“Why $/m² Rates Don’t Work for Luxury Custom Homes in Brisbane”
If you’ve read our last post on builder’s margin, you already know we don’t do smoke and mirrors. But there’s another myth we need to bust — the idea that you can price a luxury home by the square metre. It’s a shortcut that might work for cookie-cutter builds, but when you’re crafting a one-of-a-kind home in Brisbane’s premium suburbs, it’s not just misleading — it’s dangerous. Let’s unpack why quoting by m² is a fast track to budget blowouts, false expectations, and compromised quality.
Why $/m² Rates Fail for High-End Builds
When someone asks, “What’s your square metre rate?” — it’s like asking a tailor, “How much for a suit?” without mentioning the fabric, cut, or lining. For luxury custom homes, here’s why that number is meaningless:
1. Design Complexity Changes Everything
A 350m² home with flat walls and standard ceilings is worlds apart from one with curved staircases, cantilevered balconies, and raked ceilings.
Architectural features, engineering requirements, and bespoke elements all drive cost — and none of them show up in a simple m² rate.
2. Site Conditions Can Blow Budgets
Sloping blocks, reactive soil, tight access, or flood overlays can add tens (or hundreds) of thousands to your build.
These are invisible in a per-m² quote — until they hit your variation list.
3. Finish Levels Are Wildly Variable
Imported stone benchtops, custom joinery, integrated appliances, and high-spec lighting can double the cost of a build — even if the footprint stays the same.
Two homes with identical floorplans can have a $500K+ difference in finishes alone.
4. Inclusions and Allowances Are Often Vague
Many builders use lowball allowances for kitchens, bathrooms, and landscaping to keep the m² rate attractive.
That “$2,500/m²” quote might not include driveway, fencing, or even cabinetry — leaving clients with a false sense of budget security.
5. Builder’s Margin and Contingency Buffers Vary
Some builders hide margin in inflated allowances or vague PC items.
Allen Brothers puts it on the table — because transparency builds trust.
Same Size, Different Story: Why m² Rates Mislead
Imagine two couples, both building 350m² homes in Brisbane.
Couple A wants a clean, modern home with standard finishes. They’re happy with laminate benchtops, basic lighting, and a flat block in a new estate. Their builder quotes $2,500/m² — and the numbers mostly hold.
Couple B, on the other hand, dreams of a showpiece. Think curved walls, imported stone, raked ceilings, integrated appliances, and a sloping block in Ascot. Their builder also quotes $2,500/m² — but by handover, the cost has ballooned to nearly double.
So what happened?
The quote didn’t account for site complexity or engineering requirements
It assumed standard finishes — not the bespoke selections Couple B made
It used lowball allowances that were never going to match their vision
It masked margin and contingency buffers in vague PC items
The Lesson
Both homes were 350m² — but one was a basic build, and the other was a bespoke masterpiece. Quoting by m² is like pricing a car by its length. It tells you nothing about what’s under the hood.
What Clients Should Ask Instead
1. “What’s included — and what’s not?”
Ask for a detailed breakdown of inclusions, exclusions, and provisional sums.
Look for transparency around site works, finishes, landscaping, and council fees.
2. “Can I see a cost breakdown by category?”
A good builder will show you how the budget is allocated: structure, finishes and services.
This helps you make informed decisions — and avoid nasty surprises.
3. “How do you handle variations and allowances?”
Understand how changes are priced, approved, and documented.
Ask whether PS+PC allowances are realistic — or just there to make the quote look cheaper.
4. “What’s your process for pricing a custom build?”
Look for a builder who invests time upfront: site inspection, design collaboration, and has a detailed process.
If they’re quoting off a sketchy brief in 48 hours, that’s a red flag.
5. “Can you show me examples of similar builds and what they cost?”
Real-world case studies are more useful than generic rates.
At Allen Brothers, we’re happy to walk you through past projects — and what drove the numbers.
Our Promise: No Guesswork, No Gimmicks
We don’t do cookie-cutter pricing. Every Allen Brothers home is quoted with care, clarity, and full transparency — because that’s what Brisbane’s most discerning clients deserve.
Your Project at Your Fingertips
We use Buildertrend to centralize all project communication, selections, approvals, and documentation. It’s your digital command centre—giving you real-time access to everything happening on site, all in one place.
More Than a Build—It’s a Partnership
We don’t just build homes—we build trust. Our communication process is designed to make your journey smooth, transparent, and enjoyable. Because luxury isn’t just in the finishes—it’s in the experience.
Explore more about our process or connect with our team to start your build journey.