Timeframes, budgets and overruns
As boring as it may sound, planning is one of the most important steps of a new build or renovation. Planning ahead and knowing what is going to happen at different stages of the build will help you to stay organised, within budget and hopefully within the time frames that have been laid out. Not everything will always go to plan and there may be shifting and changing that needs to be done throughout. However having a plan in place that both yourself and the builders agree on, will help try and keep it running smoothly. So what things should you plan ahead with?
When you engage a builder to assist you with your renovations, they will be able to give you an idea on how long the job should take to complete. Depending on the amount of work needing to be done and the complexity of it, this could take weeks or months. There may be different trades people that need to come in throughout the build and they may need to come in a special order. For example, there is no point the painters coming in and painting the walls if there is still work needing to be done to the floors.
The builders should give you an estimated timeframe and timeline of what will be completed and when. This will help you to organise your home and life around it as well. There may be times when you need to be in the home and times when you need to vacate.
If something occurs that causes the timeframe to be delayed, speak with your builder and see what can be done to potentially bring it back up to speed. If it is not able to be done, discuss what the new potential finish date will be.
Budgets are something that everyone who is renovating or building needs to keep an eye on. Even if you have received a quote and approved that quote, there may be times when something happens which results in you having to pay more. It could be that the initial materials that you wanted were not available. Or you may have changed your mind on different finishes for parts of the renovation. If extra trades are needed such as plumbing or electrical and these were not initially needed – this may also cause you to go over budget.
It is always a good idea to set your budget at a comfortable amount, but still have a float amount above that available. This way, if you do accidentally go over budget you have enough funds to cover it.
A budget should not be the full amount that you are willing to spend. It should be a little less than what you want to spend, so you have that back up available.
Your builder should discuss with you before adding extra charges and have them approved by you. This way, they are not completing additional work with the risk of you not being able to pay.
A cost overrun is when the cost of a project becomes more than the estimated or quoted cost. This can happen for a number of different reasons including not quoting correctly and changes to the scope of work.
If your builder has underquoted, than they should discuss with you the options and how to proceed.
Having signed a contract and quote for the amount that you agreed to, they can not force you to pay any extra. However if it is a lot of money and results in them working for a loss, there is the chance that they decide to end the project early.
If it happens due to you wanting to change or add to the project, than you are liable for these costs.
With the timeframes, budgets and potential overruns, make sure you are communicating with your builder throughout. It will be a lot easier process if you are both able to discuss your concerns and the project at hand. If you are struggling with staying within budget, talk to them about things that you may be able to remove from the project or discuss a payment plan.
Both you and your builder want a stress free time and it can be possible with the correct communication and planning.
If you are still looking for a build or tradie in your area then head over to our directory to find one that comes highly recommended. For those who require finance for their renovation then have a chat to Vital Finance Group
Good write-up. I absolutely love this site. Stick with it!