Architectural planning costs 50% more expensive than agreed.

Hello dear forum,

we are actually in the fortunate position of owning a plot of land from an inheritance.
Through an acquaintance, we were recommended an architect (her husband).
Naive and trusting as we were, we signed a contract with him up to the submission planning and/or approval stage. He seemed very likeable.
Our planned house ended up being much larger than we thought (we had said 170m2 - it is now 240m2).
The architect always said that this would only mean manageable additional costs.

Now to the topic.
When we came to him about two years ago, we wanted to plan a house for €500,000. Then we thought that due to Corona and other factors it would probably get more expensive. In the planning, he then gave an estimate of €650,000. Okay, way over... but all right.
A few days ago, he asked us to present our planning to general contractors with the request for a cost proposal. Said and done. Several GCs were asked. Only one responded and planned the cost proposal with us.
€920,000

Now we are totally at a loss. The architect cannot/will not continue to accompany us because supposedly he has no time. And the offer from a GC is simply almost twice as expensive.
As we said, naive and stupid as we were, we did not fix the planned budget in a contract. Do we have any possibility that the architect must redesign for free? Or is it just the risk, bad luck, because prices have risen due to Corona, inflation, and other factors?

Thanks for reading.

In my opinion, a defensive offer from the general contractor (without knowing your exact plans). 920k for 240m2 is too expensive. Even today, you can still build with 2.5k-3k/m2! Keep at it, ask other providers as well. Perhaps also timber builders like Baufritz or kaufmannbau, who implement freely planned houses.

Phew, that's of course annoying at first. But I also think the price is too high and you should get more offers. When you say you wanted to plan for 500,000€, do you mean just the house or including the additional costs?

However, I also find it bold of the architect to talk about "überschaubaren Mehrkosten" when he suddenly plans 70sqm larger. At 3000€ per square meter, that would already be 210,000€ - which I don't consider really manageable.

In my opinion, a defensive offer from the general contractor (without knowing your exact planning). 920k for 240m2 is too expensive. Even today, you can still build for 2.5k-3k/m2!

Anyone planning 240sqm is planning ambitiously. At 240sqm and 3k €, you are already at 720k €. Add earthworks etc. 50k € + double garage 50k € + terrace/driveway etc. 50k €. Not to mention a (not named) basement. The price can be (and perhaps will be) realistic.

In my opinion, a defensive offer from the general contractor (without knowing your exact planning). 920k for 240m2 is too expensive. Even today, you can still build with 2.5k-3k/m2!
Stay on it, ask other providers as well. Maybe also timber builders like Baufritz or Kaufmannbau, who implement custom-designed houses.

Yes, we still have more inquiries open. But those who respond say they no longer do general contracting. Only individual trades like, for example, the shell construction... Well, let's see.

Phew, that is of course annoying at first. But I also think the price is too high and you should get further offers. When you say you wanted to plan for 500,000€, do you mean just the house or including ancillary costs?

However, I find it daring of the architect to speak of "manageable additional costs" when he suddenly plans 70sqm larger. That would be 210,000€ at 3000€ per square meter – I don’t really consider that manageable.

You’re always wiser afterwards. Especially us... we were sometimes really like sheep, always looking obedient. Because clearly, the pure mathematics tell us that it shouldn’t be just a little more money. He just said that these are a few more bricks that wouldn’t matter.

Whoever plans 240sqm also plans ambitiously. At 240sqm at €3k each, you are already at €720k. Then the earthworks etc. €50k + double garage €50k + terrace/driveway etc. €50k. Not to mention a (not mentioned) basement.

The price can (and maybe will) be realistic.

Well, as written above, we were simply too naive. Surely we had our ideas. But we actually went to a professional on purpose. Gave our basic parameters. That something like this would come out, we simply did not know. He never mentioned even once that we might have to redesign because prices are rising too much, or that our house itself would be expensive.

Because you are right, we planned a large terrace, a basemented double garage, basement, KFW 40+. So perhaps the 920k is really realistic – and now we have to pay the architect 10% of 900k instead of 650k€.. :(

Garage, basemented (!!!) double garage, 240m², presumably giant terrace, ... extravagance and megalomania know no bounds...

Of course, the budget gets blown. Let him redesign, I wouldn’t let him go out like that and let him make a killing off you.