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Dec 10, 2016

How to Compare Building Quotes for your Home Renovation

Dec 10, 2016

Have you got plans and are shopping around for a Builder for your Home Improvement project?

Perhaps you are going to get Quotes from multiple Perth Builders to compare? Each Builder provides a different level of detail, and uses a different structure for their Quote.

So how do you compare one Builders Quote with another?

If you simply look at the bottom line and compare the Total Cost, you are about to make a big mistake. By making a comparison on Price alone, you are assuming that each Builder has covered the same scope, does not have Hidden Costs, and will build using the same standard and quality of products.

Where do you start? How do you compare Building Quotes and ensure that you make the best choice? Read on….

Tip 1 – Start by providing all Renovation Builders with the same brief and the same drawings.

To ensure that you can fairly compare quotes from multiple Home Extension and Renovation Builders, make sure you provide each with the same brief, the same plans and specifications. This will even the playing field and make it easier for you to compare.

Compare apples to oranges

Tip 2- Are you comparing Apples with apples?

That is, do the Building Quotes that you are comparing include the same items? Is it clear what is included and what is excluded?


If the total Quote to Build from one Builder is much lower than the other Builders, chances are there are significant items not included. Be careful and ask questions.


Start by asking about landscaping, fences and painting – these are common exclusions.


Tip 3 – Is the Building Quote lacking in detail?

If a Buider’s Quote is lacking in detail, or if doesn’t list everything you have requested then proceed VERY carefully. If an item from your Brief is not specifically listed then chances are it has not been costed into the Quote.


For example: has the new Garage been left off the Quote? This means that a nasty and expensive surprise lurks further down the track.


Tip 4 – What does the Builder charge as an Administrative Fee for Variations?

If this is not specified then you need to ask. This is a significant hidden cost, and most Builders DO charge a fee for EVERY Variation.


This can add up to thousands of dollars across the duration of your project and blow your budget. Amerex does not charge an Admin fee for Variations.


Character Home Addition with New kitchenTip 5 – Building prices can vary due to different types and grades of materials specified.

If a Builder is very cheap, and their Quote to Build seems significantly low, you will need to ask more questions about the materials supplied.


Example 1: Amerex only uses treated timber and includes air-cell insulation as standard in the cavity in double brick walls. This is not standard with all Builders.


Example 2: Does the amount allowed for a new Kitchen seem realistic? This is an area where budget blow-outs and under-quoting are common. Has the Quote allowed for laminate bench-tops or stone? Check the details across all fixtures and finishes and don’t get caught short.


Tip 6 – Check the allowance for Provisional Sum items.

New white kitchen with quality fittings
Has the Builder only allowed for budget-level selections in the Provisional Sums? Amerex allows a Provisional Sum that allows for good quality products (well above budget level) in our Building Quotes.


Quotes with budget-level provisional sums come in cheap but cost you further down the track. We aim to deliver quality, and do not take short-cuts in products, or in our Quotes.


What do we mean by Selections and what is a Provisional Sum? For every item in your project where you can make a Selection e.g. plumbing, appliances, door handles, etc… the Builder will have allowed an amount in your Quote referred to as a Provisional Sum.


Bathroom tiles in a bathroom renovation


If the amount allowed is low, and you want your project to achieve quality results, you will definitely be facing expensive Variations along the way – and a likely Variation Fee per item as a double whammy!
At Amerex, we assume that you want a quality result right from the very start. We allow for quality fixtures and appliances in your Quote to ensure that it is as accurate as possible, and the Quote will match the actual cost to build so that you can manage your budget and avoid cost blow-outs. Learn more about the Amerex Difference here!


Also, don’t forget to detect and avoid hidden costs when comparing the quotes.



We hope that the above has been interesting and helpful.


Do you have Building Plans and would like Amerex to provide you with a Building Quote?

Contact the friendly Amerex team to discuss your Perth Home Improvement project.

If you would like to discuss your Home Extension Plans, please call us on 9227 1822 or contact us via our website contact form below.


If you would like more information about any of our services contact us today

t:(08) 9227 1822   f:(08) 9227 1844   e:info@amerex.com.au

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A member of the Amerex team will arrange a time to discuss your
renovation and additions project and assess what stage you are at in the building process.

PO Box 328, North Perth WA 6906
ABN: 67 009 252 680   Builders Registration: 10250


10 Monger Street, Perth WA 6000
PO Box 328, North Perth WA 6906
T: (08) 9227 1822
F: (08) 9227 1844
E: info@amerex.com.au