Your guide to knockdown and rebuild

Arden Homes Guide to Knockdown and Rebuild | Welcome 2

WELCOME TO ARDEN HOMES

Happy living right where you are? Then Arden Homes, the knockdown and rebuild specialist, can give you all the advantages of a stylish and energy efficient brand new home – without having to leave the area that you love.

Before you make the decision, it’s important to research your options thoroughly – after all, this is a significant investment both financially and emotionally. The builder you choose will ultimately be responsible for realising your aspirations for your dream home.

Feeling confident that you have invested your money with a qualified and reputable builder will give you peace of mind throughout the entire building process. That’s why we’ve created this guide – a step by step insight to help you get started.

We hope it helps you on your home building journey. And if you have any questions, just contact the Arden Sales Team – they’re highly experienced and always eager to assist.

Dean Morrison Director, Arden Homes

Arden Homes Guide to Knockdown and Rebuild | Contents 3

Guide to knockdown and rebuild

Advantages of building on your existing site 4

Site features that may impact the design of your new home 5

Tips for choosing the right home design 6

Why you need construction finance 7

The demolition proces 8

The process before building commences 9

Construction phases of building a new home 10

Building terminology and procedures 11

Useful links 13

Glossary 14

We can help get you started 16

We’d love to connect 17

Contact details 18

CONTENTS

Arden Homes Guide to Knockdown and Rebuild | Advantages of building a new home on your existing site 4

ADVANTAGES OF BUILDING ON YOUR EXISTING SITE

Knockdown and rebuild is becoming an increasingly popular, cost effective and time efficient option to achieving a brand new home.

If you’re happy living right where you are but need more space or aspire to living in a more contemporary home, building where you live now can turn your aspirations into reality.

The advantages of a knockdown and rebuild are:

• You don’t have to spend time traipsing around trying to find the perfect established home.

• There are no stamp duty costs involved.

• You get to stay in the area that you love, close to family, friends and those amenities you use every day.

• Your children don’t have to move schools.

• No compromising – you choose the exact home design that meets your lifestyle needs, delivered right where you are.

• Fixed building costs so there won’t be any budget blowouts.

• No uncertainty – you’ll know what the final result will look like before you start, from the façade and interior finishes to featured appliances and flooring.

Arden Homes Guide to Knockdown and Rebuild | Site features that may impact the design of your new home 5

A block of land has various qualities and characteristics to consider when designing your home. It’s important to know what they are and to be aware of the potential impact and design restrictions they incur.

1. A building envelopeA building envelope sets design parameters for development. In short, it determines the area of land that you are permitted to build on within the block.

2. EasementsAn easement is a section of land registered on the property title that gives someone else the right to use the land for a specified purpose, such as drainage and sewerage pipes.

It’s important to know if any easements exist and where they are located, as positioning can impact future building plans like in-ground pools and building extensions.

3. A crossoverA crossover is the front section of your driveway that is situated between the edge of the road and the front boundary of your block of land (footpath). It’s important to take note of the crossover location so you can design your home accordingly. In some instances crossover positioning can be changed (in a new land development) but doing so may incur a fee from the estate developer. In an existing area you need to seek approval from council prior to moving a crossover location.

4. The importance of soilThe type of soil on your block of land determines how your house must be built. The key reason for soil testing is to establish how likely it is that the soil will move, expand and contract with different levels of moisture content.

When soil reacts in these ways, movement can occur which can cause cracking in your new home. Your builder will organise for their own engineer to conduct a soil test to establish the best type of foundation for your new home to suit the soil type.

5. Size mattersEnsure you know the maximum size and dimensions of the sort of home that will fit on your block. Check the width and depth, including setback requirements (the distances you have to leave between your home and your site boundaries).

SITE FEATURES THAT MAY IMPACT THE DESIGN OF YOUR NEW HOME

Arden Homes Guide to Knockdown and Rebuild | Tips for choosing the right home design 6

TIPS FOR CHOOSING THE RIGHT HOME DESIGN

Lifestyle needsThink carefully about your needs versus wants. A well-designed home has little or no wasted space and retains its re-sale value far more in the long run. Consider whether your home will be adaptable and flexible for many years.

Identify your basic needs first. In doing so, you’ll be surprised how quickly the layout of your design needs will come together. Once you determine your “must haves”, create a list of those extra design elements that you would love to have, but will depend on budget and other key factors. It will come in really handy, when briefing a builder or looking at display homes, if you have a pre-prepared summary of the basic design elements your home must have to accommodate your family’s lifestyle needs.

