02. What are you hoping to spend on your project?

How much will my renovation, addition or new home project cost me? 

We understand that ensuring that we get value for money is an important concern when making plans to undertake a renovation, addition or building a new home. It was certainly an important consideration for us when we have completed our own projects on our homes in the past. 

When we speak to our clients, most people have an idea about how much they would like to spend on their project. The preliminary budget numbers are always linked to what are you hoping to achieve in your project - is it a forever home, or are you looking to add more space to allow you to connect with your family members in a different way, or are you hoping to build some equity up in your property without over-captilising. All different scenarios will warrant a different budget, and careful consideration with what you may be able to borrow from a lender will help you come to a decision about how much you would like to spend on your project.

Sometimes, our aspirations for our projects may be out of alignment with our budget. Getting advice from the right Architect will help you decide where best to allocate your funds to help you achieve your "why". 

As design professionals, we know that your home can be great, whatever your budget! 

Total Project Cost vs Construction Cost

When setting your budget you should consider both the "total project cost" and the "construction cost" and keep these in mind throughout the design and planning stages of your project. 

The "construction cost" for your project will be the allowance of the "total project cost" that you will agree with the builder to complete the scope of works. This number is often what you will agree to design to with your design professionals.  

The "total project cost" is inclusive of all costs that you wish to include in the project. These will likely include:

• Your "construction cost" budget 

• Your professional design team consultants' fees [architects, engineers, etc]

• Local authority fees + statutory authority fees

• Inflation costs between the start of the project and signing of a contract with a builder

• Design and construction contingency funds

• Furniture and special equipment

• Weather delays and associated costs

• Insurances 

• Any tax for goods or services that are applicable

• Delays

There will also likely be other costs that you may wish to consider before completing your project:

• Relocation or removal costs

• Holding costs / Interest on any monies borrowed to complete the works or own the land 

• Legal fees

• Infrastructure costs

Cost, Time and Quality

Within our Architectural practice, we know that there are a number of critical aspects that can affect the cost of the project and carefully monitor these throughout the design process. 

Cost, Time and Quality are all interlinked - for example, a low cost house may be built quickly if the quality of the outcome is reduced. Equally, a well built house of high quality will cost more to build and could well take longer. 

Refer back to why you are completing the project on your home - do you wish for the project to be completed quickly? are you flexible on the time the project takes in order to ensure the quality of the workmanship is of high quality?

Estimates of Probable Cost

Your Architect will be able to discuss with you in broad terms how realistic your preliminary budget may be in comparison to your brief. However optimistic you may be about the project brief and budget, the right Architect will be comfortable to have those uncomfortable conversations about costs and costs and help you achieve the best result possible . 

One of the best ways to monitor your budget is to have an estimate of probable costs completed at various stages of the build. You may decide to engage a specialist cost consultant or quantity surveyor to make detailed estimates throughout the design stages and use these to make comparison against your construction budget.  Early indications of cost allow you to make informed decisions early about design decisions, reduces your exposure to risk and helps steer your project towards a great outcome with greater certainty.

We wish you the best of luck with your project, If you have any specific project questions that you require assistance with, please contact us via phone or email and our experienced team will be able to help you! 

Disclaimer

This content is provided by Chadwick Architects for reference purposes and as general guidance. It does not take into account specific circumstances and should not be relied on in that way. It is not legal, financial, insurance, or other advice and you should seek independent verification or advice before relying on this content in circumstances where loss or damage may result. Chadwick Architects endeavours to publish content that is accurate at the time it is published, but does not accept responsibility for content that may or has become inaccurate over time.