Re: True cost of owner building a kit home
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8 I really like the Bell River Homes / Riverbuilt homes and I'm currently running similar numbers of Bell River built house versus kit house + owner project managed build. Using rough numbers my initial conclusion is that you can come out in front by going the kit house route but the you'll have to make a personal call on if the saving is enough to justify the effort, time and risk.
On the kit prices, keep in mind that the Riverbuilt "L3" kit versions of the Bell River house do not include bricks, slab (obviously... but still worth noting), floor coverings, plumbing components (pipes, connections etc), electrical components (wire, connections etc), paint, water tank, garage door opener and possibly more that I haven't noticed. I don't think that's necessarily a bad thing, it's more about transport economies, and differing laws between councils and states.
The Bell River price list for built homes includes all of those items - except floor coverings.
For owner building consider the usual things like:
- Trades are infamous for being diabolically difficult to contact, predict, effectively communicate with and quality control. How are your management skills and anger/stress thresholds?
- Run up a spreadsheet of all the costs you'll need to meet for the build and be honest. Is "$20k" for the slab realistic - how much is site prep, piering, pre-plumbing, form work, concrete pump hire etc. Have you included safety fence hire, building permits, silt controls, port-a-loo hire, insurances, council inspections, service connections / relocations?
- Are you renting while you build, and/or paying to store your things? Owner building will typically take longer and will cost you here.
- Do you know enough about each trade to understand the finish you want, to give tradies clear instructions and quality control their work? If not, you'll probably do well to engage an inspector, trusted tradie or an experienced project manager (part time) to do this or advise you. How much will that set you back?
- The cost of mistakes and accidents. I have seen some recommendations to budget for 10% of the kit price to cover this.
- Impact to your day job. How's your boss or customer going to react to the third call you've had that morning about exactly where did you want that extra power point in the laundry, how the plasterers can't start the living room because the sparkies are still working on the other side of the wall space, and how the screws for attaching X to Y are the wrong guage.
- Pricing materials is easy enough, but don't underestimate the cost of labour in Australia.
There's more complete lists than that around the traps, they're just the big points I keep in mind.
For me, I'd love to owner build because I like the practical and holistic angle of getting involved in my own house. But I have to say it is probably beyond my experience, thresholds and available time.
Also, I think once you add the missing components to the kit price and compare that to the built house price, the difference doesn't look as bad.
Unfortunately I have to agree that in general the prices of steel framed houses (kit and project built) simply can't compete with timber framed. To this end Bell River have timber framed Value Plus design variations that might suit you. But if you want a steel framed house you'll need to admit that they cost more per m2 and the only way to get that down is to decrease the house size, level of inclusions or cost of labour (by owner building).
What is a kit home?
Kit homes are a type of prefabricated home with a DIY assembly element. Prefabricated structures are buildings which are manufactured off-site before being shipped and later assembled. The most commonly known types of prefab homes are kit and modular homes.
A kit home differs from a modular home in that kit homes are constructed onsite. Modular homes are manufactured and constructed off-site, arriving on the property fully formed. Modular homes / transportable homes are therefore designed with a focus on portability to account for the shipping, often making them easy candidates for relocation. By contrast, a kit home arrives on the property disassembled and the construction must be organised by the homeowner.
Homeowners with experience in construction may choose to construct the kit home themselves with all of the pieces that have been delivered. This will save a lot of money and is one of the reasons that kit homes are so popular in the current housing market. However, manufacturing companies will often have a construction branch or endorsed partners that can be contracted to assemble the home after delivery at the behest of the homeowner. While this does bump up the price, it does give the homeowner security of knowing everything will be up to code and that the house will be immediately fit for habitation.
That is another benefit to kit homes; their speed. Kit homes will often arrive in as little as a few weeks, making them an extremely speedy option when compared with the months of construction that a traditional house would take to build. Assembling a kit home is usually a matter of days, though naturally it can take longer depending on the size of the job and the competency of the DIY-er / contractor.
Kit homes have been steadily rising in popularity since the first World War. The post-war housing market was difficult to break into for first home buyers, leading many to turn to cheaper alternatives. The company accredited with manufacturing the first kit home in the world is American store Aladdin during the early 20th century. Their off-grid holiday cottage homes were popular among the middle class homeowners and have inspired the grand wave of kit home manufacturing across the globe ever since.
The main reason for the popularity of kit homes in a contemporary climate is their affordability. In an era of increasingly steep home prices (with frustratingly stagnant wage rates), many Australians are being priced out of the real estate market as first time buyers. Kit homes provide an alternative to this, sometimes available for as little as $10 per square foot for bare essentials.
Image: Kit Homes Nation-Wide
How much are kit homes?
On average, the cost of a kit home ranges from $40-$60 per square foot. A basic 3-bedroom kit home will begin at $53,400, though this is subject to change depending on the additions required to connect the home to the grid. Kit homes are usually quite small, so they are popular choices for couples, as second homes, or as Airbnb properties.
Really cheap kit homes Australia: 5 most affordable kit homes for sale
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To help inspire your budget kit homes purchase, here is an outline of the most affordable kit home designs currently available in Australia.
5. Brielle &#; Valley Kit Homes
Valley Kit Homes is a well known prefab house manufacturing company based in QLD with branches across Tumbulgum, NSW, Tasmania and WA. Valley Kit Homes has one of Australia&#;s most extensive kit homes catalogues, covering just about every popular house size and style (from granny flats to 4 bedroom houses).
The Brielle model, floor plan pictured above, is one of the cheapest kit homes on the market. With three bedrooms and 2 bathrooms in a 135.52 square metre area, this spacious kit home is available for $125,550 with an elevated floor and just $86,560 with a concrete floor.
4. Aitape &#; Valley Kit Homes
Another extremely affordable model by Valley Kit Homes, Aitape is a 3 bedroom, one bathroom house over two stories with a two car garage. This is a classic Queenslander style house with a fenced veranda, perfect for a small property with an ample backyard.
With an elevated floor, this home will cost $132,530. With a concrete floor, this home is priced at just $127,430. For more information on Australia&#;s best kit home manufacturers, see here.
3. Banksia &#; iBuild
iBuild building solutions is an award winning manufacturer and supplier of high quality kit homes, modular buildings, and steel structure. An Australian based company with a global reach, iBuild has the resources to produce high quality kit homes at affordable prices.
The Banksia model pictured above is one of their many 3 bedroom models, featuring a large kitchen, dining and living area with a total area size of 187.73 square metres. Banksia is available with a number of different inclusions, but prices begin at just $103,500. iBuild also provides the option of an on-site assembly service for your convenience.
2. Bolton &#; Wholesale Homes and Sheds
The Bolton is a marvel of modern kit homes. With 5 bedrooms, 3 bathrooms and a media room, this house is the height of luxury at a fraction of the price that a similar traditional home would cost.
Prices for the Bolton begin at just $128,199. Wholesale Homes and Sheds is a trusted Australian supplier of cheap house buildings with branches in QLD, NSW, Victoria, Tasmania, South Australia and WA.
1. Kilcunda &#; Imagine Kit Homes
This kit home model is an affordable and luxurious one storey home with 4 bedrooms and 2.5 bathrooms. Imagine Kit Homes is an innovative supplier and designer with a focus on customization.
With Imagine Kit Homes, you can essentially build your own home down to the slightest details including things like ceiling height, window glaze, cladding, floor base, and the cyclone safety rating. The Kilcunda model is available here from $138,668.
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