Hello!
We are currently very interested in a terraced house being built by a developer. Unfortunately, our main contact person is on vacation at the moment, and I don’t want to bother the backup contact too much (even though I already have a few times, oops). So for some more general questions, I thought I’d ask the forum 🙂
We currently have, among other things, a construction specification, but no contract draft yet. We are trying to review ourselves where there might potentially be additional costs beyond the fixed price (“custom requests”), but in one or two areas we are still struggling to estimate this.
Generally: There is a lot of discussion here in the forum about incidental building costs and so on. But with a developer, they are the client, not us. Am I correct to assume that, because of this, we don’t really need to consider any “owner-supplied” costs? The documents do include a few general details about infrastructure (for example, electricity, water, telecommunications are included). When I think of things like construction site power, there’s nothing mentioned in the documents I have so far, but basically I assume that is the developer’s responsibility since they are the client?
There are quite often terms in the construction specification like “according to structural engineering” or similar (excerpt: “The exterior walls above ground level will be built from calcium silicate bricks, or reinforced concrete if structurally required. All other load-bearing walls according to structural engineering.”) or “according to the architect’s specifications” (“In some areas, brick slips will be used, with color and design as specified by the architect.”). We understand that with a terraced house via a developer there isn’t much choice here, and that is perfectly fine with us. But if I imagine we are in the construction phase and I send an inspector with the construction specification, such wording seems rather vague to easily check anything. (I mean, they can still say if something is done completely poorly in execution.) Are such formulations normal, or should these be specified more clearly?
What is the usual process regarding “custom requests”? I read that these can already be part of the notarized contract. What is typically decided before signing the contract, and what comes afterward? Can I expect to select tiles and decide on power outlets shortly before contract signing, or is it initially more fundamental things (like relocating a wall or similar)? We will certainly ask the developer about this again, but it doesn’t hurt to know how it usually works 😉 I imagine the more I define beforehand, the more secure I am about the price. Or is that assumption wrong?
Speaking of price: We are currently contacting banks, but are unsure how to handle the topic of “custom requests.” Our initial impression is that we are quite satisfied with the standard in the construction specification we have. There are one or two things we are a bit uncertain about (flooring is included, depending on the area tiles or parquet up to 30cm (12 inches) per square meter ... is that sufficient, or should we allow a buffer?), and beyond that a few things we might want to add (maybe 2-3 more LAN connections for access points, possibly empty conduits for photovoltaics, possibly empty conduits in the garage for a charging station or, depending on the price, have the charging station installed directly). We would be happy without them, but it just seems sensible to have these included now. Our original idea was to pay for these out of pocket, separate from the financing, but if they end up in the notarized contract and come with an additional cost, and we haven’t told the bank about it, the price would then be higher than what we communicated to the bank. Does the bank not care because these are our own funds, or could it even be unwise not to inform the bank, as it might improve the loan-to-value ratio? (The house might be worth more without the bank needing to provide additional funds.) I mean, these will probably just be minor things that won’t make much difference, but I am still a bit confused about how this is typically handled.
We are currently very interested in a terraced house being built by a developer. Unfortunately, our main contact person is on vacation at the moment, and I don’t want to bother the backup contact too much (even though I already have a few times, oops). So for some more general questions, I thought I’d ask the forum 🙂
We currently have, among other things, a construction specification, but no contract draft yet. We are trying to review ourselves where there might potentially be additional costs beyond the fixed price (“custom requests”), but in one or two areas we are still struggling to estimate this.
Generally: There is a lot of discussion here in the forum about incidental building costs and so on. But with a developer, they are the client, not us. Am I correct to assume that, because of this, we don’t really need to consider any “owner-supplied” costs? The documents do include a few general details about infrastructure (for example, electricity, water, telecommunications are included). When I think of things like construction site power, there’s nothing mentioned in the documents I have so far, but basically I assume that is the developer’s responsibility since they are the client?
There are quite often terms in the construction specification like “according to structural engineering” or similar (excerpt: “The exterior walls above ground level will be built from calcium silicate bricks, or reinforced concrete if structurally required. All other load-bearing walls according to structural engineering.”) or “according to the architect’s specifications” (“In some areas, brick slips will be used, with color and design as specified by the architect.”). We understand that with a terraced house via a developer there isn’t much choice here, and that is perfectly fine with us. But if I imagine we are in the construction phase and I send an inspector with the construction specification, such wording seems rather vague to easily check anything. (I mean, they can still say if something is done completely poorly in execution.) Are such formulations normal, or should these be specified more clearly?
What is the usual process regarding “custom requests”? I read that these can already be part of the notarized contract. What is typically decided before signing the contract, and what comes afterward? Can I expect to select tiles and decide on power outlets shortly before contract signing, or is it initially more fundamental things (like relocating a wall or similar)? We will certainly ask the developer about this again, but it doesn’t hurt to know how it usually works 😉 I imagine the more I define beforehand, the more secure I am about the price. Or is that assumption wrong?
