Understanding your quote
Know what's in your quote before you sign.
A new home quote has several parts, and the base price is only one of them. Here's what each part means and what to ask, so there are fewer surprises later.
The parts of a quote
Base price
The price of the home design with the builder's standard inclusions. It usually doesn't cover the work your particular block needs.
Site costs
The slab design for your soil, the fall of the land, retaining walls, rock removal and connecting services. A soil test and survey of your lot set these.
Inclusions and upgrades
What's in each room, from appliances to flooring. Upgrades you choose are added to the price. Ask for the full inclusions list, not just a summary.
Estate requirements
Many estates require a certain facade, fencing, landscaping or materials. If those aren't in the quote, they're an extra cost.
Provisional sums and prime cost items
Allowances for work or items not yet fully priced. The final cost can be higher or lower than the allowance.
Variations
Changes after you sign the building contract. They usually cost more than the same change made before signing, and can add time.
Check whether these are included
These are often priced separately. Ask, so you can budget for anything that isn't in your quote:
- Landscaping, front and back
- Fencing and gates
- Driveway and paths
- Window furnishings, like blinds and curtains
- Floor coverings in every room
- Letterbox, clothesline and outdoor taps
- Connecting power, gas, water, internet and recycled water
Questions to ask before you sign
- Are the site costs based on my lot?Ask whether they come from a soil test and survey of your actual block, or are an estimate.
- What are the provisional sums?Ask which items are allowances and how the final cost is worked out.
- What's included in each room?Get the full inclusions list, with brands or standards where they matter to you.
- Does it meet the estate guidelines?Ask whether the facade, fencing and landscaping in the quote are what the estate requires.
- How are the stage payments set out?Your building contract lists each stage and what it costs. Check it lines up with your construction loan.
- What happens if something changes?Ask how variations are priced and approved, and how they affect the build time.
Your rights in Victoria
Domestic building contracts in Victoria must set out the price, the payment stages and the work included. You also get a short cooling-off period after signing. Consumer Affairs Victoria explains your rights before and during a build.
General information only, not legal advice. Your building contract sets out the details for your home. Source: Consumer Affairs Victoria: building and renovating.