FAQs.
Find Answers to Your Questions About Custom Home Building in New Zealand with BuildtechNZ’s FAQs.
From design to construction, our team of experts provides insights and solutions to the most commonly asked questions about building new homes in New Zealand. Whether you’re a seasoned builder or a first-time homeowner, our FAQs offer valuable information to help you make informed decisions about your dream home.
Browse our FAQs now and let BuildtechNZ be your trusted source for all things building in New Zealand.
1. Where do I live during the course of my build?
There are options depending on your available funds:
- Delayed settlement – In the ideal world delaying the settlement on your existing home to give you time to build then shift directly into your new home is best. This is not always an option but if it is – its great!
- Renting – Renting a house temporarily to tide you over from when you shift out of your existing home until you shift into the new home. Usually your builder will be able to give you an expected delivery/move in date on your new home. If you allow 3-4 weeks over what your builder says for potential delays caused by council, bad weather, material delays, and other unforeseen delays. Its better to secure your rental for a longer period than needed and pull out early if possible than to try and extend your rental agreement.
- Staying with family – if this is a possibility it is by far the cheapest option! If you have parents or other family who are family to provide space for you and your family it’s a great idea.
2. What does the builder do and what do I need to do on my build?
This depends on what has been agreed in your written contract. It is very important to set aside time to read your contract carefully and make a list of questions of things that you don’t understand or need more information. Most home building companies offer a turnkey solution providing everything that is required for you to live in the home. In most cases the builder will look after all council requirements and consents and organise all trades.
Common exclusions are drapes/curtains, landscaping, and exterior concrete areas like driveways and paths. Some companies exclude heating and cooling and floor coverings from their contract which is why it is very important to read your contract carefully.
3. The top 5 potential problems with building a new custom home?
Every home is different but there are some commonly faced issues that apply across the majority of custom builds:
- Budget/Design out of line
When your budget doesn’t allow for all the bells and whistles of your design, the solution is to scale back. Oftentimes homeowners design their dream home without ensuring that their plans and budget are in sync along every step of the design phase. This can be incredibly frustrating once they finalize their plans and receive a fixed build contract for their home that exceeds their desired budget. The trick is to speak with your builder early in the design phase so that they can provide updated estimates for every part of your plans. If at any point your home design and budget get out of sync, the misalignment will be caught quickly and tweaked before your plans are finalized. The builder will be able to work with you, and the designer – listening to your priorities then guiding you on where to spend, where to compromise, and which materials and/or design elements will maximize value. Putting in the extra work during this critical phase to ensure design/budget alignment will pay dividends in the long run by avoiding budget busts or the need to make undesired design compromises later. This stage can also have a significant impact on your resale value and the return you get on your investment.
- Consent/Permit Delays
There are two things to know about permits. The first is that your builder should take care of all permits, Council approvals, and inspections. This is part of their job. Confirm with your builder that this is the case and inquire at the start about Council permit and approvals processes and timelines. The second thing is that permits nearly always take longer to secure than you think they should. This is frequently because of the bureaucracy involved in issuing them, but by keeping in touch with your builder about permits and upcoming inspections, you’ll know what to expect – and who to talk to if there’s a delay or a problem with any inspection. Avoid unnecessary costs and delays by choosing a builder who has experience successfully navigating permits, and approvals. Also remember that a lot can be accomplished while waiting on permits and approvals. A proactive and organized custom homebuilder will be organising sub trades, organising materials and starting to work with you on selections. - Delays caused by Material Selections & Lead Times