Do I need an outdoor entertaining area?Creating this type of space can add value to a home and transform a backyard into a highly spacious multi-functional area.

What look and feel do you want?• Open plan living with lots of space and natural light.

• Formal living with separate rooms.

Which kitchen suits your cooking style?• A zoned design incorporating a separate work-station for

cooking, eating and even cleaning.

• A galley or corridor kitchen that has two straight runs on either side with the sink on one side and the oven on the other.

• A butler’s pantry allows you to keep your work area out of sight.

Storage areasIn addition to traditional storage space like cupboards and shelving, etc., think about maximising space in other areas of your new home.

Dedicated storage space can be created underneath stairs, in a garage or in a passageway. Consider things like tools, exercise and garden equipment, bikes and other odds and ends that will need their own place to live.

Which direction should your house face?Orientation is a major factor when designing a home. North-facing is an ideal position for rooms that are regularly used as they get sunlight for the longest part of the day. They are also the easiest to shade from unwanted sun.

It should be noted that all new homes are required to have a six (6) star energy rating, meaning that a new home will be comfortable all year round. A six star rating also means lower costs on energy to heat and cool the home.

If the standard house design you choose doesn’t maximise natural light, ask your builder if you can flip or rotate the plan or make minor alterations so that this can be achieved in the key living areas of the home.

Maximise positioning for living areasChoosing a floor plan that faces the right way will make your home more comfortable and minimise what you spend on heating, cooling and lighting.

If the front of your block faces south, living areas work well at the rear of the home.

If the front of your block faces east or west, living areas also work well at the rear of the home as they face onto the north side of your block.

If the front of your block faces north, you could have the living areas at the front of your home and increase the setback from the street to create a private and spacious front outdoor area.

Always check with your builder that the orientation of your home maximises any views and outlooks and provides privacy for both you and your neighbours. Keep bedrooms clear of noisy areas like driveways and your neighbours’ living areas.

Arden Homes Guide to Knockdown and Rebuild | Construction finance 8

WHY YOU NEED CONSTRUCTION FINANCE

Building a new home generally requires a different type of finance than what you would normally access if buying an established home.

When you engage a builder, you agree to pay the builder in instalments (called progress payments), payable when specified building milestones have been achieved.

Construction financeA construction loan is used during the building of a new home as it allows you to draw down funds in stages as your new home is being built. Loan funds are advanced progressively as your builder completes pre-agreed construction stages.

Since interest is only payable on the amount advanced under the loan, you save money on interest. This progressive draw-down means you only pay interest on the money you’re using for any particular stage. This lets you add to the value of your home as you build, and increase the equity you have available to finance the next stages.

How does it work?Construction home loans are generally flexible, with funds only being drawn down as your builder completes various stages of your home. Money is paid progressively at key points, for example, after the initial base (slab) is laid, on completion of the framework, when the house is at lock-up stage, and then on completion.

Your finance professional will help you establish a schedule of progress payments and assist you in identifying your building expenses so payments are made to the builder after each stage of the building has been inspected and verified.

Arden Homes can assist with finance via an independent specialist.

Things to be aware of:

• To finalise your construction loan, you’ll need a contract from a licensed builder, council-approved plans and specifications, and insurance.

• Some lenders allow you to apply for a construction loan as an individual, company or trust borrower.

• Construction loans in company and/or trust names generally must be completed under a fixed-price building contract.

• Construction loans generally must be completed under a fixed-price building contract where the contract amount is equal to or less than $1 million.

• For contract amounts greater than $1 million, construction loans generally have to be written under a fixed-price or cost-plus contract.

• Your principal and interest loan repayments will commence once you’ve moved into your newly built home.

Progress paymentsThroughout the building process, you will be required to make progress payments to your builder at certain stages of construction.

There are 6 (six) payments to be made, use the following breakdown as a guide only:

• Initial deposit – 5% of the total contract

• Base stage – 10%

• Frame stage – 15%

• Lock up – 35%

• Fixing stage – 25%

• Practical completion – 10%

Arden Homes Guide to Knockdown and Rebuild | Demolition 8

THE DEMOLITION PROCESS

The demolition of an existing home is a relatively straight forward process but does require some planning before the knockdown process can commence.

Demolishers often provide a full-service that includes waste disposal, asbestos removal, general clean-up and completely clearing the site of rubble and vegetation.

Demolition work should only ever be carried out by an approved, licensed demolisher – good builders will have a preferred supplier they can recommend to you.

