ᐅ Building a house is more complicated than expected – prices keep changing constantly!
Created on: 15 Apr 2022 18:05
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HolzWurm1988H
HolzWurm198815 Apr 2022 18:05Greetings everyone!
The house construction is actually supposed to start soon. After finding a plot of land here in our rural area, I inquired locally about all the costs related to the land (surveying, water/electricity/telephone connections, notary fees, etc.). I also have the exact notary costs, including the mortgage registration and so on. Some of the costs were significantly higher than I expected, while others were much lower. Overall, the total amount balances out in the end.
Since I basically want to build a log house, I have realized that the contractors are not flexible enough in their scheduling. Of course, I’m glad that all the contractors are busy. However, I also need to ensure that the respective companies can start on my construction site on time. It’s no good if weeks pass between the different phases. Unfortunately, with a log house, I have to manage all the contractors myself. There aren’t many, but they all need to be available at the required time. For this reason, I started looking into prefab houses. Specifically, I’m considering the following models:
Town & Country "Raumwunder 100" and Heinz von Heiden "Bungalow, der Unverbesserliche B760"
When searching online about both companies, you find a mix of positive and negative reviews. I personally believe that most people tend to share negative experiences on the internet, so I don’t include that heavily in my assessment! For both providers, I am increasingly confronted with new prices every few days, which makes me feel like they are trying to pressure me as a customer. So far, I have not signed any purchase contract. However, both houses are viable options for me.
So far, my costs are as follows:
Plot (750 sqm (8,073 sq ft)): 24,500€
Notary fees (including mortgage registration, etc.): 1,945€
Connections/lines/surveying: 6,300€
The Raumwunder 100 costs 210,000€ turnkey, including electric shutters, heat pump but NO underfloor heating.
The Heinz von Heiden bungalow costs 205,000€, including electric shutters, heat pump, and underfloor heating.
Ideally, I would have to commit immediately to Heinz von Heiden. However, my final bank meeting is not until the week after next, and I don’t want to sign any contract before that. I just don’t know if I would still have the option to back out if something goes wrong with the bank. Although, the bank told me in advance that I should have no problem obtaining the credit amount I need. In that case, the price would at least be “safe” for now...
What bothers me most, however, is that the Heinz von Heiden salesperson told me that if I signed the contract this May, I might not be able to build the house until October to December of next year. Building earlier is not possible due to material shortages and the high demand from many people currently wanting to build a house.
As an alternative, I have considered buying an older house again. However, I would have to completely renovate it. Still, I would never reach the current energy standards and would be left with the old water pipes in the house.
What would you do? Do you have any advice for my situation? Are there any alternatives?
I often read that despite a nearly agreed price, sudden price increases occur. Then there’s the fact that materials for continued construction are often missing. This makes me wonder whether it makes sense to take an older house and renovate it step by step, working with the materials currently available.
The house construction is actually supposed to start soon. After finding a plot of land here in our rural area, I inquired locally about all the costs related to the land (surveying, water/electricity/telephone connections, notary fees, etc.). I also have the exact notary costs, including the mortgage registration and so on. Some of the costs were significantly higher than I expected, while others were much lower. Overall, the total amount balances out in the end.
Since I basically want to build a log house, I have realized that the contractors are not flexible enough in their scheduling. Of course, I’m glad that all the contractors are busy. However, I also need to ensure that the respective companies can start on my construction site on time. It’s no good if weeks pass between the different phases. Unfortunately, with a log house, I have to manage all the contractors myself. There aren’t many, but they all need to be available at the required time. For this reason, I started looking into prefab houses. Specifically, I’m considering the following models:
Town & Country "Raumwunder 100" and Heinz von Heiden "Bungalow, der Unverbesserliche B760"
When searching online about both companies, you find a mix of positive and negative reviews. I personally believe that most people tend to share negative experiences on the internet, so I don’t include that heavily in my assessment! For both providers, I am increasingly confronted with new prices every few days, which makes me feel like they are trying to pressure me as a customer. So far, I have not signed any purchase contract. However, both houses are viable options for me.
So far, my costs are as follows:
Plot (750 sqm (8,073 sq ft)): 24,500€
Notary fees (including mortgage registration, etc.): 1,945€
Connections/lines/surveying: 6,300€
The Raumwunder 100 costs 210,000€ turnkey, including electric shutters, heat pump but NO underfloor heating.
