Can you trust the cost reports on DA applications?

Discussion in 'Development' started by Kramerica12, 1st Aug, 2021.

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  1. Kramerica12

    Kramerica12 Well-Known Member

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    13th Oct, 2019
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    sydney
    As part of the DA applications that are publicly available on the council website I am looking at, they often publish the cost reports. Can you trust these cost reports as the likely cost of building the new dwelling? I see they don't contain a contingency, so would you take the amount and add 5%/10% and take that as a reliable figure?
     
    Kramerica12, 1st Aug, 2021
    #1
  2. unicorntears

    unicorntears Well-Known Member

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    Sydney
    No. The DA fee is based on the expected cost of the works, so there's an incentive to minimise it. Expect the actual cost of some developments to be 2-3x the cost summary.
     
    unicorntears, 2nd Aug, 2021
    #2
  3. Redom

    Redom Mortgage Broker Business Plus Member

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    No not at all, some owner builders I see have significantly lower costs on those reports than actuals retail rates.
     
    Redom, 2nd Aug, 2021
    #3