When planning a renovation or new build, one of the first big decisions is whether to take on the project yourself as an owner builder, or to work with a licensed builder. Each option has pros and cons, and the right choice depends on your skills, experience, and how much time you’re prepared to commit.

Going Owner Builder

As an owner builder, you take full responsibility for the project — organising trades, scheduling work, sourcing materials, and managing compliance.

Potential benefits:

• Save on builder’s margins.

• Have complete control over the process.

• Gain a rewarding hands-on experience.

Challenges to expect:

• Managing a build is essentially a full-time job.

• Requires strong trade knowledge and project management skills.

• Higher risk of delays, budget blowouts, or compliance issues.

• Full legal responsibility for safety and standards.

• May affect resale value if buyers are wary of owner-builder homes.

Choosing a Licensed Builder

Hiring a licensed builder shifts that responsibility to a professional who’s trained, insured, and accountable for the quality of the work.

Key advantages:

• Peace of mind knowing compliance and safety are handled.

• Access to reliable trades and established supplier networks.

• Insurances and warranties that protect you long after handover.

• Greater efficiency, fewer costly mistakes, and less stress.

The trade-off:

• It costs more upfront, but you’re paying for expertise, accountability, and a smoother experience.

Our Advice

Every project is different, and there’s no one-size-fits-all answer. If you’re highly experienced, have the time, and are comfortable taking on significant risk, the owner-builder path can work. But for most homeowners, especially on larger or more complex builds, the safer and more cost-effective option in the long run is to partner with a licensed builder.

At Delaney Construction Projects, we believe your home deserves nothing less than the highest level of care, expertise, and craftsmanship — giving you the confidence that your project will be delivered to the standard it deserves.

When it comes to starting your build, there are two critical milestones: having everything approved so construction can legally begin, and having enough detail locked in so your builder can accurately determine costs.

Before Construction

To break ground, you’ll need more than just a design idea. The following documents and approvals are typically required:

• Architectural Plans – Detailed drawings of the proposed design.

• Engineering Plans – Structural details such as footing design, framing, and load-bearing elements.

• Boundary Survey – To confirm property lines and avoid disputes.

• Development Application (DA) Approval – Council approval for the proposed works (if required).

• Construction Certificate (CC) – Issued after DA approval, confirming your plans comply with building codes and regulations.

• Stamped Plans by Certifying Authority – The official “green light” to begin work.

With these in place, your project is legally ready to move into construction.

Before Costs Can Be Determined

To prepare an accurate estimated cost breakdown and develop an initial budget, builders only need:

• Architectural Plans

• Engineering Plans

These give enough detail to price up the structure, site preparation, and general requirements of the build.

While approvals (DA, CC, stamped plans, etc.) aren’t strictly required at this stage, they are helpful—because they show the project can legally proceed. This saves everyone from investing time in a detailed quote for something that may not get council approval.

If you’re aiming for a fixed-price contract, you’ll need to go a step further and finalise:

• Electrical and Lighting Plans

• Cabinetry and Joinery Drawings

• Fixtures and Fittings Schedules (bathrooms, kitchens, laundry, etc.)

• Finishes Selections (Mouldings, flooring, paint, tiles, hardware, etc.)

The more selections locked in, the more precise the contract sum can be, with fewer provisional allowances.

Our Advice

Think of it this way: plans and engineering are enough to budget, but approvals prove the job can be built, and selections give you cost certainty. The more you’ve finalised before quoting, the smoother the process will be from start to finish.

Choosing the right contract type is one of the biggest decisions you’ll make. Both fixed-price and cost-plus contracts have advantages — the best choice depends on your project type, the level of detail in your plans, and how much flexibility you want during the build.

Understanding the Two Models

Fixed-Price Contract
A lump sum is agreed at the start of the project, covering all labour, materials, and services. In theory, this gives you cost certainty upfront.

Cost-Plus Contract
You pay the actual cost of materials and labour, plus a fixed builder’s margin. This keeps everything transparent and flexible, adapting as the project evolves.