Benchtops, cabinets, sinks, flooring, hardware/handles, fixtures, colours and virtually everything you can think of that’s going to be in your home needs to be decided and ordered early in the process. While your builder is likely to be taking care of the vast majority of these decisions – you will undoubtedly be required to make a fair number too. It can sometimes take weeks or even months for your material orders to be fulfilled, and sometimes materials are out of stock. Without the right materials, your builder can’t work. An organised builder will have them before they’re needed in order to help keep your timeline on track. For selection decisions that you are required to make, make your final decisions early. Your builder should give you a comprehensive selections sheet with specific deadlines on when decisions need to be made so that you know what decisions to focus on when. If they don’t provide you with this document and guidance, stay ahead of them and ask for it. The decision-making process can be overwhelming. Give yourself plenty of time to consider your options, ask questions, do research, and make your decisions. Then, do your best to stick to those decisions… regular mind-changing is known to be the number one destroyer of build schedules. - Design Variations
enchtops, cabinets, sinks, flooring, hardware/handles, fixtures, colours and virtually everything you can think of that’s going to be in your home needs to be decided and ordered early in the process. While your builder is likely to be taking care of the vast majority of these decisions – you will undoubtedly be required to make a fair number too. It can sometimes take weeks or even months for your material orders to be fulfilled, and sometimes materials are out of stock. Without the right materials, your builder can’t work. An organised builder will have them before they’re needed in order to help keep your timeline on track. For selection decisions that you are required to make, make your final decisions early. Your builder should give you a comprehensive selections sheet with specific deadlines on when decisions need to be made so that you know what decisions to focus on when. If they don’t provide you with this document and guidance, stay ahead of them and ask for it. The decision-making process can be overwhelming. Give yourself plenty of time to consider your options, ask questions, do research, and make your decisions. Then, do your best to stick to those decisions… regular mind-changing is known to be the number one destroyer of build schedules. - Unexpected Costs and Delays
Even the best-organised house plans face delays and unexpected costs. Before beginning your build, talk with your architect and builder about what can come up and how much to budget for unforeseen costs. Delays happen for all kinds of reasons – sometimes world markets, natural catastrophes, pandemics (Like COVID) that don’t seem to impact you at all can still impact the construction of your home. Just as you will have with your financial budget, give yourself a cushion in your timeline beyond the given delivery date. A great way to get ahead of these unexpected hassles is to be in constant communication with your builder, always ask for next steps, and do regular walk- throughs with them. Some custom home builders will offer a zero cost overrun guarantee which applies to anything in your contract however Its unlikely that you will entirely avoid extra costs and delays. An extra light here and an extra switch there is a variation to the original plan and contract and will still cost you more but together you and your builder can minimize them.
4. What are my selections and what options do I get?
Each home builder will differ in what they offer as selections. If you have ideas that you really want included around items like tapware, appliances, or Finishings it is important to raise these in your initial conversations with the company you have chosen to build your home. It is also wise to keep your own notes of conversations that you have had with the company so you can make sure both parties understand what it is you are after.
Common exclusions are drapes/curtains, landscaping, and exterior concrete areas like driveways and paths. Some companies exclude heating and cooling and floor coverings from their contract which is why it is very important to read your contract carefully.
5. Can I make variations during the course of my build?
Usually yes. Bear in mind some companies do not like this and will make it very hard. It is recommended that you sort as many details as you possibly can prior to starting your build as variations can be expensive once the build has started. Superficial variations (like colours, floor cladding types, or upgrading tapware) during your build should be relatively simple and (depending on what you chose) in most cases relatively inexpensive. If your variation includes changes to the framing of your home it could be very costly and could involve an amendment to the plan in council which costs both time and money. If cost is not a concern most variations should be doable.
6. If I have trades that I would like to use on my new home am I able too?
Usually yes. While the home builder is likely to have trades that they have good relationships with, they will usually be open to having others provide them with quotes to do the work. If they come within the amount that your home builder has allowed for that particular trade or part of the build, they will more than likely use them. If they are more expensive, they may give you the opportunity to pay the difference otherwise they will likely use their preferred trades.
7. When do I need to sign the contract to start my new home build?
Your building company should make it very clear at what stage you are required to sign the build contract. Some building companies will require payment prior to designing any plans and then a further deposit for the main contract(we don’t – our plans are free! And no contract will be signed until plans are finalised).
