Doing the due diligence building costs analysis and choosing the right building contractor are key to building a new home within budget – and without nasty surprises.
“The value of a proper budget combined with the expertise, efficiency and materials supply contacts of a professional contractor cannot be overemphasised,” stresses Mohau Mphomela, director of the Master Builders Association North.
“It is not uncommon for consumers to find themselves over budget on a building project; in fact, it happens so frequently friends at the braai-side will joke about doubling the estimated costs and taking out a loan to make sure the job is finished. At the crux is a poor understanding of the costs involved in building projects. Building costs should take into account, among others,variables such as labour, material, equipment, building codes, job-site conditions and standard mark-ups applicable to the area.”
Going over budget can place the homeowner in a financial predicament. It comes with the risk of having their building bond frozen by their bank until the extra money is furnished, it can also cause the building project grinding to a halt and the contractor leaving. On the flip side, though, having the costs of a building project accurately calculated through a business costs analysis before starting the project, can save thousands