The advertised price is the beginning, not the total
Display village pricing and per-square-metre rates almost always exclude the things that make your site yours. Treat them as a starting point for a conversation, not as a budget.
The total you need is the contract price plus site costs, plus allowances you spend up on, plus upgrades, plus a contingency.
The costs people forget
- Site works: rock, fill, slope, retaining walls, poor soil, tree removal, demolition of an existing structure.
- Reports and drawings: soil test, survey, engineer, architectural or draftsman fees, energy assessment, acoustics.
- Approvals: development application and construction certificate fees, council contributions.
- Connections: water, sewer, electricity, gas, telecommunications, and the fees for getting them to the house.
- The edges: driveway, paving, landscaping, fencing, letterbox, clothesline, external lighting.
- Upgrades made during selection: the difference between an allowance and the tapware or joinery you actually picked.
Hold back a contingency
Set aside a percentage of the contract price for the things nobody can predict. Ten per cent is a common working figure for a new build on an established site; more if the block is difficult, less if it is a flat, serviced, easy block.
The contingency is not for upgrades you choose. It is for the surprise you cannot see yet.
Fixed price, cost-plus, and what each one means for you
A fixed-price contract locks the contract sum, subject to variations you request and to the conditions in the contract. It is the most common arrangement for new homes.
A cost-plus contract prices the work as it is done, plus a margin. It gives flexibility when the design is still moving, and it gives you less certainty about the final number.
Either way, the money you spend is controlled by the variations process, not by the headline price. Read that section of the contract carefully.