Speaking of price: We are currently contacting banks, but are unsure how to handle the topic of “custom requests.” Our initial impression is that we are quite satisfied with the standard in the construction specification we have. There are one or two things we are a bit uncertain about (flooring is included, depending on the area tiles or parquet up to 30cm (12 inches) per square meter ... is that sufficient, or should we allow a buffer?), and beyond that a few things we might want to add (maybe 2-3 more LAN connections for access points, possibly empty conduits for photovoltaics, possibly empty conduits in the garage for a charging station or, depending on the price, have the charging station installed directly). We would be happy without them, but it just seems sensible to have these included now. Our original idea was to pay for these out of pocket, separate from the financing, but if they end up in the notarized contract and come with an additional cost, and we haven’t told the bank about it, the price would then be higher than what we communicated to the bank. Does the bank not care because these are our own funds, or could it even be unwise not to inform the bank, as it might improve the loan-to-value ratio? (The house might be worth more without the bank needing to provide additional funds.) I mean, these will probably just be minor things that won’t make much difference, but I am still a bit confused about how this is typically handled.
ypg schrieb:
Exactly. The builder/developer constructs the house, you are the buyers of a part of the house on the land, which is why the additional features are included.Thanks, so I understood it correctly. It’s just that the terminology often gets mixed up among non-professionals (as you can see here in the thread :p), so I was unsure. My main concern was that when I read about other projects where people say, "Yes, but utility connections, construction power, and so on weren’t included in the price, and then extra costs piled up," that those are things I don’t really need to add to our extra cost list myself 😉 I do have a few items on my “don’t forget” list, but those are mostly kitchen and outdoor areas (which are simpler and more manageable for a townhouse, especially since the garage and driveway are already covered).ypg schrieb:
Are you sure all the tiles are included? Or just in the wet rooms?The ground floor is fully tiled. My husband doesn’t like it, but I quite like it 😀 We’ll have to decide what we want and also check the basic standard offering. The builder mentioned at the initial meeting that this can be changed in the special requests section (nice name – only then did I realize that this is officially called “special requests”), but at that point (our first introduction) we didn’t ask much about extra costs. The next meeting has been postponed until after our main contact person returns from vacation. But now we’re impatient, oops.ypg schrieb:
Then why don’t you just show it.I’m still hesitant to publish documents here that are not publicly available elsewhere on the company’s site. Especially since you can’t easily delete posts on this forum later. (And yes, I know it’s frustrating for readers or more engaged forum users when the person asking the question shares little information 😉). If anyone wants them, I’m happy to send them by email. Some general conditions have been included in the sales brochure on Immoscout. Our property itself isn’t listed there, but 133834876 from the same project has a floor plan that is almost identical, although it’s a semi-detached house (the brochure covers the whole project). Our desired property, however, is a townhouse (building phase 2) and is priced lower at 515k (and is about 30cm longer or something like that, resulting in 143sqm (1540 sq ft) of living space).ypg schrieb:
How does this offer compare in your region?Price-wise compared to the region? Hmm, good question. My first impression was: expensive for Castrop-Rauxel, affordable for Dortmund (you can walk to the city border and be at Dortmund main station in 20 minutes by train, which stops right outside... the service is only once an hour, but still 😉. Car access is easy everywhere here anyway....) If you compare with [B]131947303 also in Castrop-Rauxel (similar size, also with a basement, including a prefabricated garage, 55k cheaper...), hm... “ours” has more features (painting and flooring work, underfloor heating, air-to-water heat pump instead of an unreliable district heating dependency, and for us personally it’s also better for the commute, although whether living that close to the train line is a preference is up to individual taste 🙂) Is that really worth a 55k premium? The heating system alone probably accounts for a lot, but hard to say. We don’t feel we will have to upgrade substantially. And if all the upgrades get too expensive, we could stay with the standard without feeling like we’re making huge compromises. So far, it’s giving us a “this fits quite well” feeling.[/B]ypg schrieb:
What kind of provider is it? You can also ask here in the moderated forum.My latest post in the "Experiences with Home Builders" forum is exactly about that 😉 (although I think the moderators added “positive” to the title, haha). Unfortunately, no answers yet. The company is Tecklenburg, and from what I’ve seen their projects aren’t exactly small (at least that’s my impression), but they focus less on detached single-family houses, so maybe that’s why they’re not well represented here yet? (a lot of multi-family buildings but also some townhouse projects and even some commercial and so on).ypg schrieb:
There are good and bad builders: the bad ones don’t even allow the buyer, let alone an inspector appointed by them, onto the property. As a buyer, you depend on the goodwill of the builder. You don’t really have any rights.Our sales rep said proactively, no problem coming to the site, just please give advance notice (for safety reasons and so on). I will report back on how it goes if everything works out as we hope 😉 Right now it still feels a bit surreal.A
Axolotl20227 Jul 2022 08:12mayglow schrieb:
Company TecklenburgVery reputable. Excellent creditworthiness. Established on the market for a long time. Owner-managed. Can be chosen as a general contractor without hesitation.mayglow schrieb:
The ground floor is completely tiled. My husband doesn’t like it, but I think it’s not bad at all 😀 And the rest is parquet. You will have to take care of the basement yourselves.