Use this checklist as a guide to what you can expect during the demolition process:

1. Demolition permitA demolition permit must be obtained from your local council prior to any works commencing and will be obtained by the demolisher on your behalf.

2. Council requirementsTo obtain the demolition permit, you will be asked to provide:• Copy of the Title.

• Plan of subdivision (Title plan).

• Site plan of existing building.

3. Disconnect all servicesIt is your responsibility to have all services such as electricity, drainage, gas and water supply, not only disconnected but abolished. This means, for example, the removal of the electricity and gas meter.

4. Tree removal and permitsThese types of permits may be required from local council depending on the size and type of tree(s) and if there are any protection overlays in existence.

5. Asset protection permitsIt is your responsibility to contact local council in relation to asset protection permits and if required, the demolisher will require a copy before works can commence.

6. Asbestos removalIf your home requires asbestos removal, the demolisher will need to obtain a certificate to ensure its safe removal in accordance with requirements set down by the EPA and WorkSafe Victoria.

Arden can actually manage the demolition process for you to help take away the hassle of arranging permits, disconnections and quotes for demolition.

Arden Homes Guide to Knockdown and Rebuild | Process 9

THE PROCESS BEFORE BUILDING COMMENCESTHE PROCESS BEFORE BUILDING COMMENCES

Arden provides expert design advice relating to colour, layout, style and product selections.

The period after you have engaged a builder and chosen a home design and before the actual building process starts is commonly referred to as “pre-start”. This is when you have to make decisions relating to design, colours, fittings and materials.

At the other end of the process, when your home has been built and your builder has satisfactorily completed all tasks outlined in your building contract is known as “handover”.

You will be allocated a dedicated customer service representative to guide you through the entire process from selecting materials until the end of construction.

What happens during the pre-start periodAt the pre-start meeting with your builder, you’ll have the opportunity to add personal touches to the design of your new home. You will be asked to make decisions to determine your home’s appearance and character, so it is important to plan ahead and identify exactly what style you are aiming for.

You will be provided with a pre-start pack containing house plans, checklists, product brochures and other information relevant to the build. Included in this information is a summary of those items that require decisions for things like colour, fittings and materials to be used.

In readiness for your pre-start meeting, ensure you are prepared to provide your builder with decisions relating to:

Location of light fittings and power points. It can be difficult and costly to change electrical requirements after initial installation. A handy decision-making tool is to prepare furniture layout sketches for each room to help determine your requirements.

Minor design alterations. This is the time to propose minor layout changes to a kitchen or bathroom, for example.

Fixtures and fittings. You may want to upgrade or change fixtures and fittings (e.g. taps, shower head) from what is included in the initial contract.

Colour and style of standard items such as tiles, cupboards and bench tops.

Colour and style of building materials such as the bricks, roofing treatment, render colour if applicable and outdoor pavers.

Be mindful that making even small design changes or upgrading fixtures and fittings from your chosen house design package can result in additional costs. When discussing changes with your builder, for example, upgrading tap fittings, ensure you ask for a revised cost estimate and be very clear about the impact of the changes.

Also be mindful that making changes at this point can also save you money. In some cases you may not be able to make changes once your home is in the construction phase. This can also be an expensive option to make changes, even if the builder is able to. If you are unsure of what style to go with, ask to talk to one of your builder’s interior design experts, who are on hand to assist with direction in colour, product choice, room layout and style. They are highly trained and employed to provide advice and guidance in this area.

When choosing a colour palette for your home, resist the temptation to select a paint colour first. Paint is relatively inexpensive and can be matched to virtually any colour. Take into consideration furniture pieces, window coverings and flooring in each room first and then choose paint colours to create the look and feel you’re after.

Arden Homes Guide to Knockdown and Rebuild | Construction phases 10

CONSTRUCTION PHASESOF BUILDING A NEW HOME

Once your building permit is approved so that you comply with the relevant council and building laws, your builder will be ready to commence construction.

The process generally involves two phases:

1. PRE-CONSTRUCTION PHASE This phase includes drawing of the plans, finalising contracts, securing finance and obtaining a building permit and planning approvals. This phase takes approximately 20 weeks, depending on the size of your home and the volume of other work the builder has going on at that time. If you’re organised, some building companies can commence within 12 weeks.

2. CONSTRUCTION PHASE Is the actual building of the home, and takes approximately 26 – 32 weeks from the time the concrete slab has been poured.

