Estimate of Construction costs: How do I get a reliable one?

How many times have you heard the line: ‘the Builder/Designer/Architect gave me an estimate and the cost turned out to be double that?’ Those sorts of stories are a common dinner party topic!

It’s a problem. Because it’s more complex than it seems. Especially when renovation is involved.

First you have to have a design. You can’t cost something that isn’t clearly thought out and described.

Then an estimator has to work out the cost implications. The estimator needs to interpret and understand the drawings and site conditions accurately. And the builder needs to be keen on doing the work.

A designer or architect usually is not well placed to give cost estimates. Neither can see things from the construction and management point of view the way a builder can. They also are unlikely to have the responsibility and skin in the game to ensure that what they say about costs is accurate.  If a builder gives a quote he has to stand by it.

The best approach is a joint effort between the designer and the builder. That’s why Add-Style, a concept to completion company, is well placed to give you early realistic costing information. It is staged like this:

1.       Our consultant produces a design based on your requirements.

2.       Preliminary costing information from our estimators is then passed on to you.

3.       Assuming the preliminary costing is within your expectations we develop the design to the point when you are ready to authorise us to produce an accurate costing of the job.

4.       At that milestone we need a modest authorisation fee to give you that costing, together with the Specification and the Conditions of Construction of the job. That’s what you need to be sure your costs are in line with your expectations.

Once you have that you are well placed to go forward with your project.