Episode 117: Cracking the code: 5 Confusing building contract terms explained


29th September 2025 | 28m 50s

Building contracts can be full of hidden traps and confusing jargon. In this episode, we break down the five clauses that trip up most homeowners - covering prime costs, provisional sums, payment schedules, special conditions, build time frames and utility connections.


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Timestamps:

02:28 Prime Costs (PCs): allowances for items not yet selected (e.g., taps, tiles)

03:41 Provisional Sums (PSs): estimated costs for work not yet defined (e.g., excavation)

07:32 Payment Schedules: deposit, base, frame, lockup, fix, final payment

07:42 Contract Details: what the contract must include

08:25 Different Contracts: progress payment methods (Schedule 1 vs Method 2)

09:21 Monthly Payments Misunderstanding: why it’s milestone-based, not monthly

09:37 Tips When You Get the Invoice

13:43 Special Conditions: extra terms to watch out for

17:09 Build Time Frames: contract vs real-world expectations

22:55 Utility Connection Costs: water, electricity, gas, NBN

23:05 Common Misconception About Utility Fees