End cooperation with the architect

Hello everyone,

I have a question. We got in touch with an architect through an acquaintance, but we are not really satisfied with the process and the work. Therefore, we want to part ways with the architect after realizing that we don’t really get along.

There is no contract we signed. When I addressed the costs in the first meeting, he said he charges the minimum rate of the HOAI and that he would first create a draft. When I asked what would happen if we didn’t agree, he told us not to worry and that something like that would not happen.
Now it has happened and the question is how to proceed best and what the architect can charge for his services?

What has been done so far: In the first meeting we said we want a house with 160 m² and that the maximum cost should be 260,000 T€ all in. I explicitly asked if that was feasible and he said we could manage that.
After the presentation of the first draft, we were at 320,000 €. I said that while it was a nice draft, the costs did not fit and that we needed to reduce them. We thought about the draft and gave changes to the architect, as he had also forgotten a room. Of course, we asked him to reduce the costs. Our changes were implemented, but at the appointment there was no new cost estimate. The architect, however, said we would still be at 320,000 €. He hadn’t considered the blinds and underfloor heating in the first cost calculation. Regarding the budget of 260 T€ from the first meeting, he suddenly said that he had seen the sum without his architect fees, but I had explicitly said it was the amount including his fee.
Well, we asked for an alternative floor plan for the next appointment, since the previous plan was a split-level house as we have a sloping plot. He presented this alternative draft to us (I think it was some existing floor plan from his drawer), but without a cost breakdown. He said it won’t be cheaper than the first draft.
So we keep going around in circles and nothing really happens to reduce the costs.
Now we gave further changes to the first floor plan. The architect finally reduced the volume and we are now at a sum of 300 T€. Proudly he mentions in his letter that we have now reached our budget, if we subtract our planned own work from the construction sum. I have to say we raised the budget to max 280 T€ after the 2nd draft.
But now we do not like the floor plan anymore because of all the cuts (access to the utility room through the guest WC) and somehow the trust relationship is no longer really there (caused by countless reminders about the budget, drawing in a masonry fireplace (still not taken into account), etc. etc.)
The fact is, our budget has not been reached so far and we will not reach it without getting smaller and smaller. That has little to do with our 160 m² and 260 T€ - 280 T€ budget.

Now my question is how to best end this misunderstanding and what the architect can charge us. He should not have done it for free, but I also don’t want him to come with an exaggerated bill. Honestly, I don’t even know in which service phase we are. We have somewhat completed phase 1, basic evaluation, and what is the difference between phase 2 and 3? In my opinion, we are in phase 2 - preliminary design + cost estimation. So far we have always received colorful prints with exterior views + sometimes his cost assessments, but is that already design planning?

I am grateful for your help on how to proceed best.

You can simply start a HOAI calculator and roughly estimate the values. If you now assume that he takes 300,000 for his calculation, then about €3,600 net will be due for phases 1 and 2. That is a nice sum. But the problem you now have is that you do not have a contract. And the second problem is that often an architect is only paid when an approval-ready plan is available. This is planned in phases 1 to 4. I would first seek a conversation and clarify exactly these questions.

260 k€ including planning costs (fees) and including incidental construction costs or excluding incidental costs? Split-level is probably already a bit more expensive, and building on a slope as well. Otherwise, analyze your needs again? What don't you like anymore? I believe building a house is almost always a compromise – we also wanted a castle and are building more of a hut (well, not quite that bad). I would also agree with Koempysonst – just ask what he would charge for the previous planning services. Just say that you can't afford the house like this for now.

We also wanted a house for 250 and are now making one for around 350. Unfortunately, our architect can’t work miracles either...

Good morning, of course you’re shocked at first by what a house costs and later realize what’s left of it ;( I also don’t want the architect to hex, but if I say at the first appointment our limit is €260,000 for everything, then he should tell me right away that we won’t manage that, right? And not say that it’s possible and suddenly the first draft comes out at €320,000. At first, it’s not about whether I can afford it or not, but that he has to stick to the specifications, namely the budget. And so far he hasn’t managed that. But thanks already for your feedback, I will then try to have a conversation with the architect and see what comes out of it. I’m just afraid that he will charge more than what is actually delivered.

Engagements without a contract are always problematic, especially when the amounts are higher. Ultimately, it will depend on the scope of the engagement that could be assumed through the actions of both parties. Payment claims could then be derived from this. In the worst case, everything must be thoroughly examined, including checking whether the present draft is actually [budget-compliant].