The payment schedule for your architect and builder will be largely dictated by the terms of your contract and the timeline of the project itself. However, here are some general guidelines:
- Paying your architect: Architects typically charge either a fixed fee or a percentage of construction costs. Their payment schedule will depend on the scope of work, but they will typically require a portion of their fee upfront as a deposit, followed by payments at various milestones throughout the project. The final payment is usually due upon completion of the project.
- Paying your builder: Builders may also work on a fixed fee or an hourly rate. Payment for builders is usually broken down into a series of payments known as ‘draws’, which are made at various stages of the construction process. For example, the builder may require a deposit before starting work, and then payments at specific stages of work such as the completion of the foundations, electrical and plumbing work, and finally, the signing off of the project.
It’s important to have a clear understanding of this schedule before you start your project. This will help you plan your budget and ensure that you can make payments on time so the project can go ahead smoothly and without hiccups.
