Hello dear home builders,
We are currently gathering quotes for prefab houses and solid (masonry) houses from general contractors. The plot of land is already available.
140 m² (1,507 sq ft) with a basement costs around 340,000 euros.
This is excluding additional construction-related costs, landscaping, carport, and the land.
In our family, a large new house was built with an architect two years ago, where, through a lot of personal effort from the owner in organizing, obtaining multiple quotes, negotiating directly, etc., a great price-performance ratio was achieved.
Our current thought:
What if we also build with this architect and use a so-called "follow-on approach," meaning we ask the same affordable and reliable tradespeople if they would do the same work again with, for example, only a 4% price increase?
Do you think this would be a good idea?
I believe we could benefit from the previous experience, basically just picking up and working through the established process...
It would be easier than starting completely fresh and inexperienced with such a project.
Of course, it would also be possible to put individual trades out to tender anew.
I am thinking that if I (on parental leave) and our fathers (retired) help with organizing, such as handling quotes, paperwork, resolving issues with utility providers, etc., these costs could be saved.
How much does a general contractor typically earn for their "all-inclusive" service? About 20%?
And roughly, what does an architect charge if you provide them with some assistance wherever possible?
Thank you very much for your brief assessment!
We are currently gathering quotes for prefab houses and solid (masonry) houses from general contractors. The plot of land is already available.
140 m² (1,507 sq ft) with a basement costs around 340,000 euros.
This is excluding additional construction-related costs, landscaping, carport, and the land.
In our family, a large new house was built with an architect two years ago, where, through a lot of personal effort from the owner in organizing, obtaining multiple quotes, negotiating directly, etc., a great price-performance ratio was achieved.
Our current thought:
What if we also build with this architect and use a so-called "follow-on approach," meaning we ask the same affordable and reliable tradespeople if they would do the same work again with, for example, only a 4% price increase?
Do you think this would be a good idea?
I believe we could benefit from the previous experience, basically just picking up and working through the established process...
It would be easier than starting completely fresh and inexperienced with such a project.
Of course, it would also be possible to put individual trades out to tender anew.
I am thinking that if I (on parental leave) and our fathers (retired) help with organizing, such as handling quotes, paperwork, resolving issues with utility providers, etc., these costs could be saved.
How much does a general contractor typically earn for their "all-inclusive" service? About 20%?
And roughly, what does an architect charge if you provide them with some assistance wherever possible?
Thank you very much for your brief assessment!
If the builders are good, they are usually fully booked. But just make a non-binding inquiry with one or two of them – maybe it will work out and you can proceed that way. If not, go with a general contractor.
And the margin is certainly not going to be 20%. When searching quickly, it’s more like 5-15%. From that, the commission for the seller still has to be deducted.
And the margin is certainly not going to be 20%. When searching quickly, it’s more like 5-15%. From that, the commission for the seller still has to be deducted.
Hello!
It’s 2017 now and you’ll be building in 2017 / 2018. That’s three years. Forget about a 10% increase and be glad if you get away with less than a 20% increase.
At the moment, contractors are making a fortune of their lives; if they’re not fully booked for months in advance, they must be either poor quality or completely clueless.
By the way 1: 340,000 euros for 140 sqm (1,507 sq ft) is quite expensive.
By the way 2: If you’re thinking about managing some tasks yourself, please make sure to understand the legal differences between developers (you definitely won’t be building with a developer anymore, that’s no longer possible!), general contractors, and main contractors. This is important!
Best regards,
Andreas
Wildrose schrieb:
Are you talking about such a big price increase since 2014/2015? Really crazy...:-(
It’s 2017 now and you’ll be building in 2017 / 2018. That’s three years. Forget about a 10% increase and be glad if you get away with less than a 20% increase.
At the moment, contractors are making a fortune of their lives; if they’re not fully booked for months in advance, they must be either poor quality or completely clueless.
By the way 1: 340,000 euros for 140 sqm (1,507 sq ft) is quite expensive.
By the way 2: If you’re thinking about managing some tasks yourself, please make sure to understand the legal differences between developers (you definitely won’t be building with a developer anymore, that’s no longer possible!), general contractors, and main contractors. This is important!
Best regards,
Andreas
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