The collapse of the large builders in 2022 has been a terrible time for anyone who had recently purchased a new home. People who’d signed a contract and put down a deposit had their homes ripped out from under them, and many people who were in the middle of the building went into debt as they watched their savings disappear.
The average home buyer might have been less directly affected, but everyone knew someone who was affected. It was painful to watch families lose their life savings and dream houses at the same time, and it’s hard not to feel angry when you see such an egregious failure of our system.
It’s easy to lay the blame on any number of culprits: The Government HomeBuilder Grants, the construction unions, builders that took on too many projects and didn’t pay close enough attention to cost overruns, Covid-19 restrictions and international supply chain disruptions. It’s hard to know how much each of these factors contributed to what happened in 2022, but it is clear that there were a lot of contributing factors besides government policy that led to this disaster. In fact, if we look at some of the biggest collapses, we can see that even well-respected builders (such as Metricon) weren’t immune to problems that went beyond.
Should you build in 2022?
So you’re thinking of building a new home in 2022. Is it the right time to do so? It depends on your situation. If you’ve been planning for this since last year, then it might be a good idea to get started now—the right moment to start building really depends on the specific plans you have and the market conditions at the time.
If you don’t know whether or not you’re ready to make your move yet, here are 5 tips you can follow to help ensure that your project goes smoothly:
1. Check your builder’s license—it’s important that they’re appropriately licensed and qualified to carry out the work you need.
2. Get a transparent and itemised tender quote from them—you’ll want as much information as possible before signing a contract with them.
3. Ask about their contingency funds—these are an extra amount of money set aside for unexpected problems that may occur during the project, so make sure you know about them before signing anything.
4. Prepare for increased costs in the near future—prices for materials will likely be higher than they are now, so make sure that your budget takes this into account.
5. Find builders that don’t overcommit themselves with too many projects at once
As you consider your options for building the home of your dreams, it’s important to keep in mind that the Australian construction industry is going through a bit of a rough patch. The downturn has caused some builders and developers to take advantage of their position, offering massive discounts on what are still relatively high prices for their services in an effort to drum up some business. While this may seem like a good deal at first glance, it’s important to remember that the kind of discount you’re being offered may not be as big as it seems.
the only way to ensure you’re getting real value for money is by asking your builder for a detailed breakdown of their quote. This will include everything they’ll need to complete the job, how long they expect it to take them, and how much they think they’ll charge you per hour for labour and materials. If the quote comes back significantly lower than these estimates, you should ask yourself why there’s such a discrepancy—you could very easily end up paying more in the long run.
By getting a detailed breakdown of costs up front, you’ll make sure that you’re not being short-changed on your dream home.
A good builder like Zee Builders will be able to help guide you through the process. It’s important that they understand what features you want in your home so they can give accurate quotes and make sure nothing gets missed in the planning stages.