You will be shocked at how much money is wasted by indecision from those who want to build AND from builders who take too long to not only start construction of your new home but also to completely finish it.
Common delay-related costs
The most common costs are as follows:
- Tax and/or rates being paid on vacant land $? p/w
- Mortgage repayments on loans for vacant land and during the build on top of the construction costs $400 p/w
- Accomodation expenditures while your new home is being built $400 p/w
- Increase in building costs $250 p/w
- That is a total of approx. $1,100 p/w or $4,766.67 p/m!
Imagine this… you chose a builder based on a quote that was $4,000 dollars cheaper but they take two months longer to get you through the building process. They actually end up being the more EXPENSIVE builder by more than $5,000!
This is a lot of money, so ensure that you get managed and agreed time frames from your builder at the very start of the process.