Quantity Surveyor Reports for Bank Loans

Has your bank requested a "Quantity Surveyor Report" or an "Independent Advice Report" as part of your residential construction loan application?

It is becoming increasingly common for banks, mortgage brokers, and other financial institutions to request homeowners to provide a Quantity Surveyor Report (also known as a QS Report) for residential construction bank loans accompanying their applications. These loans could be for owner financing to construct a new home or for a builder or owner-builder seeking construction financing . 

 A Quantity Surveyor (QS) Report for a bank is a document prepared by a Quantity Surveyor that offers an independent and impartial assessment of the cost of a construction project. This report is typically created for the lender's benefit, as part of the loan application process.

The QS Report for bank financing provides the lender with a detailed analysis of the construction cost, encompassing materials, labor, and other construction-related expenses. 

The purpose of the QS Report for bank financing is to provide the bank with an accurate and reliable estimate of the construction cost, which the bank uses to assess the project's feasibility and determine the loan amount it can grant. The report also helps the bank manage its risk by assessing potential financial implications of the project, such as cost overruns, delays, or other issues. 

Additionally, banks may require a review of payment stages or request the owner to provide a QS progress claim report before releasing funds. This report is mandated by the lender to ensure that the builder's payment request for a milestone payment stage aligns with the payment schedule and contract, and that the payment claim complies with the completed construction work. 

We have extensive experience in preparing reports in formats required by various lending institutions, including Westpac, RAMS, St. George, NAB, CBA, ANZ, and others .

 We can prepare detailed and accurate reports according to your bank's requirements, including but not limited to:- 

1. Preparing initial cost estimates and quantity surveyor reports for bank loans.

2. Conducting site visits to inspect progress of the builder's works.

3. Prepare progress claim reports for bank drawdowns in accordance with the building contract including works complete, cost to complete and payment recommendation.

Furthermore, we can offer an assessment of any claims made by your builder for additional costs (variations, provisional sum adjustments, extensions of time), and other contractual matters to ensure the claim is equitable.

Contact us to discuss your requirements.