Welcome to Home Building Like a Boss, the podcast dedicated to helping first home buyers in Perth build their dream home with ease and excitement. I'm Jamie, your host and go to building broker. Are you ready to feel empowered, in control and excited about your building journey? I'll help guide you with expert advice, insider tips and tricks and real life stories to help you navigate the confusing world of home building.
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Hello, and welcome back to another episode of the podcast. This week, I'm going to be chatting to you about the term time is money and the way it's broken down or like viewed as a consumer. And the way as a builder on time is money. So you can get both aspects of what that means. And you would hear it a lot if you're looking at building or maybe chatting to builders and consultants and especially in this market at the moment, time is money.
So what does that mean? Essentially when you break it down at the moment, because everything is increasing in price, interest rates are going up, borrowing capacities are going down, there's a few things going on in the market. That if you don't make a move or you get in quickly and you're waiting that can cost you money.
Example A, either waiting and getting into the market six months later, building costs have gone up. Therefore, waiting six months has now cost you money and increase on building prices. Example B is the interest rates have gone up and your borrowing capacity has now dropped. Therefore, waiting that amount of time costed you that amount of money that you lost off your borrowing capacity.
So, this is super important to understand this in the building world and like when you're looking at getting in in property and looking at building, time does cost money. So, you want to make decisions that are effective. and efficient and you're moving through the process at a time that you are ready.
And this links back to, you know, my episode, one of the very first episodes that I did is when is the best time to buy. And the best time to build or buy is when you are ready. You can't time the property market. The right time is when you are ready. Now looking at this from a builder's point of view, time is money in that sense as well.
So now looking at this from a builder's point of view, the term time is money is also very relevant on that side of the building thing. So as a builder, you obviously want to move jobs and clients through the system efficiently and quickly to get them to site, to therefore get them through progress payments to get paid.
But also, You know, when things are delayed or they sit in pre construction too long, or things are taking time, prices are increasing in the background. Therefore, you know, you've quoted a job in, let's say now in February, and then it gets delayed to September. That's a huge price gap and a difference in price where the price has moved to.
So, you know. Trades are charging different rates at certain times, suppliers are charging different rates. So, you know, builders need clients to move through the system efficiently and effectively to be able to guarantee those fixed price building contracts and also to ensure they are delivering on what they promised.
Now, when you're looking at building and you're going display shopping, talking to builders, talking to consultants. This can be very tricky to manage, especially in the initial stages of your build. I met with a couple last week and I spoke with them on the phone a week beforehand. And in between the week that I spoke with them on the phone and the week that we caught up for an info session, they'd signed up with a builder, paid a PPA deposit.
They don't have a block of land. They have a sketch and a quote, but they're not quite sure they've paid a deposit. They don't really know what's going on. And that there is like a great example of how a sales consultant create that urgency and lock you into a PPA and a deposit without you really knowing what's going on.
So it's super important, obviously, as a buyer to understand you want to make decisions. efficiently and effectively, but there's a very fine line between rushing into things and making decisions effectively and efficiently. You do not want to be rushing into choosing a builder if you're unsure, or a sales consultant, or a design, or a plan if you aren't 100 percent and you don't fully understand it.
It's a very fine line between working out that happy median of you're moving through the process efficiently and quickly and at a good pace, but you're not rushing your decisions, especially at the start of the process. When you're working on your structure of your home and you really need to nail that.
Cause that's the stuff that's going to come bite you back in the ass later, because you can't change it. Your windows, roof, walls, doors, making sure you've got the structure and the bones and taking the time to go over it. Looking at your plan effectively and efficiently, you know, you don't want to sit on it for four weeks and not look at it, but you want to take a good amount of time for you to make the right decisions for you and your home.
Effectively and efficiently without being rushed, but it is a very fine line. You want to make sure you're moving through the building process effectively and efficiently, but you're not being rushed. And it is super important to understand that. And especially when you're in that early research phase, if you spend three to six months researching, look at, you know, how much time and money that has then cost you researching weekends and display villages, Googling like.
That, all that time and that research that costs money, and that's like another benefit of using a building broker is I'm and we're here to do that research and that nitty gritty for you. So you don't have to spend that time, which then results in wasted money doing all of that because you've got us here on your team helping you through that process.
It's come up quite a lot recently where I've had people that rushed into contracts or rushed in with signing builders and it's like, whoa, just back it up. And yes, time is money, but do not rush your decisions and make sure you're making the right decisions for you, the right builder, your plan is right.
Because in the long run that will also cost you more money and more time if you've made the wrong decision. with that too. If you're not quite sure where you are in your journey at the moment or if you need some help or this sounds like something that you know you need a bit of help with or more understanding, book a call in the discovery notes below and let's have a 10 15 minutes casual chat about where you're at and I can help break down the process a little bit more for you.
Thank you so much for tuning in to the Home Building Like a Boss podcast. I hope you enjoyed today's episode and learned something new. Remember, You've got this and I've got your back. Until next time, stay inspired, stay informed and stay confident on your building journey. I can't wait to chat with you on the next episode.
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