Builder's Quote Template (NZ): How to Quote Construction Work

Building quotes carry more moving parts than most trade quotes. They need to cover prime cost items, provisional sums, a progress payment schedule and variations. Here is how to lay one out clearly for New Zealand residential and renovation work.

What a builder's quote must include

• Your Licensed Building Practitioner (LBP) details. Restricted building work in New Zealand must be carried out or supervised by an LBP, so show your licence on the quote.
• GST number (from IRD) and business name.
• Quote number and date.
• Expiry date, building material prices move around, so 14 to 30 days is sensible.
• Client and site details.
• Itemised scope, set out by trade or by building stage.
• Prime cost (PC) items and provisional sums, clearly named and explained.
• Progress payment schedule.
• GST at 15%.
• Exclusions and assumptions.
• Start and finish dates (where known).

Prime cost items and provisional sums

Prime cost (PC) items cover selections the client has not made yet, such as a kitchen sink, tapware or tiles. Quote a PC allowance (for example, "Kitchen sink PC $350") and adjust it up or down once the actual choice is made. Your margin on supply and install sits separately.

Provisional sums (PS) apply where the scope is not yet pinned down, like "Earthworks PS $9,000" before the ground conditions are known. Keep these as honest estimates rather than lowball numbers used to win the job.

Be upfront with the client about which figures are allowances, and notify them before any allowance is exceeded.

Progress payment schedule

For a residential build, a common schedule looks like this:

• Deposit on signing: 5 to 10%
• Foundations or floor complete: 15 to 25%
• Frame complete: 20 to 25%
• Closed in (roof, windows, external doors): 20 to 25%
• Fit-out (kitchen, bathrooms, flooring): 15 to 20%
• Completion: remaining balance

Renovation work usually runs a simpler schedule. Deposit, mid-point and completion is common for smaller jobs.

Pricing building work

Builders generally price from a schedule of quantities or a schedule of rates. For residential renovation work, the usual approaches are:

• Rate per square metre, for similar-scope work where you have past figures. New Zealand residential extensions commonly run $3,000 to $5,500/m2 depending on the finish level and region.
• Trade-by-trade pricing, gather quotes from subcontractors, add a margin (often 15 to 25% on sub contracts), then add your own labour for the work you do directly.
• Cost-plus, the cost of all labour and materials plus an agreed margin. Transparent, but it relies on client trust and tidy record-keeping.

Exclusions on a builder's quote

• "Subject to building consent. Council timeframes and any design changes required are outside our control."
• "Assumes the existing structure is sound. Variations may apply if concealed defects are found."
• "Does not include removal of hazardous materials (asbestos, lead paint), to be quoted separately if found."
• "Landscaping, fencing and driveway are not included unless listed."
• "Provisional sums are estimates. The client will be notified before any allowance is exceeded."
• "Assumes treated timber to H3.2 or H4 where exposed, and framing to NZS 3604, unless specified otherwise."

Building consent and the Record of Work

Restricted building work in New Zealand needs a building consent from the local council before work starts, and the LBP who carries it out must provide a Record of Work on completion. The build must comply with the New Zealand Building Code, with timber framing to NZS 3604 and treated timber (H3.2 or H4) used where exposure requires it. Your quote leads into the building contract, and the contract governs the build, so make sure the consent responsibility and any council fees are clearly addressed.

Related guides

• Bathroom Renovation Cost in New Zealand

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