As construction gets underway, a dedicated customer service manager will be appointed to you. This person is responsible for all communications during the building process.

It’s a good idea to record the details of all communications you have during the construction of your home. These records will provide a good source of reference if there is any need to refer back to them during the building process. At this time, you will also be introduced to your building supervisor who will carry out a pre-start inspection of your land. This person will discuss matters relative to the site, works and safety.

Practical completionPractical completion means that the building works have reached the stage where the builder certifies that all works have been completed in accordance with the contract.

Before you sign off on the practical completion, it’s important for you to be 100% satisfied that your builder has actually reached this stage.

HandoverShortly after practical completion, you should be ready to collect the keys to your new home and make the final payment.

At handover, you should receive a copy of all relevant warranties and certificates arising from the contract. A builder’s representative will take you on a tour of the home showing you how everything works and what you have to do to maintain your new home. Make sure you have obtained the builder’s written authority to take possession of the property.

Arden Homes Guide to Knockdown and Rebuild | Building terminology and procedures 11

BUILDING TERMINOLOGY AND PROCEDURES

The main steps in the construction phase (for a typical slab and brick construction) are:

1. Site preparationBefore construction can commence on your existing site, your builder will engage a Surveyor to determine certain features on your block – this includes the location of services, fences, trees, pits, soil classification and slope. The information obtained is analysed to assist with the preparation of your site costs.

2. SlabConcreters will prepare for the slab to be poured by installing boxing to contain the concrete and reinforced steel to strengthen the slab. Once this is complete, an engineer will inspect the works. Once approved, the slab will be poured.

It is usual for a progress payment to be paid once the slab has been poured.

3. FrameAfter the slab is poured, a carpenter will mark out the slab using a chalk-coated string line. This will determine where the walls are going and make sure everything is nice and square. Most builders stick build the frames and the roof trusses come pre-built. The frames are placed into position and secured together using appropriate nailing and strapping techniques. The carpenter will then brace the frame with timber and metal braces ready for the roof trusses.

It is usual for a progress payment to be paid once the frame has been completed.

4. Main roof installedIt’s time now for the installation of the roofing system. The materials will be delivered to the site and a specialist roofing contractor will install the roof over the frame.

5. Plumbing and electrical rough-insThis step involves the electrical wiring and plumbing pipes to be installed for all utility services in your home.

These rough-ins will be installed as per the approved plans and are crucial to the final locations chosen for lights and taps and so on. This procedure is done once the home is bricked and before plaster is installed.

6. Brickwork and plasterThis stage gives the development true structure. Insulation foil will be installed to the outside of the building prior to bricks being laid. This is to ensure appropriate insulation qualities are achieved and to provide moisture protection for your home. Once this process is completed, sub-contractors will start laying bricks to the external walls and then sheeting the internal walls with plasterboard. Once the plasterboard is installed, they will set all joints in the sheets between the walls and ceilings. The final task is the installation of the cornice.

It is usual for the first progress payment to be paid once the slab has been poured.

Arden Homes Guide to Knockdown and Rebuild | Building terminology and procedures 12

7. Lock-up or enclosedOnce the brickwork is complete and the windows and doors have been installed, the structure is considered to be at lock-up or enclosed stage.

It is usual for a progress payment to be paid when the lock-up stage has been achieved.

8. FixingAs your home is now lockable, the fixing stage can commence. Fixing is when all internal cladding, architraves, skirting, internal doors, built-in shelving, baths, basins, troughs, sinks, cabinets and cupboards are fitted and fixed in position. The plasterer will return to sand off the joins.

This is the time to also fit the eaves sheets and eaves moulding. The eaves or soffit is the area that overhangs between your brickwork and your fascia.

It is usual for a progress payment to be paid when all fixing has been completed.

9. Tiling and paintingAt this stage, tiles will be laid and painting will commence in accordance with the colour palette you have selected.

10. Fit-offWhen painting is completed the installation of fittings will commence. This is when electricians, plumbers and air-conditioning sub-contractors return to complete what they started at the rough-in stage. It is also the stage where shower screens, mirrors, sliding wardrobe doors, internal doors and doorstops will be installed.

11. House and site cleanYour builder will conduct an internal and external site clean. This includes creating fall-away from the house for approximately the first metre to stop rainwater from ponding up against the footings, as this can cause damage. Any remaining dirt left on site from this process will be the owner’s responsibility (as per your contract) along with work required to level the driveway and landscaping, unless these tasks have been included in your contract.

