Picking a builder isn’t like picking a paint colour. You’re choosing the person (and team) who’ll be inside your life for months making decisions that affect budget, comfort, resale value, and how calm the whole process feels.
If you’re searching for a custom home builder in Melbourne, you’ll see plenty of beautiful photos. The harder part is working out who will run a clean process when the site is tight, the design is detailed, and the decisions start stacking up.
This guide is a practical checklist you can use to shortlist custom home builders Melbourne homeowners trust and to walk into your first meeting with the right questions.
Ready to talk about real numbers for your block?
1. Check the fundamentals first (registration + insurance)
This is the unglamorous part, but it’s what protects you if something goes wrong.
Confirm the builder is appropriately registered
In Victoria, you can verify a builder’s registration using the Building and Plumbing Commission (BPC) “Find a practitioner” tool. If you’re planning domestic building work over $16,000, make sure the builder is registered for the class of work they’re quoting on, not just “in the industry.”
Check insurance requirements early
Ask what insurances apply to your project and when you’ll receive the paperwork, so registration and coverage are confirmed before you commit to deposits or contracts.
Understand domestic building insurance (DBI) and when you should see it
Consumer Affairs Victoria explains that for domestic building work over $16,000, the builder must provide a copy of the DBI policy and a certificate of currency before taking a deposit or any other money.
That’s a normal request. A trustworthy builder won’t dodge it.
2. Make sure they’re actually set up for “custom” work
“Custom” isn’t a style. It’s a way of working.
A good custom builder can handle:
- detailed documentation and constant coordination
- unusual materials and one-off details
- higher expectations around fit and finish
Pascon positions itself as a Melbourne-based builder delivering highly specified, architecturally designed residential projects across Victoria.
So if you’re comparing builders, look for that same proof of capability not just the word “custom” on a page.
3. Look for a process you can understand, not promises you can’t verify
A trusted builder can explain their process without jargon, and they can tell you what happens next.
Pascon describes a step-by-step approach that starts with sharing your vision, then design/planning (including council requirements), then construction with regular updates through to handover.
That’s a good benchmark: you want a builder who can talk clearly about each stage, what you’ll be doing, and what they’ll be doing.
Green flags in early meetings
- They ask about your lifestyle and your budget range (not just your Pinterest board).
- They explain what decisions you need to make early (to protect price and timeline).
- They talk about how communication works once construction starts (not just during quoting).
4. Quotes are easy to compare when the scope is clear
A lot of people think they’re comparing builders. Really, they’re comparing documents and many quotes aren’t comparable.
Pascon’s “7 common issues” guide calls out a key truth: comparing quotes is only fair when you use a single inclusion schedule, and when you understand the difference between allowances and properly specified items.
Your job here: push for clarity.
- What’s included?
- What’s excluded?
- What’s an allowance?
- What’s a provisional figure?
- What assumptions has the builder made?
If a quote looks “too good,” it’s often because the scope is light.
5. Learn the trap words: prime cost items, provisional sums, and variations
These three terms are where budgets get quietly wrecked even with a “fixed price” contract.
Consumer Affairs Victoria explains that contract price changes can happen through mechanisms such as variations and through prime cost and provisional sum items.
Prime cost (PC) items | Provisional sums (PS) | Variations |
A placeholder amount for an item you’ll choose later (taps, appliances, tiles). If your taste costs more than the allowance, you pay the difference. | A placeholder amount for work where the scope can’t be fully confirmed upfront (often excavation, rock, or tricky site work). If it costs more than allowed, you pay the difference. | Any approved change to scope after contract signing which can affect cost and time. |
What a trusted builder will do; They’ll make allowances realistic, explain how they were set, and show you how the variation process works.
6. Don’t skip contract basics (Victoria-specific)
Even if you never read legal documents, you should understand the big basics.
Consumer Affairs Victoria states the threshold amount for a major domestic building contract is $10,000, and that cost plus contracts are permitted only above a $1 million threshold.
They also note builders must provide the Domestic Building Consumer Guide before you sign a major domestic building contract.
What to look for in the contract discussion
- How progress payments are staged
- How variations are approved
- What’s included in the “specification”
- What happens if selections are delayed
- How time extensions are handled
If a builder rushes past these, that’s a red flag.
7. Ask who handles permits and approvals and confirm it’s written down
Permits can be confusing, and confusion causes delays.
The BPC explains:
- Planning permits are issued by your local council and give permission to use or develop land in a particular way.
- If you need a planning permit, it must be issued before you can obtain a building permit.
- Building permits relate to the building work and are issued by a building surveyor.
The Victorian Government also summarises the difference: a planning permit is a legal permission to use/develop land; a building permit is written approval allowing building work to go ahead and provides protections around safety and amenity.
What to do:
Ask your builder to explain your likely pathway and include responsibilities in writing. The Victorian Government notes your contract should state who is responsible for obtaining planning/building permits if required.
8. Make communication a selection criterion (not an afterthought)
Most build stress isn’t caused by one big disaster. It’s caused by ten small misunderstandings.
Look for:
- a single point of contact (or a clearly defined team structure)
- regular updates and clear decision deadlines
- transparency when something changes
Pascon repeatedly emphasises clear communication and step-by-step project management, with a focus on keeping clients informed throughout the journey.
Simple question that reveals a lot: “How often will we hear from you once the build starts and what does an update include?”
9. Quality is easier to judge when you ask the right questions
Instead of asking “Are you quality?” ask questions that force a real answer:
- “How do you run quality checks through the build?”
- “How do you handle defects at handover?”
- “Do you have a handover checklist?”
- “What does aftercare look like?”
A builder who’s proud of their process will welcome those questions.
10. Look for real proof: portfolio, repeat clients, and the way they talk about work
Photos matter but context matters more.
Pascon’s portfolio positions them as a Melbourne leading builder with projects across Melbourne and mentions being featured on Open Homes Australia.
Whether you’re looking at Pascon or another builder, use the same lens:
- Do they show a range of projects, not just one “hero home”?
- Do they explain constraints and outcomes?
- Do testimonials talk about process (communication, accountability), not just aesthetics?
First meeting checklist
- Are you appropriately registered for this type of domestic building work, and where can I verify it?
- For work over $16,000, when will I receive domestic building insurance documentation before any deposit is paid?
- What’s included and excluded in your quote/specification?
- Which items are prime cost or provisional sums, and how did you set those allowances?
- How do variations work (approval, cost, and time impact)?
- Do I need a planning permit, and who manages that process vs the building permit?
- Who is my day-to-day contact once construction begins, and how often will I get updates?
Where Pascon fits (if you’re building in Melbourne/Victoria)
Pascon is a leading Melbourne-based construction company delivering high-quality projects throughout Victoria, specialising in highly specified and architecturally designed residential dwellings, with a guided “concept to handover” approach.
Start your project with Pascon
Bring your site details, must-haves, and a ballpark budget. We will map a clear path from concept to handover and give you realistic timings for your suburb.