8. If I chose to use a plan from a home that has already been designed, can I make changes to it for my new home?
Yes, 90% of the home building companies out there will allow for this with varying degrees of cost for the changes. If your home builder is a custom home builder this should be included in your build price and they will likely allow as many changes as you require.
9. What does NZ3604 floor mean?
NZ3604 is New Zealand’s most common residential building standard. It provides methods and details that are used to design many NZ timber-framed houses. The majority of residential building foundations in New Zealand are constructed to comply with Building Code Acceptable Solution B1/AS1, which cites NZS 3604:2011 Timber-framed buildings. The standard provides prescriptive details for constructing seismically resilient slab-on-ground foundations and pile foundations. More information around the NZ3604 standard can be viewed here
10. What guarantees will my new home have?
Under NZ Law a builder’s duty is shaped by “implied warranties” provided by the Building Act. This requires your home building company back the material and workmanship of your new home for a minimum of 10 years. Third Party Building Warranties and are they useful? While it’s mandatory in many Australian states, it is still not required in New Zealand. Given the current skills shortage, it is very unlikely that a mandatory scheme will be introduced. While this is not a nice fact to advertise, the pressing need for a mandatory scheme is made clear by the fact that over half of all construction companies in New Zealand will have closed after just four years. And 75% will have failed within 10 years. This has led to two main products being developed by the building industry bodies – New Zealand Certified Builders and the Registered Master Builders Association. There are obvious concerns with this industry self-regulation approach and how this actually supports the customer. It’s highly questionable if this system has the resources to sustain a widespread ‘run’ of claims. In order to combat this concern and protect our clients, we have committed to an independent building insurance provided by BuiltIn Insurance (https://builtininsurance.co.nz/10-year- guarantee/). This extended cover gives you extended peace of mind for your new home build.
11. Do I get to visit my new home during the course of the build?
Absolutely! Most building home companies will require you to only visit site when one of their staff are also onsite. This is mostly for Health and Safety reasons and also to prevent confusion with the trades that are onsite. This is a super exciting time, turf has been turned on your new home, and the build has officially has started. You and the family are eager to see each stage of the progress and want to be involved as much as possible. While visiting your new home during the build can be very satisfying, it can also be dangerous; in fact, builders are required to take safety precautions and limit access to construction sites. Insurance companies also limit access, because it’s seen as a liability. With all of that said, we know that as a new homeowner, you’re still excited to see the progress of the home build, so we have a few house rules:
#1 Make an Appointment
Firstly, always make contact with one of team to book an appointment before visiting you home. Your home’s build site is now a work zone and can be dangerous. Calling in without notice can not only be dangerous but also a liability. When you make an appointment first, it means we’re able to prepare the site to ensure everyone involved is safe and aware of what is going on.
#2 How Often Should You Visit?
Some homeowners want to visit every day – or even multiple times a day – but this just isn’t a reasonable way to see progress. In fact, visiting too often will likely cause the builder and the homeowner stress, making handover not as enjoyable as it should be. To really see progress, visiting once a week is a good idea. We see that most homeowners visit probably once a month and really get to see progress. On the other end of the spectrum are homeowners that don’t visit at all. This makes it hard for everyone involved because things get missed and particulars don’t get defined. We encourage homeowners to visit their homes so we all have clear communications. The critical visits are before in-wall plumbing and electrical go in, before internal GIB linings go up, and the final walk-through just before handover.
#3 Family and Kids
Wanting to show off progress to family members is very normal, but too many people on a job site can be dangerous and hold up progress. Limiting visitors to 1or2 is preferred. Homeowners often times ask about bringing children, but that’s not recommended. Decks may not have railings, stairwells may not have stairs, and nails may be on the floor; simply put, a new home build is not an ideal area for children.