12. External worksExternal works include driveway construction and landscaping. If you have negotiated these works as part of your contract, this is the final construction phase of the building process.

Once the brickwork is complete and the windows and doors have been installed, the structure is considered to be at lock-up stage.

BUILDING TERMINOLOGY AND PROCEDURES (CONTINUED)

Arden Homes Guide to Knockdown and Rebuild | Useful links 13

USEFUL LINKS

Click on the links below for more information.

CSIRO (Soil classifications explanation)

Liveable Housing Australia’s Liveable Design Guidelines

Building Code of Australia

When a builder requires a licence

Arden Homes Guide to Knockdown and Rebuild | Glossary 14

GLOSSARY

ActA set of rules that has been passed by Parliament, received Royal Assent and become law.

ArchitraveA moulded section covering the joint between window and door frames and the wall lining.

BraceA member, usually a diagonal, which resists lateral loads and/or movements of a structure.

Building permitsA permit issued by local government authorities for the erection of a building or for structural alterations to a building.

Certificate of Occupancy

A document is issued by a building surveyor, which shows that the building is suitable for occupation. It is not evidence that the building complies with the Building Act or building regulations. See Certificate of Completion.

Cladding Any material used to face a building or structure.

ContractA document that legally formalises the purchase, sale, exchange or other conveyance of real estate between parties. The contract must be signed by all parties concerned to be enforceable.

ContractorOne who agrees by written agreement or contract to supply materials and perform certain types of work for a specified sum of money.

Covenant

In real estate, a covenant is an agreement that creates an obligation on the owner of a property not to do something. For example, a covenant could state that no more than one dwelling may be built on the land. A covenant runs with the land and the liability to comply with it or the right to take advantage of it passes from owner to owner.

Easement

A right held by one person to make use of the land of another. For example, land set aside for drainage and sewerage pipes. It’s important to know where easements exist as their positioning can impact future building plans such as in-ground pools and building extensions.

EngineerA professionally qualified person, who when associated with building and planning, designs, supervises and manages Civil, Structural and Services components of projects.

Arden Homes Guide to Knockdown and Rebuild | Glossary 15

GLOSSARY (CONTINUED)

FasciaA board fixed horizontally to the lower ends of the rafters, to which guttering may be fixed. Also forms the outside board of a boxed eave.

Fill Fill means how much additional soil was needed to level out the land.

FittingsItems that can be removed without damaging the property, such as garden ornaments, lighting and drapes. They must be listed in the contract of sale if the purchaser wants them to remain with the property.

FixturesItems that are attached to the property and cannot be removed without causing damage to the property, such as bathroom suites, built-in wardrobes and kitchen stoves. They are usually included in the sale.

Land titleA land title is an official record of who owns a piece of land. If the land is titled, it is ready to build on immediately (subject to the correct approvals). Untitled land should have an estimated title date (which is subject to change).

LegislationLaws in the form of Acts and Regulations enacted by a state government or the federal government.

PlasterboardA rigid insulating board made of plastering material covered on both sides with heavy paper.

Retaining wallAny wall subjected to lateral pressure other than wind pressure and built to retain material.

Reinforcing steelSteel bars of various sizes and shapes used in concrete construction for giving added strength.

SetbackSetback is a term used to describe how far from the front boundary you have to build your home.

Sheeting Flat sheets of material to protect or cover a building framework.

Skirting Moulding to cover the joint between the wall and flooring.

Arden Homes Guide to Knockdown and Rebuild | Get started 16

WE CAN HELP GET YOU STARTED

At Arden, we believe intelligent architecture, stunning interior design and carefully selected standard inclusions can create a new level of affordable housing luxury.

And we’ve got Melbourne covered. North, South, East, West and Geelong — we specialise in building new homes in new land estates as well as knock-down and re-build in established suburbs.

Learn more about Arden Homes

Contact Arden Homes

Yes, I’d like to discuss my new home building requirements with you.

Arden Homes Guide to Knockdown and Rebuild | Connect 17

WE’D LOVE TO CONNECT

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Click on the links below to connect with us.

Arden Homes Guide to Knockdown and Rebuild | Contact details 18

Arden Homes does not give any warranty or make representations, expressed or implied, about the completeness or accuracy of any information in this document or provided in connection with it. This document is not binding on Arden Homes and is not intended to be relied upon. All persons should make their own independent enquiries as to the matters referred to in this document. Arden Homes expressly disclaims any and all liability relating to, or resulting from, the use of, or reliance on, any information contained in this document by any persons. AH504/Knockdown

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