...oh yeah, I'm only interested in a "Cost Plus" contract, not any other form of building contract (i.e. I don't give a shit what their profit margin or mark-up is on a fixed price/lump sum/GMP contract, etc).

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MY09 Evo X - 1.6bar@3500rpm - got lag?
Barbagallo - 56.03 (S); 1:08.09 (L)
Collie - 50.77
Possibly the most under-driven Evo X in the world??

hands up who else had to google 'succint'

Cost Plus is the way to go if the builder lets you handle procurement of goods and materials.

Otherwise there is no incentive for him to get you the 'best price' from his suppliers.

Owner-Building is definitely the way to go, if you can afford it.

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"sorry we all can't spell prefect english like you's .."

All building contracts are officially "cost plus".. the contract outlines it. 30% is the industry standard though.

Big companies that own multiple building brands (BGC, etc), work on 40% or maybe even more, depending on which level their brand is aiming at.. mostly due to the fact they own the materials and labour suppliers also.

Individual and small builders aim at 20%.. they rarely make 20% across the board, it generally comes out a bit less than that (they have to allow contingency for their subbies fucking up). It also comes down to economies of scale. BGC pay less for materials than small builders do, so the margin is lower for the small builders.

Owner building sometimes isn't a consideration, depending on your council. For example, I can't owner build in my council (and its based on certain house specification).

But, my builder is allowing me to farm out a few of my own trades to keep the cost down.. including tiles, carpet, painting, a/c. aggregate, demolition, fencing, landscape, security, etc (as I know people in all those trades). Some builders wont allow this, but mine is.

I've seen as little as 5% and as high as 30%.

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[COLOR=Black]Liberty GT Spec B tuned 240 HP & 372 Nm at the hubs.[/COLOR] "Instead of banning high performance cars - ban low performance drivers"

Wow I would be surprised if a TRUE cost plus would be 30% but it's resi so who knows. 30% would have to include for contingencies and cock ups.

Values in commercial are alot higher but as a gauge construction only on a management contract basis is closer to 8%

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RS RA
The more people I meet the more I like my Dog!

12.463 1/4 mile, not bad for an old school Liberty [DECEASED]

MY08 Liberty Tuned by STi

This is backwards - in a fixed price or lump sum building contract there is more incentive for the builder to get the best possible price from suppliers as the cheaper he gets things for the higher his profit margin - when costs blow out he doesn't get any more money from you and so his profit margin is reduced. But if he does get things cheaper, these savings are not passed on.

Cost Plus is really only a good way to do things if you are able to get most of your trades and materials dirt cheap - if you leave it all up to the builder it is to his benefit if things cost more. Your bear all the risks in cost plus

Blues, out of interest, can i ask why you are opting for a cost plus contract?

I'm a wog - have got family and friends who can do everything except plant grass.

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MY09 Evo X - 1.6bar@3500rpm - got lag?
Barbagallo - 56.03 (S); 1:08.09 (L)
Collie - 50.77
Possibly the most under-driven Evo X in the world??

I thought wogs, especially in Mildura region, we're great at planting "grass" ...

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[COLOR=Black]Liberty GT Spec B tuned 240 HP & 372 Nm at the hubs.[/COLOR] "Instead of banning high performance cars - ban low performance drivers"

OK - should have said "lawn".

Green painted concrete can also be construed as grass too amongst wogs.

__________________
MY09 Evo X - 1.6bar@3500rpm - got lag?
Barbagallo - 56.03 (S); 1:08.09 (L)
Collie - 50.77
Possibly the most under-driven Evo X in the world??