How to Read a Builder Quote
A builder quote arrives with a total on the front page. That total is not the cost of your project. It is the cost of what the builder chose to include.
The total on the front page of a builder quote is not the cost of your project — it is the cost of whatever that builder chose to include, and inclusions vary more between quotes than most clients expect.
Prime Cost Items and Provisional Sums
Prime Cost Items are allowances for finishes and fittings where the final price is unknown at quote stage — you pay the actual cost when selected, plus the builder margin. Provisional Sums are estimates for uncertain work. If actual costs exceed the allowance, you pay the difference plus margin.
What builder quotes routinely exclude
- Landscaping, driveway, and external hardstand
- Swimming pool and pool equipment
- Window furnishings and blinds
- Appliances and loose furniture
- Authority fees — development approval, building approval, engineering certification
- Rock excavation — usually a provisional sum or excluded entirely
- Solar system and battery
- AV, data, and home automation systems
If you only have one quote to check
Not every project reaches this point by comparing several builders. If you already have a single quote in hand and want it checked against your own drawings — line by line, before you sign — rather than compared against competing quotes, see our Quote Read service.
How to compare two quotes properly
Two quotes on the same project may differ by $100,000 — not because one builder is cheaper, but because they have included different things. Normalise both quotes by adding all exclusion costs back before making any comparison.
For projects approaching tender, see our overview of residential tender management — how an independent process works, what it delivers, and when it makes sense to refer tender administration to an independent party.
Once a quote genuinely makes sense, the next thing worth scrutinising is the contract built around it — see what to understand before you sign for the clauses that matter most once the number itself checks out.
Frequently asked questions
Why can two quotes for the same project differ by $100,000?
Almost never because one builder is simply cheaper — usually because they have included different things. Normalise both by adding exclusion costs back before comparing.
What are Prime Cost Items, in plain terms?
Allowances for finishes where the final price is not yet known — you pay the actual cost when you select the item, plus the builder's margin.
I only have one quote — can you tell me if it's complete, not just compare it to others?
Yes — that is exactly what Quote Read does. It checks your quote against your drawings and flags what is included, excluded, or left open, without needing a second quote to compare it to.
Comparing more than one quote?
Structured tender documentation gets every builder pricing the same scope.
So the quotes that come back are actually comparable, not just similarly confident.