#4 Timelines
All the trades on the work site are trying to meet timelines and stay on schedule. There are a lot of fast-moving parts, lots of trades involved, and lots of things to manage. We always have a main building contractor on the work site, but it’s his job to make sure all of those moving parts stay moving. He’s happy to answer your questions, but understand he also has to keep things moving to ensure your home is finished and ready by the expected date
#5 Safety when Building a New Home
Our trades meet regularly to ensure safety measures are taken to keep the entire team and site safe, but also to ensure guidelines are met and the site maintained. For us to ensure those safety guidelines are met, we walk with homeowners to ensure we keep them safe as well. We also encourage our homeowners to wear clothes they don’t mind getting dirty and closed-toe shoes – sandals, jandles, high-heels, open-toed shoes, and thinly soled shoes are not appropriate.
#6 Keep Notes and Take Pictures
All the trades on the work site are trying to meet timelines and stay on schedule. There are a lot of fast-moving parts, lots of trades involved, and lots of things to manage. We always have a main building contractor on the work site, but it’s his job to make sure all of those moving parts stay moving. He’s happy to answer your questions, but understand he also has to keep things moving to ensure your home is finished and ready by the expected date
#7 Ask Questions
The best thing about having a member of our team walk through with you is we can answer your questions there and then. We’d prefer you know what it is that is going on so you understand the process, instead of being worried that something is wrong. Its quite common for homeowners to see something that they think looks odd or unusual and give themselves unnecessary worry. When we walk through the build together, we can help explain why certain things are done a particular way.
12. How do I know what my home will look like before it is actually built?
Most building companies will provide a minimum of elevation drawings with your plans. Elevation drawings give you what your home will look like from the North, East, South, and West sides. Some companies will also provide you with 3D drawings which give you a more realistic view of your home from any angle. More advanced companies will also be able to provide you with interactive 3D videos.
14. What is the average square meter rate for a new home build?
This is a common question with a not so easy answer. A standard spec home with a standard ex website plan will likely be around $2,850 to $3,200 a square meter to build. If you are looking for a custom build home with unique features and specific requirements you are likely, be looking at $3500 + a square meter.
15. How much will it cost to build my new home?
Spec is a very important point when answering this question. What spec are you expecting? Is your home a starter home level or a custom build premium level? A standard turn-key home build with a standard ex website plan will likely be around $2,850-$3,200.00 a square meter to build. If you are looking for a custom build home with some unique features and specific requirements you are likely, be looking at $3200 + a square meter. Oftentimes homeowners design their dream home without ensuring that their plans and budget are in sync along every step of the design phase. This can be incredibly frustrating once they finalize their plans and receive a fixed build contract for their home that exceeds their desired budget. The trick is to speak with your builder early in the design phase so that they can provide updated estimates for every part of your plans. If at any point your home design and budget get out of sync, the misalignment will be caught quickly and tweaked before your plans are finalized. The builder will be able to work with you, and the designer – listening to your priorities then guiding you on where to spend, where to compromise, and which materials and/or design elements will maximize value. Putting in the extra work during this critical phase to ensure design/budget alignment will pay dividends in the long run by avoiding budget busts or the need to make undesired design compromises later. This stage can also have a significant impact on your resale value and the return you get on your investment.
16. I don’t have a home design for my new home build, where do I start?
There are several ways to get your thoughts, ideas, needs, and wants down on paper. Most New Home building companies will have inhouse designers that are employed to help you crystallize everything that is going around in your head. You could also engage an independent architect directly to help with this. A great place to start is to go online and search house plans – we have a few on our website that may help for idea generation – this is excellent for helping to solidify ideas and give you new idea’s. With us the planning and design stage of our builds is completely free! If you have ideas and things that you would like to include in your new home build it is important to speak with your builder early in the design phase. Keeping some form of scrapbook of your ideas (Online or hardcopy) is a great way to help your builder understand and get a feel for what you are after.
17. Do I need a section before I can start working on designing my new home?
While It’s not absolutely essential, it does help a lot if you do. You can design your home then find a section that will work for your design or the easier process is to identify the area that you wish to live in, find a section, and work with the dimensions to custom design your dream home. Our design team can assist on this – they do it all day long. Some companies will offer house and land package deals – these are mostly set plans and are unlikely to have a great deal of customization allowed. Our team are happy to assist with finding you a section by working with real-estate agents.
