How to avoid heartbreak when designing a custom home

The current residential industry is broken. 

You only need to join the Facebook Groups, "How's your build going WA" or "Building in Perth" to see the full extent of it. While 95 per cent of the issues raised in these groups are at the hands of the large project/volume builders (who can some how still claim they are award-winning builders), it has us reflecting on the entire industry at large and how we, a small custom building company can make the design and build process as enjoyable as possible for our clients. 

In this blog, we share some of the common issues that homeowners face when designing and building a custom home so that we can help educate and empower you to make more informed decisions. 

What's the main issue?

One of the key issues in the custom building game is that many homeowners are still following the traditional design-bid-build (tender) model when designing a new home or renovation, however this process is fraught with issues that often leads to heartbreak for the client, and leaves the professional builders frustrated. 

Given the economic climate, we completely understand why homeowners think that this is the best method but here's some of the harsh realities.  

Typically, clients think that the cheapest and most efficient way to approach the project is to engage a building designer first, then go out to tender with custom builders and either:

• Pick the cheapest quote, and progress through the process - only to realise later down the track that they weren't actually comparing apples with apples and now their project has been subject to multiple price increases which brings the final amount back in line with the most expensive builder?!
  • PRO TIP 1: some builders purposely exclude items from their initial quotes to appear cheaper and win the job, and then hit you with price increases later 😤
  • PRO TIP 2: You may not want to hear this but the most expensive and extensive proposal is usually the most accurate. If a builder has taken the time to go through your plans and put together an extensive proposal, chances are that this option is the most thorough and professional. Chasing the cheapest quote and not doing your due diligence and comparing apples with apples, will lead to heartbreak. This leaves the professional builders who have been honest and upfront with you from the start, frustrated. 
• Realise that when all of the quotes come back well above their budget, they have just wasted months of time, energy, emotion and money, because the design they have fallen in love with, is not actually achievable for their budget and timeframe 😭
  • PRO TIP 3: Building designers are worth their weight in gold and do an incredible job bringing your ideas to life BUT they can't be expected to know how much everything is going to cost. Some will have a rough idea but because there are so many variables when it comes to building and costs are always moving, things can blow out of budget pretty quickly. Having a builder involved in the design process means that you will have access to someone who intimately understands what is driving the cost of your project, and can provide recommendations and advice on buildability = invaluable information at this stage of the process.  
• Become frustrated and throw in the towel completely or decide to owner build (this comes with it's own issues). 
  • PRO TIP 4: Owner-building isn't necessarily the best option either. There is a misconception that by owner building you will save heaps of money because you don't need to pay the builders mark up, but the truth is that a lot of trades do not want to work with owner builders based on poor past experiences and therefore, will put their quotes up to compensate for the "extra work, headaches and handholding" that would be otherwise dealt with by the builder. 

Okay, so now what?

Cue the PAC process.

This is an industry-leading pre-construction process whereby a builder joins the design team from the beginning as a building consultant. They work directly for you as the homeowner and collaborate with other team members you're using for your design, to provide input on cost and buildability as your design develops.

There are so many variables when it comes to building a custom home or renovating so the earlier a builder can get involved, the earlier you can ground truth your ideas and concepts and get real-time feedback on the buildability and input on costs. 

Here's how it typically works:

• You pick your preferred designer and PAC-trained builder and arrange a meeting. 
  • The building designer leads the design process with both the designer and builder having clear roles and responsibilities to help you realise the full potential of your project. 

  • Usually, the beginning of any design process is a case of investigation and exploration.

    • The designer will be making their enquiries about your local Shire rules, the constraints on your property and site and what that will it mean for the design options.

    • Meanwhile, the builder can be doing their investigative work as well on your existing home or site to identify what physical or built features exist and how that may impact the design.

  • The builder will also be able to show you similar recent projects so you have an example that's real, represents the quality of finishes and design you wish to achieve, and helps set the budget starting point for your project. 
• As you progress through the design process, the designer and builder will be working collaboratively to help you make more detailed decisions. These include specific choices around materials, fixtures, finishes and products. All of this information builds more resolution into your design, and helps the builder provide more accurate pricing for your project. Without this information, builders will have to leave an allowance or provision which is where things can start to fall apart. 
• The goal is to get to the end of the design process with a well-resolved design so that you can hit "go" on the construction drawings with all of your selections and specifications put in place. At this point, the builder can finally create your final, pre-contract proposal with a fixed price contract. 
  • Please note that if you choose to not progress with the builder engaged through the PAC process, you will still have a very detailed proposal that you can use to engage other builders (i.e. actually compare apples with apples). 

About us

• We have received our PAC process certification from Live Life Build which means we are trained in this process. 
• We have worked through this process with several clients who have found it to be a "no-brainer" when it comes to understanding what's driving the cost of their project, and seeking advice and recommendations from Nathan on all things building and sustainability BEFORE the designs have been completed by the building designer. 
• We charge a small fee to cover Nathan's time and expertise. The value our clients get from this process far exceeds the fee, and saves them a lot more money and heartache later down the track. 
• If you would like to enquire about this process or ask a question, please email info@foresttocoasthomes.com.au 

Want to do some more research first? 

• Nathan was recently invited onto the Inside Design podcast to chat with the incredibly talented Jane Ledger and share the way we are tackling the pre-construction and design process, and costing projects.
• Don't just take our word for it. We also recommend researching Amelia Lee from the Undercover Architect - she is a wealth of knowledge and shares real and honest information on her social media and podcast. A great place to start is listening to the podcast episode below.