• Article by: Yovita Kwok

Builders are mainly divided into two categories- project builders and custom builders. Both groups have their own pros and cons. Having a good understanding of their pros and cons, will enable you to make a better decision at choosing a builder that is suitable to your current needs and circumstances.

Project Builders base their business on volume, which means they build a huge number of houses each year.

Project Builders build from their own set of designs. You can simply choose from one of the many pre-designed houses they have. However they have limited flexibility on design changes.

Project Builders can build your house at a relatively cheaper price due to the following reasons:

  • With the volume of houses they build each year, they are able to negotiate bulk discounts on the materials they use and discounts on sub-contractor labour rates.
  • They reduce overhead costs by limiting the client's input on the design.

Therefore if you are tight on budget and happy with their pre-designed houses, then they can be a good option for you. They can also offer house and land packages and possibly finance too.

With a Custom Builder you can design your home however you like as long as the final plans are in compliance with building regulations. The build can be customised to suit your budget and wish list.

  • They are more flexible when it comes to changes.
  • Custom builders normally have their own dedicated team of sub-contractors they work with, giving their building work a consistent quality.
  • They are more expensive than project builders and the price difference can vary quite high depending on which custom builders you go with. The high end custom builder will be more expensive than a smaller boutique custom builder.

The biggest mistake most people make is that they are not comparing quotes by the same type and class of builders. Always compare apples to apples - a project builder's quote to another project builder and compare a custom builder's quote to another custom home builder.

When it comes to the making the final decision always take into consideration the builder's quality of service, commitment, values and vibes


Yovita has worked in the building industry throughout her career. For more advice from her on choosing a builder visit


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Published: 25/05/2018
Author: Yovita Kwok