When Fixed-Price Works Best

A fixed-price contract can be a good choice when the plans are mostly complete and contain a solid level of detail. The more information provided upfront, the more accurate the price will be — reducing the risk of provisional sums or unexpected variations throughout the project.

for example, if an Interior and Exterior Item Schedule is supplied at quoting stage, that may include:

Interior

Plumbing and electrical PC items,- Electrical and air-conditioning plans - Cabinetry plans - Nib walls, bench seats, study nooks - Stairs, balustrades, and handrails - Internal wall linings - Feature walls - Architraves and skirting boards - Cornices - Square set finishes - Doors, hinges, and hardware - Thresholds - Tiling - Tiling heights and locations - In-wall shelving and shower niches - Floor wastes - Flooring - Paint types and colours - Fireplaces - Blinds and shutters

Exterior

Bricks & mortar - Concrete slab finish - Windows and doors - Window and door hardware - Garage doors - Exposed frame or post types - Roofing, guttering, and downpipes - Skylights - Solar panels - Cladding - Rendering - Architraves, fascia boards, eave moulds, and trims - External ceiling linings and joining details - Decking, tiling, and screening - External stairs - Balustrade - Retaining walls - Awnings, carports, and patios - Plumbing and electrical service plans and PC items - Paint types and colours - Existing service location plans - New drainage details - Driveways and external paving - Landscaping plans

When everything is finalised upfront — often more achievable in new builds where we’re starting from scratch — a fixed price can work well.

Advantages of Fixed-Price Contracts

• Budget Visibility: A clear contract sum is provided before work starts, based on the available plans and selections.

• Helpful for Finance Applications: Lenders often prefer fixed-price contracts because they can see a defined contract amount.

• Best for Predictable Projects: Works well for straightforward new builds or projects where plans and specifications are detailed and unlikely to change.

• Less Ongoing Involvement: Because the main pricing is agreed upfront, there’s less need for the client to review costs as frequently during construction.

⚠️ Note: With renovations and extensions, unforeseen conditions in existing structures often mean the “fixed” price can change through variations. This doesn’t mean fixed-price is wrong — it just means it works best where unknowns are minimal, and project details are already well defined.

When Cost – Plus Works Best

A Cost–Plus contract can be a great choice when flexibility and transparency are important. Under this arrangement, you pay the actual cost of materials, subcontractors, and labour, plus our agreed margin. This structure allows for adjustments as the project progresses, helping you keep control over selections, finishes, and budget decisions along the way.

• Our margin is 25% on materials and subcontractor costs only (no margin is applied to labour for our own team — this simply covers wages and overheads).

• It’s worth noting that our trusted subcontractors work at reduced rates for us because of long-term relationships. The 25% margin is applied to those reduced rates, not full retail pricing. This means the end cost is only slightly higher than if you were to engage the subcontractor privately, but not 25% higher. That small additional cost covers the time and expertise it takes for us to manage them — scheduling, coordinating trades, answering questions, planning methodology, resolving issues, and making educated decisions to keep your project running smoothly.

Advantages of Cost-Plus:

• Flexibility – Choose finishes and fixtures during the build, instead of locking everything in months earlier.

• Control – Adjust selections as the budget unfolds.

• Transparency – Every invoice and receipt is tracked in our system, accessible to you at any time.

• Adaptability – Hidden issues or client changes are handled without inflated variation fees.

• Collaboration – Encourages open communication and a true team approach.

This is particularly suited to renovations and extensions, where hidden conditions and evolving decisions are common. Variations may still occur (e.g. scope changes or late selections), but they’re far easier to manage without blowing the budget.

How We Manage Cost-Plus Projects

We’ve refined a system that keeps you fully informed and in control:

• Detailed budget and estimated cost breakdown prepared before work begins.

• Fortnightly budget updates using our cost-tracking spreadsheet, showing suppliers, costs to date, and forecast.

• Full transparency with every invoice and receipt recorded and available to you.

Real-World Example

Imagine a builder quoting a fixed price for an extension. They don’t know if material prices will rise, or if the existing structure has underlying issues. For example, walls may not be square, plumb, level, braced, or structurally reliable. To protect themselves, the builder adds a large buffer to the fixed price. If those issues never come up, the client still pays for them.

With Cost-Plus, you only pay for what actually happens. No hidden contingencies, no inflated “just in case” allowances — just the true cost of your project, managed openly and fairly.