18. Are there any hidden costs with a Fixed Price build Contract for a new home?
Some companies say that there are no hidden costs…..however, you need to be aware there can be some ‘unknown costs’ – these will usually be included in your contract with a (PC sum – provisional cost sum). Certain items for example – if the kitchen design has not been finalised, or your ground has not been tested by an engineer. PC sums can change so you will be wise to allow a buffer in your budget for these. Your new home builder should be able to give you some idea of what factors could influence the PC sum amounts so you can include a realistic buffer.
19. Can I use an Architect to draw up the plans for my new home?
Absolutely! If you have a preference to design your plans with an independent Architect, you can go ahead and do just that! We have a team of Design and Build specialists with a strong focus on building you a new home that is unique to you, your family and your lifestyle. During the design and build process we enlist the services of an Architect or Architectural designer to complete the concept and working drawings for your home design.
20. What is the difference between a ‘Fixed Price’ and a ‘Labour Only’ contract for my new home build?
Fixed Price Contracts – You and your new home builder will agree on the total cost of building your home and sign a contract, based on your plans, specs, and your site. The contract specifies any work which is excluded or may be subject to cost variations, so it’s important you allow for these in your budget. Your builder should be able to give you a good estimate of pricing for what is excluded or listed as a PC sum. Fixed price contracts for building usually set out a schedule of progress payments, which you pay when your project reaches certain milestones. Common milestones are when you give the go ahead for the project, when the floor pad is complete, when framing and trusses are up, when the roof is on, when internal linings have been complete, and of course when the project is complete. A fixed price contract gives you more certainty with costs than a labour-only contract and reduces the risk of cost over-runs.
Labour only Contracts – Labour only contracts are usually open-ended. Your builder simply charges you for all labour and materials, and bills you regularly until the project is complete. It is a very simple approach, but it has potential to leave you with significant cost over-runs and blowouts if anything unexpected happens. It could also mean you pay more if your house takes longer than expected to build or if costs increase during construction.
21. KiwiSaver HomeStart Grant when building a new home
This is definitely something you need to consider! You could be eligible for a KiwiSaver HomeStart grant of up to $10,000 when building a new home.
If you’re building or purchasing a newly built home with someone else and they are also eligible, you could get up to $20,000 between you. Check here (http://kiwisaver.govt.nz/new/benefits/home-sub/) to see if you and the property might be eligible.
22. Do I have to deal with any of the trades onsite at my new home build?
No, dealing with trades can be stressful especially when managing tight timelines and schedule blowouts. Most custom home builders will include project management as part of their contract to take that stress away from you. You will need We prefer that all communication comes via us to each of the trades so nothing is missed and this also saves any confusion.
23. Do I need to deal with council for my new home build?
It really depends on who is managing your build. Some architects and design & build companies can organise the entire process, while others will require you to make the initial submission and book inspections for each stage of the build. Therefore, it is very important to check what’s included in your build contract.
24. What happens if I am not happy with some things on my new home build?
This is another reason it is good to go with a company that can organise and manage your full build package. It is NZ law that your main contractor must fix any defective building work or remedy any defective product notified to them within 12 months of the completion of the building work. They are also responsible for the work done by subcontractors. After this 12 month period your rights and obligations will depend on the contract with your building company or builder. It is best practice to discuss progress and concerns that you may have at milestones in the project, including the quality of the work. It will be much easier (and more time and cost effective) for your builder to repair any defective work or products as they go.
25. When will payments be required on my new home build?
Quite simply, you get mortgage approval for the cost of the whole project upfront from your bank, then the funds get released in stages as payments become due. Your deposit gets paid at the first payment – this will vary depending on your building company. The first payment you’re likely to make is for the purchase of the section. Once construction has started, you will be required to make payments at certain stages. Our progress payment are generally required as follows:
a. Deposit
b.Floor Down
c.Frames & Trusses Installed
d.Roof Installed
e.Exterior Joinery Installed & home wrapped
f. Exterior linings Complete
g. Plumbing & Electrical in-wall Install
h. Interior Linings Complete
i. Painting Complete
j. Floor Coverings Complete
k. Handover
The payments should be relatively easy to organise; it requires sending the invoices for each stage of your build to the bank as they become due.
