Extension quotes out of budget - why didn't I do it 3 years ago??

[HollyGoLoudly1]

We've been in our house about 4 years. Pretty quickly we started talking about a possible extension at which point we were given a rough estimate of around £40-50k for the build from a knowledgeable friend in the building trade.

Didn't get ourselves in gear until lockdown made us realise how much we really wanted the extra space - both WFH at the dining table, kids getting older and sharing one bathroom etc.

We now have plans we're happy with but the first couple of quotes are £70-80k I know raw materials have gone up, demand has gone up and of course prices have gone up but I wasn't expecting double the price. The architect warned us things are more expensive now but the quotes are higher than even he had expected.

Anyone else experiencing similar? Or have any advice? Or even better, does anyone have a crystal ball to see when/if prices will ever come down? We simply can't afford to do it at these kinds or prices and I'm feeling a bit sorry for myself (although I appreciate that I have a home and it's a very first world problem).

I’m in the industry, honestly it’s absolutely crazy at the moment. Just the availability of materials is an issue and then when you can get them they are 2-3x the usual cost. You may find things settle down next year when everyone has caught up a bit but honestly I can’t see it

Can you shop around a bit more? A neighbour has just had a quote for a loft extension that’s only £5k more than we had quoted 3 years ago (ours was £40k, hers was £45k) for an identical extension.

Do you think the new quotes could be based on builders trying to recoup some money? We were lucky in that our extension was half complete when the first lockdown happened so we weren't hit with additional costs (contract signed). But I know that the rise in material cost had an impact on our builders and I'm guessing they are now quoting jobs at a higher rate to make up for losses on jobs like ours.

Perhaps once they've made the money back the prices may settle?

Our work is in progress and I have just been chatting with a few of our trades. They were all comparing stories of ordering and picking up supplies that are either unobtainable or 2x 3x the usual price. I suppose with so many items unavailable it pushes up the demand and price for all the substitute materials.

No insight on the situation but they all agreed they don't see the prices falling as a likelihood...

@cleckheatonwanderer

Do you think the new quotes could be based on builders trying to recoup some money? We were lucky in that our extension was half complete when the first lockdown happened so we weren't hit with additional costs (contract signed). But I know that the rise in material cost had an impact on our builders and I'm guessing they are now quoting jobs at a higher rate to make up for losses on jobs like ours.

Perhaps once they've made the money back the prices may settle?

I don't believe builders are inflating prices to recoup losses. If that were the case they'd never get any work as they'd be too expensive against another quote.

Material costs have gone through the roof (no pun intended) and continue to rise every week but hopefully will be less volatile next year. There's no guarantee though.

A word of warning - go through the quotes very carefully. You may find the cheapest quote hasn't included the same items as other builders.

We lost a job as we were too expensive on the face of it, but found out later that by the time the cheaper builder had added extra costs along the way, it ended up slightly more than our quote that included everything. This caused incredible stress to the client who had to suddenly find the funds as the job progressed.

It's not just that building materials have gone up, it's that things are hard to source.

If you can't get something (say, plasterboard for example) , it holds the whole job up, meaning the electrician, plumber, painters are delayed, therefore the extra price also it to mitigate the risk of having to pay for these tradesmen despite there not being any work for them.

Thanks for the advice and insights everyone. We will revisit it next year if things have settled down a bit although I fear it won't be any cheaper as people are suggesting. At least we can save up a bit more and make a decision with some more money behind us.

@TimetohittheroadJack

It's not just that building materials have gone up, it's that things are hard to source.

If you can't get something (say, plasterboard for example) , it holds the whole job up, meaning the electrician, plumber, painters are delayed, therefore the extra price also it to mitigate the risk of having to pay for these tradesmen despite there not being any work for them.

Absolutely agree with this.

Jobs are held up and scaffolding and plant hire contracts have to be extended while waiting. Having plant sitting there unused but needing to be paid for is challenging. In some cases scaffolders need their kit back for other jobs so have to take it down and put back up which incurs a charge again.

@HollyGoLoudly1

Thanks for the advice and insights everyone. We will revisit it next year if things have settled down a bit although I fear it won't be any cheaper as people are suggesting. At least we can save up a bit more and make a decision with some more money behind us.

Sounds good.