Most renovation disputes in Perth don’t begin on site. They begin at the kitchen table, when a homeowner signs a document they didn’t fully understand, from a company that didn’t fully explain it.
The renovation industry uses several different quote formats, and they mean very different things. A number on a page that looks like a fixed price may not be. A quote that seems comprehensive may exclude the items most likely to generate additional costs. Understanding what you’re reading before you sign is one of the most valuable things a Perth homeowner can do — and almost nobody talks about it plainly.
This article explains the three main quote types, what to look for in each, the questions that reveal a quote’s real scope, and what a genuinely fixed-scope quote looks like.
A fixed-scope quote — sometimes called a fixed-price or lump sum quote — specifies the work to be done, the materials to be used, and a single price for the complete package. If the price is $38,000, the renovation costs $38,000. Variations (scope changes requested by the client) are the only legitimate source of additional cost.
A genuine fixed-scope quote requires: a detailed scope of works describing every element; specifications for materials (not just “tiles” but the specific tile, size, and quantity); a schedule of inclusions and — critically — exclusions; and a process for handling discoveries that are genuinely unforeseeable (not just things the company didn’t want to price in).
An estimate is an indicative price, not a commitment. It says: based on what we’ve seen, we think this will cost approximately $X. Estimates are appropriate at the early planning stage before a design has been completed. They are not appropriate as the basis for signing a construction contract.
The problem in the Perth renovation market is that estimates are sometimes presented in a format that looks like a fixed price — a single number, on a letterhead, with a signature line. The word “estimate” may be in small print, or absent altogether. The legal and financial implications of signing a contract based on an estimate versus a fixed-scope quote are substantial.
A bill of quantities specifies rates for labour and materials — a price per square metre of tiling, a rate per hour for plumbing, a cost per linear metre of cabinetry. The total cost is determined by the actual quantities used. This format is more common in commercial construction than residential renovation, but occasionally appears in larger residential projects.
A bill of quantities can be accurate and fair if the quantities are well-estimated upfront. It can also result in significant cost overruns if quantities are underestimated — which the homeowner bears. Unless you have construction experience, a fixed-scope quote is a more predictable basis for a residential renovation.
These four questions, asked directly to the renovation company before signing, reveal more about the real scope of a quote than reading the document alone.
What is NOT included in this price?Every renovation company should be able to answer this immediately and specifically. If the answer is vague (“just some extras that might come up”), the scope is not truly fixed.
What happens if you find asbestos / galvanised pipes / non-compliant wiring during demolition?The answer should include a process: inspection before demolition, likely findings discussed upfront, a contingency allowance, and written agreement before any additional work proceeds. An answer of “we’ll let you know at the time” is not a process.
Can you show me a completed project of a similar scope and age of home?This isn’t about looking at photos. It’s about understanding whether the company has done this type of work before — in this type of home, with these types of likely complications. A company that has renovated 20 pre-1980 Perth bathrooms has a different level of contingency planning than one doing its first.
What does the contract say about payment if I'm not satisfied at practical completion?The answer tells you how the company approaches the end of a project. A company confident in their work will have a clear completion and defects process. A company that expects to be paid in full before a final inspection is telling you something.
Receiving three quotes and choosing the lowest is a reasonable starting strategy that becomes dangerous when the three quotes are not for the same scope.
A quote for $28,000 that includes everything — design, all licensed trades, all materials, waterproofing, waste removal, and project management — is a different document from a quote for $22,000 that excludes the tiles (supply by client), waterproofing (separate allowance), and electrical (separate trade to be arranged). The $22,000 quote may be the more expensive project.
Item | Quote A — $28,000 | Quote B — $22,000 |
3D design | Included | Not included — $1,200 extra |
Waterproofing | Included | Allowance only — TBC on site |
Tiling (supply) | Included | Client to supply — tile cost extra |
Waste removal | Included | Not included — $800 extra |
Licensed electrician | Coordinated + included | Client to arrange separately |
Project management | Included | Not included |
Asbestos contingency | Discussed + allowed | Not discussed |
Realistic final cost | ~$28,000 | ~$32,000–$36,000 |
Before comparing prices, compare scopes. The discipline of reducing every quote to the same list of inclusions and exclusions takes time and is worth every minute.
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