Contract Terms

Prime Costs

George Giannakakis

By George Giannakakis · M.Arch · RLA300580 · HIA Industry Judge

Last reviewed: · How we research

Working on real numbers? Read the independent Adelaide Build Cost Report 2026 for current per-sqm rates, site-cost bands and the hidden line items most quotes miss.

Prime Costs explained in detail

An allowance in a building contract for the supply and delivery of a specific fixture, fitting, or material (e.g., kitchen taps, bathroom fixtures, carpet) not yet selected or priced at contract signing. Prime costs (PCs) typically exclude installation labour, which is covered separately. If you spend more than the allowance, you pay the difference; if less, you receive a credit.

Related Terms

Frequently Asked Questions

Common questions about prime costs

A Prime Cost (PC) item is an allowance in your contract for specific fixtures or materials you haven't chosen yet (e.g., tapware, tiles, appliances). The builder includes an estimated amount. If you choose items that cost more, you pay the difference plus the builder's margin (typically 20-30%).

Contract and legal information

Building contracts, dispute resolution, and consumer law are complex and vary by state and contract type. The information here is general in nature and may not apply to your situation. For advice about your specific contract, rights, or dispute, speak with a building lawyer, your state’s consumer protection body, or a licensed building consultant.

Cost figures are indicative onlyUpdated February 2026

All prices and cost ranges mentioned are approximate, based on Adelaide market conditions at time of writing, and may not reflect current pricing. Actual costs depend on your specific site, design, builder, materials, and market conditions. Project-specific quotes from qualified professionals are needed for accurate pricing.

Authoritative Sources

Verify against the binding rules in your state

BuildPilot is an independent home-build CoPilot - we publish guidance, we don't hold a building licence. Every Australian residential build must comply with the National Construction Code plus state-specific Acts and consumer-protection law. The authorities below are the primary sources of truth for the rules that actually apply to your project.

National

Australian Building Codes Board (ABCB)

The primary national set of technical building standards that every Australian build must comply with. Volume 2 covers Class 1 & 10 buildings (most homes).

Standards Australia

Specific material, product and method standards (e.g. AS 3700 masonry, AS 1684 timber framing) referenced by the NCC.

HIA

National peak body for residential builders. Publishes the most widely used home-building contracts and consumer guidance.

Master Builders Australia

National peak body for general builders. Publishes commercial and residential contracts and industry guidance.

Links above open the public website of each authority. BuildPilot is not affiliated with these bodies and does not act on their behalf. Information on this page is general - check the current edition of the NCC and the relevant state Act for binding requirements.

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