When building a new home, utilities such as gas, electricity, water, telephone, fibre optics and sewerage are an important part of the construction process. But who pays for them during the build journey – you or the builder?
How can utility costs impact the final cost of your build?
Before signing a contract with your builder, ensuring you are equipped with the right information about your builder's responsibility vs yours when it comes to the cost of utilities is key. Generally, this type of information is advised at the contract stage and is set out in the specifications guide and the Housing Industry Association (HIA) contract. With Henley, the cost of usage throughout the build for electricity, gas and water forms part of a customer's responsibility.
Utilities often laid during new home construction include:
· Gas
· Water
· Electricity
· Sewerage
Because the installation process for each utility is strictly governed by local, state and federal government legislation, it makes sense that the builder oversees some of the utilities.
During the site preparation phase, most connections to the main grid networks are the same price regardless of your new home’s size and design. However, once construction begins, the final cost may be influenced by the number of rooms you want to be connected to and may be separate from the site costs. By law, you have a right to copies of any utility reports related to your property so you can ask your builder to view the utility bills along the build process.
How does it work for a house and land package or a knockdown and rebuild?
If you purchase an existing home and plan to complete a knockdown and rebuild project, it’s important to know before purchasing the block whether utilities such as electricity, telephone and sewerage are connected, as you may be responsible for organising connection and the cost of these. You also need to disconnect certain services during the demolition stage, so it's best to do your research to find out what’s involved during demolition.
For new residential estates, it’s often the case that blocks of land are fully serviced and ready to go. However, if you choose to build on a rural block, you may be responsible for installing power, which gets expensive if the house is positioned away from the road, as the power lines from the road to the house are often considered private property and the responsibility of the land owner.
What about solar as a utility?
As we all aim for healthier, more sustainable homes, it’s important to consider the part you want solar power to play in your design. Before signing the contract and commencing the construction, decide whether you are going for solar and at what stage of the build you will install the utility. By including solar at the design and construction stage (rather than as an add-on after you’ve moved into your home) you can provide a cleaner and neater install, which is often more affordable too. If you are adding a solar system, then you may want to consider going for an all-electric home. This can influence other aspects of your design, for example, the hot water system can come with a solar thermal plate, which uses the sun’s heat to preheat the water and results in less gas being used.
When is each utility laid in the build process?
Each utility has its own unique timeline, regulations and costs. For example, gas and fibre optic connections are commonly laid early on because they are part of the first stage of earthworks that happen as you prepare a block of land for construction. When laying cables, you also want to be across their positioning and record them yourself - as this can impact future projects such as installing a pool.
Just before the completion stage of the build is the ‘fit off stage’, which is when the building team will ‘fit off’ all the plumbing and electrical connections to get it ready for your home to be lived in.
What’s the cost of connecting utilities when it’s time to move into your new home?
At this point, certain utilities will also need to be connected with a preferred supplier, such as telephone, internet and solar, so that you can move in and enjoy your new home straight away.