A Guide to Builder's Tenders
A Guide to Builder's Tenders.
Before you sign anything, the tender is your last chance to slow down, ask questions, and be absolutely sure about what you’re paying for. From provisional sums to plan accuracy and hidden owner responsibilities, this is the time to look closely. The builder is about to start locking things in — so you need to feel confident you’ve seen it all.
Because building shouldn't feel risky.
“Whatever it is, the way you tell your story online can make all the difference.”
Start with the Structure
A builder's tender is made up of multiple sections, not just a single figure:
- Base house price
- Site costs and allowances
- Upgrades and inclusions
- Promotional bundles or discounts
It’s important to understand what has been included and what still needs pricing.
“Whatever it is, the way you tell your story online can make all the difference.”
Provisional Sums = Provisional Risk
Anything listed as a provisional sum (like slab design, site cuts, or retaining walls) means the builder hasn’t locked in a final price yet. These items will change — often after engineering is completed.
They aren’t mistakes, but they are uncertain until verified. That’s where the cost creep usually begins.
“Whatever it is, the way you tell your story online can make all the difference.”
Double-Ups Are Common
Many tenders include items that overlap:
- Promotional packs may include features that are re-added again as upgrades
- Variations can repeat or contradict earlier inclusions
- Some items show as both allowances and fixed-price upgrades
Always compare the tender against the original sales estimate to spot any duplicated charges.
“Whatever it is, the way you tell your story online can make all the difference.”
Promotions Aren’t Always Free
Inclusions that sound generous — like stone benchtops, upgraded taps or appliances — may be part of a promo pack, but upgrades to finishes or sizes are often still added as extra cost later.
You may find you’re paying for both the “free” and the “real” version.
Just because it includes stone — is it the stone you want? It might include bricks, but do you love those bricks? A promotion doesn’t always match your vision — so check what’s truly included, and what it’ll cost to get what you actually want.
Also: if you've upgraded from an included item, have you received the proper credit back? Check whether the upgrade line is priced as "in lieu of” — this means you're only paying the difference — or if it's been added on top. Many people miss this and end up double paying.
“Whatever it is, the way you tell your story online can make all the difference.”
Accuracy of Plans and Site Plan
This is where things often fall apart — even before a contract is signed. The most important question is: do you fully understand your site plan?
You need to check:
- How the home is being cut into the block — are you being buried in a hole or lifted metres above natural ground?
- Can you visualise the end result? If not, this is where a basic 3D render might help. It’s worth doing to avoid regret later.
- Has the drainage been clearly drawn?
- Do window and door heights align, or are some drawn lower than expected?
- Is joinery drawn where expected — like the kitchen, laundry, and wardrobes?
- Have room dimensions changed from what you saw originally?
- Do you know where the downpipes are — so you’re not surprised by one in the middle of your outdoor area?
- Have you checked how your gutters and roof drainage will actually look?
If something doesn’t make sense, ask. This isn’t a rough concept — this is what the trades will build to. Every line on that site plan represents a cost. Make sure it also represents what you want.
“Whatever it is, the way you tell your story online can make all the difference.”
Tenders Are Your Final Shot to Lock in Structural Changes
This is it. The tender stage is usually the last opportunity to finalise any structural changes before contract signing. After this, changes are rarely accepted — and if they are, they come with delays and extra costs.
You need to feel confident that what’s on paper is exactly what you want to build. No surprises, no assumptions.
Ask every question you have. If something doesn’t feel clear — speak up. You are paying for this build. Don’t ever feel bad about making sure it’s right.
“Whatever it is, the way you tell your story online can make all the difference.”
Check for Report and Consent Requirements
If your plans don’t fully comply with Victorian building regulations — like setbacks, site coverage, overlooking, or height limits — your builder may need to apply for Report and Consent from council.
What is Report and Consent?
It’s an official request made to council asking for approval to go outside certain building rules.
For example, building closer to the front boundary than normally allowed. Approval isn’t guaranteed, and it can delay permits.
You need to ask:
- Are we applying for any Report and Consent items?
- What happens if they don’t get approved?
- Has anyone spoken to council about how likely approval is?
Most people don’t even realise they’re relying on one of these — until something gets rejected and the design has to be changed after the fact. You want to know this upfront.
“Whatever it is, the way you tell your story online can make all the difference.”
Do You Understand the Planning Process?
Not every build will need planning approval — but if yours does, you need to understand what’s coming next before locking in your structure.
Residential planning approval applies when your home design doesn’t meet the standard zoning rules — like height limits, setbacks, site coverage, overlays, or dual occupancy.
From this point forward, you're typically paying money and structurally locking in your design. So ask yourself:
- Have I confirmed whether my home will need planning approval?
- Have I spoken to a town planner yet, if it's required?
- Do I understand the next steps and who’s responsible?
- What additional expenses are coming — like planning drawings, submission fees, or consulting charges?
If planning is required, the next stage usually includes preparing specific planning drawings and paying a town planner to handle the submission. You want to be clear on this now — not after money changes hands.
“Whatever it is, the way you tell your story online can make all the difference.”
Owner Works Can Be Hidden in the Fine Print
There are often items in the tender that sound like they’re included — but they’re actually listed as “by owner.” These are costs and responsibilities you’ll have to manage yourself.
- Tree removal
- Asbestos clearance (with certificate)
- Demolition permits
- Sewer or power pit arrangements
- Temporary fencing or council bonds
These things aren’t always obvious, and most clients don’t pick them up until it’s too late. Always scan for owner responsibilities — and if you’re unsure, ask who’s doing what.
“Whatever it is, the way you tell your story online can make all the difference.”
Notes Carry Real Consequences
Tender documents are full of “notes” — often written like disclaimers. But just because there’s no price next to them doesn’t mean there’s no impact.
- Restrictions around future pools
- Site access complications or unknowns
- Pending sewer, stormwater, or authority info
These notes can lead to real changes, delays, or extra charges — but most people skip over them because they don’t look like line items. If it’s written anywhere in the tender, it matters.
“Whatever it is, the way you tell your story online can make all the difference.”
Time-Based Price Rises
Most tenders include a clause that allows the builder to increase the price if your contract doesn’t become unconditional within a set timeframe — often 270 days.
What causes delays? Finance approval, planning approvals, demolition, developer sign-off — even weather.
It’s important you know:
- How long you have to go unconditional
- What triggers the price rise (and how much it is)
- If you’re at risk of breaching the timeframe
These clauses are buried in the fine print but can mean tens of thousands in increases — even when delays aren’t your fault.
“Whatever it is, the way you tell your story online can make all the difference.”
Before You Lock Anything In
If you're still reviewing documents or double-checking inclusions before you commit:
“Whatever it is, the way you tell your story online can make all the difference.”
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