Tips On Choosing A Builder That’s Right For You
When it comes to choosing a builder, a reputable operator won’t shy away from answering your queries and showcasing their past work – so where do you start?
Whether you’re undertaking a significant renovation, building your own home, undertaking a commercial refit or a large scale construction project, sourcing a reputable builder is crucial if you want to get it right the first time and potentially avoid a costly disaster. Once you start your research, there are several factors that need your consideration when choosing a builder for your next project.
Five Tips On Choosing A Builder
Before you make a decision on choosing a builder, here are five tips on making sure that your selection is the right one.
References – Friends, family, colleagues or even your architect are often a good place to start when it comes to word of mouth recommendations. Don’t be afraid to check out the builder’s social media or Google reviews for the “real world” experiences of others too.
Check Their Paperwork – Is your desired builder licensed, insured and financially stable? If not, you could be setting yourself up for disaster. A credit reference may help to verify if the company pays its suppliers on time, and if they have a good reputation within the industry.
Know Your Budget – There is little point approaching a construction company that specialises in first home owners properties to build you a custom home. Their budget, repeat design and business model will likely prevent them from being able to be competitive in a one-off build.
Project Timeframe – If you opt for a builder that is related to you or a family friend, unfortunately there’s a chance that you may “go down” on their priority list, particularly if you’ve received a discounted rate. Be sure to check that their project timeline matches yours.
What’s Their Specialty – Contrary to popular belief, builders aren’t a “one stop shop” for all renovations or constructions. If you are looking for someone to action a large scale commercial fit out, then someone who specialises in home renovations probably isn’t for you.
Choosing A Builder In South East Queensland
Before you start researching reputable builders that you might like to work with, it’s important to get your financial ducks in a row in order to avoid any potential headaches further down the track. Many people don’t realise that loans issued for construction purposes typically have a different structure than a standardised home loan. These are designed specifically for people looking to build their own home from scratch, or those undertaking significant renovations.
With a construction loan, you generally receive instalments of the loan at various stages of the build or construction, as opposed to receiving it all at the start in one lump sum. Normally you only pay interest on the amount that is drawn down, as opposed to the total loan amount. This is designed to cover you when working with a builder.
With the Morrison Government’s recent release of HomeBuilder scheme – on top of the First Home Buyers Grant – construction loans may be a more viable option than originally considered for many if it’s done right.
Madd Loans owner George Samios has been working with construction loans and pre-approvals for over ten years, and shares a few insider tips on what to know when considering one.
“When you build, there’s a few things you need to do. The number one is to of course get loan pre-approval, but then you must stay within that pre-approval – it gets quite tricky if you go over the agreed amount. It’s also important to source a reputable builder and agree on exact specifications to protect yourself. The last thing you want is to be working with a builder, only for them to go broke or overcommit to other projects – so make sure you do your research.”
George is also well aware that some banks charge a premium on interest rates for construction loans, compared to others that specialise in them. It’s for this very reason that Madd Loans works with over forty reputable lending providers. If a construction loan sounds to be something you are considering for your future, why not schedule a free session with the team at Madd to discuss your options?