The most important thing is to be clear on what your budget is. And be honest about it! You may have a clear idea or need to talk to a mortgage broker to understand what you can borrow.
There is nothing wrong with having a wish-list or brief that is out of whack with the budget. It is our job to take you through the budget process so you can understand what is affordable.
Often, we refer back to historic projects for examples of budget. Or we build the budget up from scratch based on your site and brief.
It is one of those strange things – whether the budget is $500k or $2m, the brief very seldom fits the budget! So there are always compromises to make on size, specification or style.
You will need to budget for 4 main elements:
- Pre-construction (design, engineering, council consents, surveyor and potentially other consultants)
- Siteworks (demolition, earthworks, retaining walls, drainage, power, wastewater, stormwater, foundations)
- External construction (driveway, decks, hard landscaping – paths etc)
The house design will have a large cost impact – a cube is easier to build then an ‘L’ or ‘H’ shape. If you are unsure what to budget, please get in touch with us. We will then arrange a meeting to guide you through the costs of building and the budgeting process.
You want to start with your total budget. So, say this was $800k inclusive GST, a ‘typical’ project might look something like this:
- Pre-construction: 10% – $80k
- Siteworks: moderately sloping, services provided at boundary, urban site: 10% – $80k
- External: this you have more control over, but 5% to %10 is typical ($40k – $80k)
This leaves you with around $580k for the house component. With a square metre rate of between $3000 and $5000 you would be looking at 120sqm to 190sqm of house.
It is a large difference, but much depends on the style of design, specifications and ease of working on site. This is why we suggest getting in touch with Box™ and having a 1-1 workshop to go through brief, site and budget to understand what is affordable.