builders.

  • Hi just wanted to know is it true Eden Brae use independent site inspectors for each section of the build and would this be adequate as to getting your own to come in at your own cost? Also does bank send inspectors before each progressive payment is made cheers for help guys.

    • +1

      No idea about bank but ppl are recommending to have private site inspector but its hard to find one as most of them not all are associate with some builders.

      • Thanks for that, just wife a bit worried as 2 days into laying slab builder drove a bobcat onto slab and drove over two plumbing pipes or drainage pipes braking them or crushing them over completely while filling in soil between two lots. Im sure they can fit adaptors or glue pieces to correct issue but its not the same as having the brand new pipe. I hear of too many horror stories of damp or leaking kitchens , toilets, bathrooms etc and wonder if this is the cause of it.

  • Hi
    We are looking to build a double storey as well. In the west (point cook).
    Anyone completed a build recently (double storey) and it cost around 9k/sq completed (inc flooring, driveway and landscaping)?
    We are talking to henley at the moment.

    • Same boat as yours.. in SE Melbourne. As per everyone's advice . It seems 9-10K/sq for standard not including flooring/driveway/landscaping.
      40 sq will cost around 350K + 40k for all those extra's and +20K for site costing. Total $410k to $420K with upgrade options for 40 - 42 Sq

  • Are you considering henley?

    • -1

      I checked on their website. Looks good and reasonable but again nothing going to cost us less than $400K and now question is if we can get upgraded within $370K or $400k. matter of saving those 30-35K. Will be visiting few display homes this weekend for most of the builders and try to talk to them to get better idea.

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