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Renovation Contract Red Flags

Payment Terms

⚠️Dangerous Structure
NEVER agree to: 50% deposit, or 90% payment before carpentry installation. A fair structure: 10-20% Deposit, 30-40% Wet Works, 25-30% Carpentry/Delivery, 10-15% Handover.

Vague Descriptions

Design-Build

  • "Supply and install kitchen cabinet"
  • "Painting of whole house"
  • "Install lights"
  • (Too vague - allows use of cheap materials)

Traditional (Design-Bid-Build)

  • "Supply and install 20ft kitchen cabinet in internal laminate finish with Blum soft-close hinges and 3 drawers"
  • "Painting using Nippon Vinilex 5000 (4 colors)"
  • "Install 10x light points (Lighting fixtures provided by owner)"

Missing GST Info

Is the price "before GST" or "inclusive of GST"? This adds 9% to your final bill. Ensure it is clearly stated.

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