What is a Fixed Price Contract?

A fixed price quotation for your proposed new home based on plan drawings, and a materials specification agreed with you in advance. The price, plan drawings and materials specficiation form part of the contract document.   In a fixed price contract, the price will not change - unless you make a change.

Do you have pre-costed House Plans?

Yes we do.   We maintain a small selection of plans from our range with up to date pricing. The priced plans may also assist you by providing a guide to our overall pricing.  However please read the information below carefully as the price of a house can vary depending on many factors and it is important to understand these when you are budgeting for your home.    

Homebuild can also provide a Fixed Price Quotation on any of our other plans, or on plans you have - this process usually takes about 2-3 weeks.

How much does a House Cost?

The price of every house is different, because every house is unique in some way.   There are four main factors that determine the cost of a house:

• Size: The bigger the house, the more it costs.
• Complexity of Design: Put simply, a rectangle costs less. Things that add cost to a house include for example; many exterior angles, a complicated roofline, more bathrooms & verandahs.
• Complexity of Specification: The 'specification' (what materials are used) can greatly affect the final cost of a home.   For example, one type of brick may cost substantially more than another. Other price differences in materials may not be great, but the sum of many little things can add up to a substantial cost.
• Location: The price of building a home varies by region due to different costs of labour and (sometimes) materials.  

What is the Cost per square metre (m2)?

The cost per square metre of every house is different too. The four main factors that determine the cost of a house can affect the cost per square metre differently.

• Size: The larger the house the potentially lower the cost per square metre. This is because some costs are relatively fixed regardless of size; such as permits, insurance and drawing fees; usually houses have only one kitchen, a couple of bathrooms etc.
• Comlexity of Design: A simpler design means a lower cost per square metre.
• omplexity of Specification : A 'higher' specification (more expensive products & materials) means a higer cost per square metre.
• Location : The cost per square metre varies depending on regional labour/materials costs.

How do Homebuild's prices compare with others?

Overall, Homebuild's prices compare favourably with the building industry estimated averages.

• Small House:  Industry Average* $1,756/m2   Homebuild's prices from $1400/m2
• Large House: Industry Average* $1,501/m2  Homebuild's prices from $1100/m2- $1200m2
• *Industry Av. prices for June 2008 North Island (ex Wellington, Auckland, Waikato, BOP). Source www.bia.co.nz   ** House Only. Conditions Apply. Ask Homebuild about pricing in your area, as prices can vary.

Why are Homebuild's prices so competitive?

We keep costs down by negotiating volume discounts, through material sourcing and very careful costing through to rigorous project management systems and by minimising our overheads - and we pass these savings on to you and we do not pay thousands of dollars in e.g. franchise or other fees.

How do I know what is included in the quoted price?

There are many costs to take into account when building a new home. For exampleask the question does the quotation include: curtains & carpets (usually not), driveways, paths, fencing (usually only if requested), and in rural areas, septic & water tanks and power supply?

Usually a quotation for building is based on a 'level building site' (flat section), so is important that you get your builder to view your site and provide a quotation for any engineering or sitework that may be necessary as a result of a sloping site - or you could be in for extra costs that you haven't budgeted for. Similarly there can be additional costs for bringing the services (phone, power etc) to the site if it is a back section. Ensure that your builder alerts you to all costs that apply in the construction of your home

What is included in a Fixed Price Quotation from Homebuild?

A fixed price quotation from Homebuild starts with the 'house only' cost and also itemises anything else (eg. fencing)  that you request. Homebuild also provides an 'Addendum to Specification' with every quotation, detailing in everyday language exactly what is - and is not - included in the cost of the home.

What are PC Sums?

A PC Sum is an allowance for either materials or labour. The final cost of an item  may be more or less than the PC Sum provided and this does affect the final cost you pay, even in a fixed price contract.   Any PC Sum you have in a quotation should be backed up by a quotation from a supplier or be a reasonable allowance based on previous work.  As a rule you don't want to get a quotation with a lot of PC Sums in it because you may end up running over your budget.

Does Homebuild use PC Sums?

Homebuild does use PC Sums - sparingly.  Usually a quotation from Homebuild will include a PC Sum for kitchen joinery and if we are quoting for floor coverings, these will also have a PC Sum.  Our PC Sums are supported by actual quotes or realistic allowances relative to the overall budget of the home.  Sometimes PC Sums will appear for other items such as sitework or drainlaying because until an engineering design is done, these costs are not known.  Homebuild will alert you to PC Sums if they appear.