Building a home or extension involves more than the builder’s price. Knowing where the money goes from day one helps you plan with confidence and avoid unwelcome surprises.
Construction cost
Labour, materials, the contractor’s site set-up, overheads and profit, plus the main building elements: excavation and foundations, structure, roof, windows, heating, electrics and plumbing.
Consultant fees
The professionals who design and deliver your project: architect, project manager, cost manager, and specialists such as structural engineers and mechanical and electrical engineers. Our fees sit within this slice.
Statutory fees & permissions
Planning and Building Regulations applications, and where relevant party wall agreements, plus any local authority levies.
Fittings & finishes
Kitchen, bathrooms, flooring, tiling, light fittings, doors and decoration. These choices vary enormously in price, so they are often where you have the most control.
VAT
A tax added to most building and professional costs. Extensions and alterations are generally charged at 20%, which is why it makes up a large slice. New-build homes are usually zero-rated, and some conversions qualify for 5%. With the aid of a VAT expert, we can help you to ascertain which rates apply to your project.
Contingency
Money held back for unknowns, such as hidden defects in an older building or ground conditions. Allowing 5–10% of the construction cost is usual, and more for older properties. If it isn’t needed, it stays with you.
Other project costs
Surveys, insurance, utility connections, landscaping, furniture, moving costs and, if you can’t live in the property, temporary accommodation.
Our advice: Agree one total budget at the outset, not just a build budget. We will help you allocate it across all of the above, and keep track of it at every stage as part of our cost management service.