The Heinz von Heiden bungalow costs 205,000€, including electric shutters, heat pump, and underfloor heating.
Ideally, I would have to commit immediately to Heinz von Heiden. However, my final bank meeting is not until the week after next, and I don’t want to sign any contract before that. I just don’t know if I would still have the option to back out if something goes wrong with the bank. Although, the bank told me in advance that I should have no problem obtaining the credit amount I need. In that case, the price would at least be “safe” for now...
What bothers me most, however, is that the Heinz von Heiden salesperson told me that if I signed the contract this May, I might not be able to build the house until October to December of next year. Building earlier is not possible due to material shortages and the high demand from many people currently wanting to build a house.
As an alternative, I have considered buying an older house again. However, I would have to completely renovate it. Still, I would never reach the current energy standards and would be left with the old water pipes in the house.
What would you do? Do you have any advice for my situation? Are there any alternatives?
I often read that despite a nearly agreed price, sudden price increases occur. Then there’s the fact that materials for continued construction are often missing. This makes me wonder whether it makes sense to take an older house and renovate it step by step, working with the materials currently available.
A
Allthewayup15 Apr 2022 18:33Have you taken a close look at the scope of work descriptions provided by the different builders? Do you know how the revenue models of these prefabricated house manufacturers work? The two prices mentioned are by no means likely to represent the actual total costs. Based on the information available, my only advice is to take your time, gather detailed information, and under no circumstances sign anything in haste. A reputable company will not pressure you with time constraints or pricing arguments just to get a signature – this is the opinion I hold even in the current situation.
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HolzWurm198815 Apr 2022 18:43Allthewayup schrieb:
Have you looked into the detailed scope of work provided by each supplier? Do you understand the revenue model of these prefab house manufacturers? The two prices mentioned are by far not representative of the total actual costs. Based on the information given, my advice is to take your time, gather detailed information, and absolutely avoid signing anything hastily. A reputable company also won’t pressure you with time or price arguments just to get a signature – this is also my opinion in the current situation. I have the written offers from both manufacturers here. The only things I still need to do are laying tiles, putting up wallpaper, and buying a kitchen.
The respective offers specify that the house will be built according to the scope of work description.
- Soil survey
- Concrete slab foundation
- Shell construction including insulation, plaster, etc.
- Windows and doors
- Roof covering including insulation
- Heating system
- Blower door test
- Interior doors
- Interior finishing
- Electrical installation and utility connections
I haven’t noticed anything missing. Also, I only have to pay after I receive the house keys and the house is completely built. This is explicitly stated again in the offer.
HolzWurm1988 schrieb:
I have the written offer from both manufacturers here. The only things I still need to do are laying tiles, putting up wallpaper, and buying a kitchen.
The respective offers state that the house will be built according to the construction specification.
- Soil survey
- Foundation slab
- Shell construction including insulation, plaster, etc.
- Windows and doors
- Roof covering including insulation
- Heating system
- Blower door test
- Interior doors
- Interior finishing
- Electrical installations and utility connections
I haven’t noticed anything that could be missing. Also, I only have to pay after I receive the house keys and the house is fully completed. This is explicitly stated in the offer as well. Congratulations, with this you have confirmed that you have no understanding of construction specifications...
You should read through the forum here. Keywords to look for are “builder’s scope” or “client’s responsibility.”
The entire business model of these two companies is based on getting as many expensive additional orders later on as possible because the builders don’t know what is missing.
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HolzWurm198815 Apr 2022 18:53SoL schrieb:
Congratulations, with that you’ve confirmed that you have no understanding of construction specifications...
Take some time to read through this forum. Keywords to look for are "provided by builder" or "provided by owner."
The entire business model of these two companies is based on getting as many costly additional orders later as possible because the homeowners don’t realize what is missing. I will take some time to read through the forum on this. It seems there really are some "hidden" costs involved.
Addendum: It is also important to consider the aspects that are not included in the construction specifications.
Therefore, take a look at two sets of construction specifications from more expensive providers and study them. This often reveals the differences in what is included in the turnkey construction.
Therefore, take a look at two sets of construction specifications from more expensive providers and study them. This often reveals the differences in what is included in the turnkey construction.