In Brisbane, renovators and new home buyers were faced with a steep hike in building costs of 10.5% last year.
While building costs are still forecast to increase this year, they have slowed substantially, according to data from quantity surveyors Rider Levett Bucknall (RLB) published in Domain.
Costs are tipped to increase 5.1% this year and the same again in 2024.
The current estimated build cost in Brisbane is $2,500 per square metre for a lower end build, and $4,500 per square metre for a higher end, according to RLB data.
This makes Brisbane the most expensive capital city in Australia in which to build a home.
Cost increases in recent years have been fuelled by a perfect storm of supply chain disruptions, and labour shortages. While these conditions are now easing some cost pressure remains in Queensland thanks to a big infrastructure pipeline that’s competing for labour. This includes a whopping 15 hospitals and the 2023 Olympics.
So what do you need to know if you’re planning on building?
Talk to several builders to get different quotes. Understand what provisions are in your building contract that can protect you from rising building costs.
