12 Questions to Ask Before You Sign a Building Contract
Five minutes with this list could save you five figures.
Before you sign a building contract, you should know exactly what you're agreeing to.
Not just the headline price.
What's included. What's not. What your allowances actually cover. What can trigger a variation. And what happens when something unexpected is found.
Take these questions to your next builder meeting and ask them directly.
QUESTION 01
1. What exactly is included in the contract price?
Don't just look at the total.
Ask for the scope behind the number.
What work is included? Which rooms are covered? What materials, fixtures and finishes are included? Are demolition, waste removal, protection, clean-up and other project costs accounted for?
You want to know what the number actually represents.
QUESTION 02
2. What's specifically excluded?
A good contract should make the exclusions clear.
Ask what's not included in the price and whether there are things you'll need to organise or pay for separately.
An exclusion isn't necessarily a problem.
Not knowing about it is.
QUESTION 03
3. What allowances are included, and what do they actually cover?
Allowances are common in renovations because some selections may not have been made when the contract is prepared.
Ask:
What is the allowance for?
What amount has been allowed?
What exactly does that amount cover?
A $1,000 allowance doesn't tell you much if you don't know whether that includes the product only or associated costs as well.
QUESTION 04
4. What are the provisional sums?
A provisional sum should relate to a genuine uncertainty.
Ask which parts of the project have been treated as provisional and why.
More importantly, ask what information is still missing and what could cause the amount to change.
The point isn't to eliminate every unknown from an old house.
It's to identify the genuine ones before construction starts.
QUESTION 05
5. What could cause the price to change?
Ask the builder to explain the circumstances that could lead to an additional cost.
Some changes are caused by the client.
Some are caused by conditions that couldn't reasonably be known before work started.
You should understand the difference before construction begins.
QUESTION 06
6. How are variations handled?
If something changes, you should know how that change is documented and approved.
Ask:
How will I be told about a variation?
Will I see the cost before the work is carried out?
How is my approval recorded?
A variation shouldn't be something you discover after the work has already happened.
QUESTION 07
7. What happens if we want to change something?
Renovations evolve.
You might change a tile, move a fixture or decide you want something different once you see the space.
Ask how client-requested changes are priced, approved and incorporated into the programme.
Knowing the process makes those decisions much easier.
QUESTION 08
8. What's the programme, and which dates are actually firm?
Ask when the project is expected to start and how the programme is managed.
But also ask which dates can genuinely be guaranteed and which depend on things outside the builder's control.
For example, waterproofing needs time to cure and some products have lead times that can't simply be compressed.
A realistic programme is more useful than an optimistic completion date.
QUESTION 09
9. Who is actually responsible for managing the project?
You should know who your main point of contact is.
Ask:
Who is running my job?
Who do I contact when I have a question?
Who is coordinating the trades?
A renovation involves a lot of people.
You shouldn't have to work out who is responsible every time something comes up.
QUESTION 10
10. How will I be kept updated?
Ask how communication works once construction starts.
How often will you receive updates?
Who provides them?
What happens if there is a delay or an unexpected problem?
At Savvy, our commitment is an update every week, in writing, whether the news is good or not.
You shouldn't have to chase someone to find out what's happening in your own home.
QUESTION 11
11. What happens if something unexpected is found?
Older homes can hide things.
Ask the builder what happens when the existing conditions aren't what anyone expected.
The important question isn't whether a builder can promise that nothing unexpected will ever happen.
They can't.
The important question is whether you'll be told when something is found, what your options are, and what it will cost before the work proceeds.
QUESTION 12
12. What happens after the renovation is finished?
Don't stop reading the contract at practical completion.
Ask what happens after handover.
How are defects or concerns raised?
Who do you contact?
What happens if something needs attention later?
And does the builder have any formal follow-up process after you've moved back into the finished space?
At Savvy, the first year of SavvyCare is included in the price of your job, with return visits at three, six and twelve months.
Don't Just Compare the Bottom Line
When you're comparing building quotes, it's tempting to look at the biggest number at the bottom of the page.
But two prices aren't necessarily two versions of the same job.
Look at the scope.
Look at the allowances.
Look at the provisional sums.
Look at the exclusions.
And look at what happens when something changes.
Take These Questions to Your Next Builder Meeting
You don't have to use them with us.
Take them to every builder you're considering.
Ask the same questions. Compare the answers. Make sure you understand the contract before you sign it. That's what an informed renovation decision looks like.
Want to Understand Your Quote Too?
Our The Real Cost Guide explains what a proper renovation quote should — and shouldn't — include.
Still Have Questions?
Browse our most common renovation questions in the FAQ.