What is a quantity surveyor?
Quantity surveyors estimate and monitor the cost of construction projects, ensuring they are being completed on budget and schedule. Becoming a registered quantity surveyor requires tertiary education in a Bachelor of Construction Management or equivalent. In addition to two years of supervised practical experience in the relevant construction industry. From here you must be accredited by the Australian Institute of Quantity Surveyors (AIQS). Throughout the construction process, there are a variety of quantity surveyor reports that can be written. These reports assess the ongoing cost and budget of a project, ensuring that money is being spent appropriately and wisely. Surveyors can make these assessments from a position of expertise given their industry knowledge in the cost of materials, labour, etc.
Tax Depreciation Schedules
Quantity Surveyors are also ATO-qualified professionals. Their specialisation in building and construction allows them to write reports called ‘tax depreciation schedules’. This quantity surveyor report assesses the cost of property construction in more extensive detail than achievable by a regular accountant. Quantity Surveyors can further assess the built structure for depreciating assets such as appliances, building materials, various house systems, etc. This allows investors and builders to achieve the greatest amount of depreciation deductions on their tax bills as legally possible.
Section 94 reports
Developers building projects with an estimated development cost of greater than $500,000 may be required to produce section 94 contributions. Usually, a large-scale project requires updated or new infrastructure to be implemented by the council to meet the demands of the build. This could include roads, footpaths, pipes, lights, signs, power lines, and other connective infrastructure, usually achieved using taxpayer money. To help cover the cost of these public amenities, a levy known as a Section 94 contribution is required. A quantity surveyor report can help assess the Section 94 costs to ensure your project is upholding the council standards and paying the correct amount.
Developer costs/ feasibility studies
Developers can carry a significant amount of monetary risk on a project. If all the budget details of a project are not assessed appropriately, it may lead to a hefty financial loss. Large-scale construction projects require detailed and thorough cost estimation assessments organised by a quantity surveyor to ensure that the building budget lines up. These feasibility studies can show where the project is overspending or hasn’t considered an additional cost. Having this detail early in the project allows for a significantly reduced risk overall and lets the developer recognise where they have wriggle room if an unexpected cost occurs.
Progress Claim/ Draw-down reports
Financiers of a large-scale construction project will periodically release funds for the construction process. However, to ensure that money is being spent wisely they will often require a quantity surveyor report. This is typically a drawdown report. Quantity surveyor reports assess the progress of the build, where the money is being spent, and where milestones have been met. The report helps financiers and developers identify savings, cost overruns, project issues, and changes from the original design or concept. Draw-downs can help identify and spotlight any potential problems early before they become significant and costly.
Bank Prefunding Reports
If you plan on completing a construction project, chances are it will require a loan of some kind from the bank. Before obtaining the finances, your bank will often require a pre-funding report detailing your project. A quantity surveyor can complete this project accurately with a fast turnaround time. The bank uses the pre-funding report to help interpret the development cost. From here, they calculate the potential return on investment and assess your ability to repay the loan. By getting a quantity surveyor report, the chosen lender will have increased confidence in the quality of your project and the accuracy of the financial cost. This leads to the loan more likely being approved and work can start promptly.
Do you need Quantity Surveyor Reports for your development?
At Section 94, our team of highly qualified quantity surveyors can help organise all the required and recommended quantity surveyor reports for your development. Whether it involves tax depreciation schedules, cost estimates, progress claims, timeline organisation, or Section 94 contributions. There is no point wasting time and money on your development, organise a quantity surveyor report today.
With over a decade of industry experience, our qualified building quantity surveyors are AIQS certified with a fast turnaround time and clear communication. Give us a call today at 0413 953 869 or email us at info@section94.com.au to discuss our quality budget services for residential and commercial builds.