ᐅ Architect – Fees – Owner Contribution

Created on: 8 Nov 2018 13:56
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ante8684
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ante8684
8 Nov 2018 13:56
Hello everyone,

We would like to build a house but plan to do the shell construction ourselves. Our budget is around 350,000€ (about 380,000 USD). The architect has made an initial estimate and says we need 550,000€ (about 620,000 USD).

If, through a lot of self-construction work, we manage to build the house for 450,000€ (about 510,000 USD), will the architect’s fee be based on the 550,000€ or the 450,000€?
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Zaba12
8 Nov 2018 14:08
Just search for architect’s fees + own contribution. The first result is an answer from a lawyer.

Own contribution does not reduce the fee. Only a discount due to the reduction of the service phases.

By the way, if the architect is already saying it will cost €550,000 (about $590,000), it’s realistically likely to be even more expensive (from personal experience). If you don’t “want” to afford the €550,000, then building with a general contractor might be the better option.

Do you have any idea how you want to save the hypothetical €100,000 (about $107,000)? What happens if, with a lot of own contribution, the total ends up being €525,000 (about $563,000)?
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ante8684
8 Nov 2018 14:29
My father built a house for my sister about 3-4 years ago since he is a professional in the field. They stayed under 400,000. Our house will be smaller, and I can save on some trades. I went through the house with a father and we came to around 330,000.

What annoys me a bit is that he didn’t really consider our situation and set the prices quite high.

Maybe to increase his fee?
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Zaba12
8 Nov 2018 14:36
ante8684 schrieb:
My father built a house for my sister about 3-4 years ago since he is a professional in the field. They stayed under 400,000. Our house will be smaller, and I can save on some trades. I went through the house with a father and we came up with about 330,000.

What annoys me a bit is that he didn’t really accommodate us and set the prices really high.

Maybe to increase his fee?

But you do realize that prices have increased on average by about 7% per year over the last four years?

My construction manager is also a professional. The last house he managed was two years ago. He was shocked when he saw our quotes.

Your sister’s price/budget is no longer a benchmark right now. Especially if you can only start at the end of next year.

And honestly, no architect would risk a project covering all phases just over a measly 2,000-3,000 euros gross fee difference.
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Zaba12
8 Nov 2018 14:38
Please share some details about your planned house so we can evaluate the 550,000€ estimate.
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caddar
8 Nov 2018 17:52
ante8684 schrieb:
What annoys me a bit is that he didn’t really accommodate us and set the prices very high.

Maybe to increase his fee?

Depending on what kind of architect he is, he might not even consider more affordable options for some details – ours is a bit like that; for him, the market sometimes starts at what others would consider "premium." ;-)