Hello, homeowners struggling with inflation! 🙁
I’d like to get your opinion, as I’m not sure if I’m oversimplifying things:
- Our construction (if everything stays as planned) will start in September.
- We are working with a general contractor (GC).
- The fixtures like tiles, flooring, fittings, etc. are included with a budget of amount X, and we will choose the specific products ourselves. If we spend less, great – if we go over, we’ll have to save elsewhere (it’s a local GC, but this approach seems fine and actually preferred by me).
- The financing is already signed, and there is a “large” sum of money set aside that is effectively losing value constantly due to inflation. 🙂
My question regarding the current uncertain inflation situation is:
Would you, once the groundbreaking has happened, purchase and have the tiles, flooring, fittings, etc. delivered and paid for right away, assuming you have space somewhere like in the garage? Or would you rather delay the purchase until just before you actually need the materials, but as late as possible?
My initial thought is: Once the groundbreaking happens, I should order everything that could potentially cause variable costs and store it in the (large) garage... Am I thinking correctly, or is that too simple? 🙂
Thanks so much,
Best regards,
ruediger42
I’d like to get your opinion, as I’m not sure if I’m oversimplifying things:
- Our construction (if everything stays as planned) will start in September.
- We are working with a general contractor (GC).
- The fixtures like tiles, flooring, fittings, etc. are included with a budget of amount X, and we will choose the specific products ourselves. If we spend less, great – if we go over, we’ll have to save elsewhere (it’s a local GC, but this approach seems fine and actually preferred by me).
- The financing is already signed, and there is a “large” sum of money set aside that is effectively losing value constantly due to inflation. 🙂
My question regarding the current uncertain inflation situation is:
Would you, once the groundbreaking has happened, purchase and have the tiles, flooring, fittings, etc. delivered and paid for right away, assuming you have space somewhere like in the garage? Or would you rather delay the purchase until just before you actually need the materials, but as late as possible?
My initial thought is: Once the groundbreaking happens, I should order everything that could potentially cause variable costs and store it in the (large) garage... Am I thinking correctly, or is that too simple? 🙂
Thanks so much,
Best regards,
ruediger42
Have you been committed to a specific wholesaler for tiles or sanitary equipment when sourcing materials? If so, ask them if they can order the materials for you today and store them on their premises, with you covering the storage costs, of course. This would have the advantage that they would handle the logistics, timing, and warranty. The difference is that they wouldn’t order just-in-time as before, which might lead to an extension of your construction schedule.
Otherwise, if you unpack the washbasin on site after 12 months and it has a crack... that would be your responsibility! The same applies for the plumbing supplier or their wholesaler. As for the tiles, if the garage is right next to the building, I would store them there too—we did the same back then, as the prefabricated garage was already in place during the shell construction phase.
Otherwise, if you unpack the washbasin on site after 12 months and it has a crack... that would be your responsibility! The same applies for the plumbing supplier or their wholesaler. As for the tiles, if the garage is right next to the building, I would store them there too—we did the same back then, as the prefabricated garage was already in place during the shell construction phase.
ruediger42 schrieb:
Would you buy and have the tiles, floor coverings, fixtures, etc. delivered as soon as the groundbreaking takes place? Grobmutant schrieb:
As I understand it, the general contractor or their subcontractor usually acts as the purchaser. That’s exactly what I was thinking.
Many people here mention, and it is true, that you often have to remove entire items or even trade scopes from the contract in order to have the option to source materials yourself (for whatever reason and timing).
The house cost estimate is based on wholesale prices and a mixed calculation.
As the client with a general contractor, you are contractually not in the position to procure materials yourself.
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