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We are at the point of deciding whether we opt for a fixed price from our builder or employ him (with his company) as the Project/Site Manager for our new build project (demolish bungalow and build 2 storey house). We accept that for a fixed price at this time he will have to build in a risk/contingency amount in the price because of the uncertainty over material prices over the period of the build - 48 weeks. He's set this at around 15%. The alternative is to pay him a fixed sum to project manage the build - with his team plus subbies. He will control the day to day work to stick to an agreed schedule, make sure all the trades work well together (and earn their money) and assure the quality of the work. He will also source all the materials, arrange Building Control visits/sign off etc. We will have an open-book meeting with him each week where he will report on how things are going - showing us the exact spend against the projected costs. If we are over, we either decide what can be saved from elsewhere in the build or dip into the 15% contingency that we will hold. Our concern is - will he be as motivated to stick to schedule and price if he is project managing? And if not, how do we incentivise him to do so? Grateful of thoughts? JAS

Planning Portal News: Law firm issues warning about material shortages: https://www.planningportal.co.uk/news/article/789/planning_news_-_19_august_2021?utm_source=PPQ+Newsletter&utm_campaign=7d3ef87406-Newsletter_11072019_HTML_COPY_01&utm_medium=email&utm_term=0_734e0b63a9-7d3ef87406-8680354#six

I’ve had varying conversations and trawled hundreds threads of built cost /m2 to try and rationalise my budget and reduce my overall anxiety towards price and also to be realistic. I think it’s important to be prepared upfront and if its not going to work reduce the house size from the outset. I’m shooting for £1200/m2 because it suits my ‘ideal’ budget of 240k for a 200 m2 house, which I believe to be a decent size, to suit my family, I have also allowed the obligatory 10% in reserve which will be ring fenced and only come into play if required. So theoretically you could say I’ve allowed £1320/ m2 But my concern is that it is my 1200 is driving that budget and house size. I’m aware that I wont know until the end that actual costs which could be much less going by some peoples build…but also could be much more. (I doubt I would breach 1700/m2). As much as I’d love an answer to exactly how much it costs I know those answers are purely subjective. But what I do want to understand is how others have approached this from the outset? Did you wing it and pray for the best? Did you plan thoroughly and then knowing you wouldn’t meet your budget reduce the house size before starting or did you plan to use that contingency? For context. My plan is to use a kit supplier to supply and erect a closed panel system, whether it be SIPS or Valutherm, get it wind and watertight then proceed with managing my own subcontractors. I don’t want the build to last years…ideally no more than 12 months. I will also correctly plan the build, schedule, cashflow and take the time to do this before even thinking of breaking ground to ensure we can derisk and identify as many problems beforehand rather than on the fly. I work full time, so it will be very difficult and we are prepared for this, ideally I’d use a main contractor but I want to avoid this to save costs…or is this just a false economy? So really….I’m asking how long is a piece of string??! I suppose my worry/anxiety/ panic is based around…what happens when it costs more…how did you deal with it. If you’d been naïve and hoped it would cost less but it cost more how did you remedy that situation?? Any pearls of constructive wisdom…greatly appreciated.