Our Recommendation

Both contract types have their place. If you have a good level of detail finalised before starting, fixed price may work for you.

But in our experience, Cost-Plus offers the fairest, most transparent path forward — particularly for renovations and extensions. It avoids inflated pricing, keeps decision-making flexible, and builds a collaborative partnership between client and builder. That’s why it’s our preferred model.

Renovations

Renovations focus on upgrading what’s already there. This might be refreshing a tired bathroom, modernising a kitchen, or reworking the flow of existing rooms. Renovations can:

• Improve functionality and comfort without changing your home’s footprint.

• Bring an older home up to modern standards.

• Be cost-effective compared to starting from scratch — depending on the condition of the existing structure.

Example: We recently worked with a family who loved their home’s character but felt the layout was outdated. By reconfiguring the kitchen and living areas, and updating finishes throughout, they achieved a modern, open-plan feel at a fraction of the cost of an extension or rebuild — while retaining the charm of their original home.

Extensions

Extensions are about creating more space — an extra bedroom, a bigger living area, a home office, or a new entertaining space. Extensions can:

• Increase liveability for a growing family without leaving the home you love.

• Add significant value by increasing floor area, one of the strongest drivers of property value.

• Be tailored to blend seamlessly with the existing home when designed and built well.

Example: A young couple expecting their second child came to us with a two-bedroom home they didn’t want to leave. By adding a new master bedroom with ensuite and walk-in robe, plus a larger open-plan living space at the rear, they not only solved their immediate space issues but also significantly boosted the property’s market appeal.

New Builds

Building new means starting with a blank canvas. This can be a knock-down rebuild on your existing block or building on a new site. New builds can:

• Deliver maximum design freedom — every element can be customised.

• Provide a modern, energy-efficient home built to today’s standards.

• Avoid many of the compromises that come with working around an existing structure.

Example: One family weighed up the cost of extending their small, 1950s home versus starting fresh. Because the existing structure had significant issues with plumbing, wiring, and foundations, renovating or extending would have been a series of compromises. They opted for a knock-down rebuild, giving them a spacious, modern home with solar power, efficient insulation, and a layout designed exactly for their lifestyle.

Our Advice

For most homeowners in Newcastle and the Hunter Valley, renovations and extensions often strike the best balance between lifestyle and value. They allow you to stay in the location you love, improve the home you already have, and avoid the costs and disruptions of starting over.

A new build can certainly offer the biggest long-term gain, but it usually makes sense only when the existing structure is in poor condition, the block has untapped potential, or you’re ready for a major reset.

Every project is different — and that’s why we work closely with you to explore all three paths, weigh up the numbers, and help you make the choice that delivers the best result for your family and your investment.

Energy efficiency isn’t just about lowering bills — it’s about comfort, sustainability, and long-term value. Whether you’re renovating, extending, or building new, there are a range of approaches that can significantly improve the way your home performs.

Key Approaches

1. Passive Design Principles

• Orientation & Natural Light – Positioning windows and living spaces to capture northern light reduces heating needs in winter while avoiding summer overheating.

• Cross Ventilation – Placing windows and openings to allow breezes through the home helps cool naturally without relying on air-conditioning.

• Insulation & Glazing – High-quality insulation in walls, ceilings, and floors, combined with double glazing, helps regulate temperature year-round.

2. Smarter Materials & Construction Choices

• Roofing & Cladding – Lighter-coloured, reflective finishes can reduce heat gain.

• Thermal Mass – Materials like concrete or brick can absorb daytime warmth and release it slowly at night, balancing temperature swings.

• Air Sealing – Small gaps around windows, doors, and services can cause major energy loss — sealing them properly improves efficiency dramatically.

3. Energy-Efficient Systems

• Heating & Cooling – Modern reverse-cycle systems and zoning controls help reduce wasted energy.

• Lighting – LED lighting throughout the home cuts consumption while providing better quality light.

• Hot Water – Heat-pump or solar hot water systems are far more efficient than conventional electric storage.

4. Renewable Energy Options

• Solar Panels – A well-sized solar PV system can offset most of a household’s electricity use.

• Battery Storage – Helps maximise solar use and reduce reliance on the grid.