26. What are the advantages of building a custom home?
Many homes are built by home building companies that use pre-set plans and designs. If a buyer purchases one of these homes before it’s finished, he or she may be able to choose to change or alter a few design elements. With a custom home, your custom home builder builds a home specifically for you, and you can choose to use them for the design or engage an architect to design it. Custom homes provide consumers with the opportunity to control every aspect of the design, including how big the rooms are and where they’re located, as well as architectural details such as lighting and plumbing fixtures. You can specify any types of building techniques or materials you want the builder to use, such as incorporating environmentally friendly products and design. In most cases, custom home builders build on land the home buyer already owns. Some developers sell fully serviced lots specifically for custom home builds. This makes it easy to build a custom home since the lot is construction- ready and builders can focus purely on the design of the home. You’ll also need to research zoning restrictions with your local council or a developer (some custom home builders will sort this for you). A custom home is typically more expensive than a home built by a production home building company. However, you also have more control over the process. That is because you’re getting a one-of- a-kind home built according to your requirements.
27. What standards will my new home have?
That will depend on the architect or engineer that has designed your home however the majority of NZ timber-framed houses are designed using the NZ 3604:2011 standard. All trades that are used to build your home will be required to certify their own work and will be registered and certified to their particular trade. For example, trades used on the structure of the home will be certified LBP (Licenced Building Practitioners).
28. How much does it cost to include underfloor heating in a new home build?
It is common for underfloor heating to be considered a more luxurious form of heating, mainly because the upfront cost of installation is considerably higher than other systems generally used to heat your home. Some benefits of underfloor heating are; hard floor surfaces are warm to the touch, the system is completely silent, with a complete home instillation there is no warm air being blown around your home, the system does not take up any wall space, and is completely hidden from view.
Underfloor heating will vary based on the flooring areas that you would wish to heat and the type of heating you are after. To give a very rough indicative price it will be around $150-$200 a square meter for an on-floor option or $115-$150 for a full house in slab system installed. There are multiple options depending on your requirements – I have listed a few options below:
On slab systems:
https://www.warmfloornz.com/ In slab systems:
https://warmth.nz/ https://www.sunflow.co.nz/about/
29. How do I budget accurately for my new custom home build?
There are a number of factors that are important to keep in mind when building. The construction of your home is only one part (admittedly like the most significant part) of successfully living in your new home. You will also have things like; landscaping, garden sheds, clothes lines, a letter box, drapes & curtains, furniture, and paths & driveways that you need to make sure are included in your budget. Once you’ve started your build process you’ll almost certainly get ‘light bulb moments’ and change your mind about something, maybe even a few times. It is important to allow some money/a buffer for these variations as your build progresses. Some common areas that are changed or upgraded during custom home builds are; Kitchens, tiles & flooring, feature lighting, tapware, internal feature walls. Your custom home builder will have a PC sum allocated for these areas that are likely to change and will usually be happy to tell you what these are and let you know if something is a variation to your contract. Having some form of budgeting for and tracking costs throughout your build is a great way to manage your custom home build – even a simple excel spreadsheet can be an effective tool!
30. Does the site for your new home build need piling or an engineered floor design?
Firstly! don’t let this stop you building! If you have found or already own a dream site that requires an engineered floor design don’t sell it just because it requires a specialist floor. It is worth engaging with a home building company or an Engineer to do soil tests and give you recommendations. A lot of builders will freak out at this stage as it adds a level of complexity to the build project. When you know what you’re doing, its not that big a deal and any good custom home builder will have engineers and qualified partner companies that they use to design these specialist floors. Sites that require an engineered floor can often be a great opportunity for when it comes to resale as people are often hesitant to purchase these sites due to the fear of the unknown. If you are willing to do the hard yards it usually pays off.