Building Variations: What You Need to Know

When building a home, it’s common for building variations to occur after your initial quote. While your builder may provide a fixed quote at the start, unforeseen changes can quickly increase your costs.

Common variations include:

• Colours
• Flooring choices
• Extra power points
• Kitchen and bathroom finishes

At Central Coast Mortgages, we encourage you to plan for these potential variations upfront. If we know about these changes early, we can factor them into your construction loan, ensuring your loan covers the additional costs. It’s also a good idea to leave a small buffer in your loan to cover unforeseen variations that might arise.

The Importance of Planning for Variations

Variations often stem from personal preferences or recommendations by the builder to improve the overall quality of your home. Some common areas for changes include:

• Upgrading finishes: Opting for premium options like upgraded flooring or countertops.
• Additional features: Adding extra power points or lighting fixtures.
• Layout adjustments: Modifying room dimensions or adding storage features.

Our Tip: Before construction begins, make sure you know all potential costs. If your builder suggests changes during the build, ensure you have enough cash or financial room to cover them to avoid disruptions or financial stress.

Handling Mid-Build Variations

If you decide to adjust the building plan during construction, and those variations weren’t included in your loan, you may need to cover these extra costs yourself. This is especially true if there’s no contingency due to borrowing capacity or equity limitations.

This is why early communication with your builder and broker at Central Coast Mortgages is so important. We can review your budget and help ensure you're prepared for any changes that may arise.

How Central Coast Mortgages Can Help

At Central Coast Mortgages, we work closely with you to ensure your construction loan fits your needs. Whether you’re factoring in known changes or planning for a contingency for future variations, we guide you through the process. The more we know upfront, the better we can tailor your loan to meet your needs.

Final Thoughts on Building Variations

Building variations are a natural part of home construction but can lead to unexpected costs if not properly planned. By working closely with Central Coast Mortgages and your builder, you can avoid financial surprises and keep your project on track. Always consult your broker before committing to changes to ensure your loan covers any potential extra costs.

Serving areas such as Gosford, Terrigal, Davistown, Erina, Kincumber, Saratoga, and beyond, Central Coast Mortgages is here to assist you every step of the way in managing your construction loan and building variations.

Contact Katrina – Your Local Construction Loan Experts
Email: katrina@centralcoastmortgages.com.au to discuss your construction loan today!