5. Water & Resource Efficiency

• Rainwater Tanks – Capturing rainwater for toilets, laundry, and gardens reduces mains water demand.

• Efficient Fixtures – Low-flow taps, showerheads, and dual-flush toilets save significant amounts of water and energy.

Renovation vs Extension vs New Build

• Renovations – Efficiency improvements can be made with upgrades like insulation, sealing, window replacement, and efficient appliances.

• Extensions – Provides the opportunity to design new areas with passive design in mind, reducing long-term energy demand.

• New Builds – The most cost-effective stage to integrate energy efficiency from the ground up.

Our Approach to Energy Efficiency

Energy efficiency in building is always evolving, with new products, systems, and methods constantly entering the market. At Delaney Construction Projects, we make it a priority to stay up to date with the latest innovations — from smart materials to renewable technologies — so we can advise our clients on solutions that deliver the best performance and value. This means when you build with us, you’re not just building for today — you’re building a home that’s ready for the future.

Budgeting is one of the most important parts of any building project. The right process ensures your design ambitions align with your financial comfort zone, and that you have confidence in the numbers from day one.

Step 1: Start With a Realistic Figure

Begin by setting a ballpark figure for what you’re comfortable spending. This doesn’t need to be precise but should reflect what you’re realistically willing to invest.
Share this figure early with your architect or draftsperson so that your designs are developed with your budget in mind, avoiding over-designing from the start.

Step 2: Send Drafted Plans to Your Builder

Once you have preliminary designs, share them with your builder. This step is critical: it ensures the proposed design actually aligns with your budget before you invest further in detailed documentation.

Step 3: Confirm Budget Alignment, Then Engage an Engineer

If the builder’s initial estimated costs are within your proposed budget, the next step is to engage an engineer to prepare structural and engineering plans. These allow for a more accurate costing process and ensure the design is not just beautiful but also buildable.

Step 4: Decide on Contract Type (Fixed-Price vs Cost-Plus)

At this stage, it’s worth deciding whether a Fixed-Price Contract or a Cost-Plus Contract is the best fit for your project.

• Fixed-Price may suit new builds where plans and specifications are highly detailed.

• Cost-Plus often suits renovations and extensions, where flexibility is important and unknowns are common.
  (See Question 3 for the full breakdown.)

Step 5: Allow for Contingencies

Every project benefits from a contingency buffer. Setting aside 10–15% of your total budget helps cover hidden issues, upgrades, or changes without stress.

Step 6: Manage Costs During Construction

How you keep track of costs depends on the contract type you choose:

• Fixed-Price Contracts: The overall price is agreed before construction, but variations may arise if you request changes or if unforeseen site conditions are uncovered. The key here is to understand how variations are priced and approved so you can make informed decisions quickly without delays.

• Cost-Plus Contracts: You receive regular budget updates as the project progresses. At Delaney Construction Projects, we provide fortnightly cost reports, access to receipts and invoices, and clear explanations of how selections or changes impact your running total. This transparency helps you stay in control and adjust as needed.

How Accurate Are Builder Estimates?

The accuracy of a builder’s estimated cost depends on the level of detail in your plans:

• Concept or sketch plans: estimates may vary by ±20–25%.

• Architectural and engineering plans: estimates narrow to ±10–15%.

• Full specifications (item schedules, finishes, electrical/cabinetry plans): estimates can be accurate to within ±5%, which is typically detailed enough for a fixed-price contract.

The more detail provided, the more confidence you can have in the numbers.

Example: Renovation Budget in Practice

Imagine you’ve set a $400k budget for a renovation.

• Drafted plans are reviewed by your builder, and they estimate $385k.

• You move forward with engineering plans and confirm the figure is realistic.

• You set aside a $30k contingency.

• During construction, structural deficiencies and issues with existing electrical and plumbing services are found and requires $15k of repairs.

• Thanks to your contingency, the project stays within budget — and you still have room to add upgraded features or finishing’s if you’d like to

Our Approach

At Delaney Construction Projects, we guide clients through every stage of budgeting — from initial ballpark estimates to transparent cost-tracking during construction. The goal is simple: no surprises, no guesswork — just clarity, control, and confidence in where your money is going.