How do you know if the quote you received is accurate?

When you’re planning a custom home build, one of the first things you’ll do is gather quotes from different builders. But comparing quotes can be tricky—especially if one comes back higher than others.

For a home builder such as Eltcon, based in Melbourne and recognised as a 2023 award-winner and 2024 HIA Finalist, providing an accurate, comprehensive quote is an involved process. Here, we break down why Eltcon’s quotes may be higher. We also look at what you, as a client, should look for to ensure you’re comparing apples to apples.

Why Eltcon’s Quotes Stand Out

Quality Fixtures and Fittings: Eltcon’s quotes are built on high-quality fixtures and fittings from trusted, reputable brands. This often results in a higher upfront cost than quotes based on cheaper alternatives. While it might be tempting to opt for a lower-priced quote, remember that these less expensive options may lack durability and warranty coverage. This has the potential to lead to higher costs and frustrations over time. Consider the difference in kitchen sink options: an IKEA sink might cost around $250, while a fine fireclay butler sink from Turner and Hastings could be around $1,300. Initially, the IKEA sink is less expensive, but after a year of use, it’s likely to show scratches and stains. The premium fireclay sink, on the other hand, will maintain its pristine appearance indefinitely. By choosing quality materials from the start, you’re investing in long-term satisfaction and a home that stands the test of time.
Comprehensive, Detailed Costing: Eltcon invests significant time into crafting accurate and itemised quotes. This includes specifying the costs for fixtures, fittings, and finishes that some builders may leave out or undervalue. Rather than opting for a quick estimate, Eltcon’s quote is a reflection of current, researched pricing, accounting for all aspects of the build.
Why Eltcon Charges for Quotes: Providing a detailed and accurate quote requires significant time and effort. Eltcon’s fee helps to partially offset this investment. However, it’s important to note that this fee doesn’t fully cover the time spent on each quote—rather, it reflects Eltcon’s commitment to transparency and delivering the highest quality service.

Having been in the industry since 2018, Eltcon is cautious of builders offering free quotes, as the substantial time and expertise required to prepare an accurate quote cannot be accounted for with no charge. A free quote may suggest that insufficient time has been dedicated to ensuring the figures are as precise as possible, potentially leading to inaccurate estimates or hidden costs down the track. By paying for a quote, there is a higher chance that the quote you receive back is a thorough, well-researched estimate that reflects the true scope of the work and ensures no surprises later in the process.

Key Checklist for Comparing Builder Quotes

To make an informed decision when comparing quotes, look beyond the bottom line and consider these key elements:

Quality of Materials: Does the quote specify reputable brands or generic options? Quality materials impact durability and resale value.
Inclusions and Exclusions: Is everything covered? Sometimes quotes are lower because they omit things like flooring or fixtures. If you have received multiple quotes, compare each side by side to see what has been included or omitted.
Labour Costs: Are the labour costs realistic? Low quotes may underestimate skilled labour, potentially leading to rushed, subpar work.
Site Costs: This includes excavation, site preparation, and any specific challenges for your property. Avoid surprises by checking whether these are included.
Project Management Fees: Builders like Eltcon manage every aspect of the build, ensuring smooth progress. Make sure any project management fees are clearly itemised.
Detailed Timelines and Payment Schedules: A quality builder will provide a clear schedule. Vague timelines or missing schedules could indicate an unreliable builder.
Licensing and Insurance: Eltcon is a licensed, award-winning builder. Verify that any builder you choose has up-to-date licensing and insurance, as these are crucial to your protection.

Differences Between Architect Plans and Designer / Draftsman Plans

The design plan you bring to a builder can also impact the final quote. There’s often a misconception that all plans are created equal, but in reality:

Architect Plans: An architect’s plan typically includes a high level of detail, specifying exact product codes and brands. This allows builders to accurately cost each item and avoids potential miscommunication.
Designer/Draftsman Plans: While plans from a designer or draftsman are often more affordable, they tend to be less detailed than those created by an architect. For example, they may omit specific details, such as product codes for fixtures, leaving the builder to make assumptions about costs. This can introduce variations in the builder’s quote, as they may need to account for unknowns or unexpected adjustments.

Opting for a cheaper quote based on lower-quality fixtures and fittings might seem like a good deal initially. However, this could lead to price adjustments later in the project if the client decides to upgrade to higher-quality products. These variations can add up, making what seemed like a more affordable option less cost-effective in the long run. Having detailed, comprehensive plans ensures that all costs are accounted for upfront, reducing the likelihood of unexpected increases down the line.

Commonly Missed Elements in Incomplete or Rushed Quotes

When a builder provides a quick quote, it’s often missing essential elements that you’ll ultimately need. Be on the lookout for the following common omissions in cheaper or rushed quotes:

Permits and Approvals: These are essential but are often left out to keep initial estimates low. Eltcon’s quotes include these essential costs, saving you from hidden expenses.
Electrical and Plumbing Provisions: Sometimes, quotes exclude detailed electrical or plumbing work. Eltcon provides a thorough breakdown, accounting for quality installation.
Energy Efficiency Standards: Sustainable building is vital for long-term savings, and Eltcon ensures their quotes account for energy-efficient options.
Landscaping and Outdoor Structures: Patios, driveways, and gardens might not be part of a lower estimate. Eltcon’s approach includes all essential features in their quotes so there are no surprises.
Waste Disposal: Rushed quotes may omit waste disposal and site clean-up fees. Eltcon’s quotes cover these details, leaving no corners cut.

Why Quality Quotes Are an Investment

Building a custom home is one of the biggest investments of your life, and cutting corners on quotes could lead to regrets down the road. Eltcon’s comprehensive, transparent quoting process ensures that you’re making an informed choice without hidden costs or surprises. Investing in a quality builder with a proven track record means you’re choosing durability, quality, and attention to detail. By carefully evaluating each quote with the checklist above, you can find a builder whose values and quality align with your vision, creating a custom home that will stand the test of time.

Don’t Dismiss a Higher Quote Without a Conversation

It’s natural to feel hesitant when a quote comes back higher than expected, but don’t be quick to rule out that builder. A transparent, reputable builder, like Eltcon, will be more than willing to discuss the details with you. By reviewing the quote together with your chosen designer or architect, we may identify opportunities for cost savings that still align with the quality and vision you have for your home.

For example, in one recent project, Eltcon worked with a client who chose to install an IKEA kit laundry, which helped reduce costs significantly. Eltcon installed the kit to ensure the work met their high standards, resulting in substantial savings without compromising the overall quality and cohesion of the home.

Remember, a high-quality builder will always seek ways to meet your budget without sacrificing integrity or cutting corners. When you choose to have an open conversation, you’re more likely to find a solution that works for both you and your builder, leading to a home that’s beautifully crafted and built to last.

If you’re considering building a custom home, talk to Eltcon about their detailed, reliable quoting process to see the difference quality makes.