Need advice: sign planning contract

Hello,

in search of a company to build our house, we have two companies in the final selection. However, the price difference between the two companies is considerable.

House 180m², flat roof, basement, garage Kfw 70 - construction cost calculator: €330,000

Company 1: €438,000 (binding offer)
Company 2: €360,000 (indicative price)

Floor plan is the same in each case, same construction method, B+L very similar

Company 2 now wants us to sign a planning contract (cost: €4,000) before they make us a binding offer. This includes a soil survey, a site inspection, and a planning of the house + cost determination.

Now my question is, is this reputable? Or is the "cheap" indicative price just a bait offer? Since I am not familiar with the industry and very skeptical of sales consultants, I wanted to ask here.

We have also requested quotes from several other providers, who each sent a binding offer immediately.

Thank you very much.

Hello,

In search of a company to build our house, we have two companies on the shortlist. Although the price difference between the two companies is already considerable.

House 180m², flat roof, basement, garage KfW 70 - construction cost calculator: €330,000

At medium standard with a usable basement and without painting work and floor coverings, the offer price for the pure single-family house should be around €340,000; plus another €11,000 for a prefabricated garage 3 x 9 with electric sectional door

Company 2 now wants us to sign a planning contract (cost: €4000) before they make us a binding offer. This includes a soil survey, a site inspection, and a planning of the house + cost determination.

You should not build without a soil survey – but why should you invest money beyond that on an uncertain conclusion? Any reasonable and thus serious seller will look at your property beforehand anyway; an offer is generally free – it is always the seller’s risk whether their offer is accepted or not.

Now my question is, is this serious? Or is the "cheap" orientation price just a bait offer?

I don’t know the provider, but the "orientation price" – if it indeed refers to the pure house – is a good estimate. If this provider is not an architect or if your gut feeling does not lean towards this provider, I would not sign the planning contract.

As a small addition for understanding: in our industry, the bad habit is increasing that interested parties go around the area and get offers from 10 or more providers. This pleases neither the seller’s nor the planner’s heart, because a good 70% of those offers are produced for filing "P"; aside from the fact that serious planning – without preparatory work – takes about 4 hours of computer time. Therefore, I can understand the statement of the 2nd provider. We ourselves have also introduced the planning contract for the same reasons, but only for customers who have highly complicated plots to be planned or extensive architecture to be implemented. However, the amount of our planning contract is then also higher than the €4,000 you mentioned.

We had also inquired at several providers, who each immediately sent a binding offer.

I would not do that, however. If we plan for an interested party free of charge, they should also take the time to discuss the offer personally with us. Since offers for house construction are usually new territory for potential builders, it is only logical that questions arise from the presentation of the offer. These questions – and the answers generate further questions in most cases – should be clarified face-to-face and thus in a short way.

Kind regards

Hello and thank you very much for the detailed response.

I have also considered getting help. What do you think of the Bauherren-Schutzbund e.V? Do you perhaps have another good tip for someone who could help me near Hamburg (north)? Preferably not just a preliminary consultation, but also construction supervision.

Best regards