There are also “warm” tiles; they don’t have to be cold white 😉
mayglow schrieb:
I’m still struggling to publish documents here, You could redact them 😉
But it reads logically. I would plan quite a bit for the electrical work, maybe better sanitary installations as well, for example a 180cm/80cm (71in/31in) bathtub or with platforms, possibly something higher quality for the tiling. You might also want to choose better paving stones. I would change some minor details in the floor plan, but that can wait 🙂
The example on IS24 clearly shows what is meant by “color scheme, architecture.” You will have to conform to the uniform look if, for example, every second house is painted gray or something like that. There are no custom options for that. But I think that is very manageable.
Axolotl2022 schrieb:
Very reputable. Excellent credit rating. Long-established in the market. Owner-managed. You can take them as the general contractor without worry. This statement is also positively true.
The downside is, of course, the land transfer tax, but in return, you have less work with the interior fittings. Think positive 🙂
criminal at freenet etc… 😎
B
Bertram1007 Jul 2022 10:12I would strongly reconsider using tiles in living areas. I live in a newly developed neighborhood and have looked at around 40 different furnished houses here. Additionally, my job involves house visits, so I have been inside many different homes. I have rarely come across tiles in living spaces. At best, they went unnoticed; at worst, they made the living room feel like an average furniture showroom. I didn’t find it attractive.
Linoleum, cork, or wood give me a better feeling because the atmosphere in the room feels more pleasant. Of course, that’s a personal preference.
Linoleum, cork, or wood give me a better feeling because the atmosphere in the room feels more pleasant. Of course, that’s a personal preference.
Building with a developer is, in my opinion, the easiest option for those involved.
Our first home was a townhouse from a developer, and the price was fixed. Additional custom requests came on top of that, with prices provided in advance on a special price list. We were also able to get price quotes from the electrician beforehand, which allowed us to calculate what was generally still possible within the available budget. At the tile showroom, there were countless tiles that fit within the developer’s budget.
Our own contributions were painting, flooring, and landscaping. Parts of these could also be commissioned through the developer.
During construction, our main tasks were selecting materials and occasionally visiting the site to check the progress and look forward to the finished house.
Now that we’ve built, it’s definitely a whole different experience 😀
Our first home was a townhouse from a developer, and the price was fixed. Additional custom requests came on top of that, with prices provided in advance on a special price list. We were also able to get price quotes from the electrician beforehand, which allowed us to calculate what was generally still possible within the available budget. At the tile showroom, there were countless tiles that fit within the developer’s budget.
Our own contributions were painting, flooring, and landscaping. Parts of these could also be commissioned through the developer.
During construction, our main tasks were selecting materials and occasionally visiting the site to check the progress and look forward to the finished house.
Now that we’ve built, it’s definitely a whole different experience 😀
mayglow schrieb:
We are currently trying to review where there might be potential additional costs beyond the fixed price (“special requests”), but we’re still having trouble estimating that in one or two areas.
In general: There is a lot of discussion in this forum about ancillary building costs, etc. However, with a developer acting as the builder, they are the client, not me. Am I correct in assuming that I don’t really need to worry about “builder-side” costs? Regarding site development, there are some general details included (for example, electricity, water, and telecommunications are included). When I think of things like construction site electricity, there is nothing mentioned in the documents I have seen so far, but basically, am I right to assume that this is the developer’s responsibility since they are the client? First of all: don’t let yourself be unsettled. In this case, your contractual partner is acting as the developer. For those confused: elsewhere, I have explained in “The Developer: often sought and often confused” when you are dealing with a general contractor and when with a developer. I also have an external reading recommendation for you regarding special requests: “Developer Offers: Caution with Special Requests,” which addresses the issues with third-party added upgrades and explains why you should largely forget about major changes concerning floor coverings.
Regarding your question about the mentioned ancillary costs: they do indeed concern you in your role as the buyer. This means you need to check your notarized purchase contract for the entire property to determine which payments to infrastructure providers and utilities have already been settled or included, and which you will have to pay separately and may face in the (near) future. As with any project—whether with a developer, a general contractor, or full self-management—you should keep an eye on the potentially significant time bomb: whether the final construction of the road has already been invoiced.
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