Posts Tagged ‘House Buying’

Replacing Scrim With GIB – What Does It Cost To Re-GIB?

In previous post we discussed what Scrim and Sarking is and why it should be replaced. Then we talked about just what re-GIBing is. Now we are getting down to it – the money...

What is it Going to Cost to Re-GIB – The Basics

For a straightforward room (a small double room with not too many fiddly bits!) the cost of re-lining with plasterboard (re-GIBing) depends mostly on the wall area that is being covered. It can cost upwards from $800 - $1,000 per room to get the room to a state that it is ready for painting i.e. Plasterboard put up and plastering of the joins to give a smooth finish (GIB Stopping). This price would be for a DIY job with a GIB-stopper hired in. A big factor is whether you do it yourself or hire in the professionals – this will add a lot more to the cost - and if this is the way you are going - get a few quotes.

The type of plasterboard or GIB you use can impact on the cost – GIB Standard® is the most inexpensive – if you use GIB Aqualine® in wet areas such as kitchens, bathrooms and laundry’s or GIB Noiseline® where you want noise reduction then the will cost a bit more. To find out more about the GIB products check out their website.

What is it Going to Cost to Re-GIB – Wait! There’s More!

How you prepare the room for re-GIBing can impact hugely on the cost – are you going to strip all the Scrim and Sarking off? Or just strip off the Scrim and screw Plasterboard to the old Sarking board?

Replacing Sarking with GIB - Cost to Re-GIB - Removing Sarking Boards

Removing The Sarking Boards - Some Dry Rot Exposed

Commonly the Sarking board provides a horizontal bracing element for the house – i.e. there are no Dwangs behind Scrim & Sarking walls – you will need to replace this bracing element if you remove the Scrim & Sarking completely. This is now a structural issue – don’t ignore it! It important to address properly and may involve putting in new Dwangs and/or even using a product such as GIB Braceline®.

Replacing Sarking with GIB - Cost to Re-GIB - Wall Structure After Scrim and Sarking Removed

Wall Structure Once Scrim & Sarking Removed - No Dwangs

If you do remove the Scrim and Sarking completely you never know what you are going to find. Often you find relic’s from a bygone era in the form of old coins, bottles and cutlery, but less fun is finding rot – which will need to be repaired, and the source of the rot identified and fixed, before you can re-GIB. The costs of this kind of find can add up...

Replacing Sarking with GIB - Cost to Re-GIB - Dry Rot in Wall Framing

Dry Rot & Borer Exposed

If you are planning on insulating (which is always a great idea!) this adds to the cost, and again, if you choose higher rated insulation or insulation with noise reduction properties the cost will increase.

How do you insulate if you are not removing the Sarking Board? You can take out every third board and feed the insulation in. This keeps the bracing element of the Sarking Board but allows you to insulate the wall cavity. Just remember where the missing boards are when you are screwing the GIB on!

Something that can really impact the cost of re-lining is what you decide to do with the existing covings, architraves and skirting board – can they be kept in place? Removed and reused? Or do they need to be replaced? The majority of re-GIBing situations require coving, skirting board and architraves to be removed.

Sometimes a ‘work-around’ can be arranged if you have intricate moulded covings you want keep. Re-GIBing can be done where the GIB butts up next to architraves and sits on top of skirting boards – but in most cases it is hard to get a good finish with this technique.

So replacing your Scrim and Sarking wall linings is going to take a bit of planning, and probably a bit more money than you thought - so make sure you have the time and the budget to do it properly before you start.

The Propertytoolbox Home Buyers Guide

Want more home buying info and advice? Head to our home buyers guide. With advice on all aspects of the home buying process - all you need is here.

Replacing Scrim With GIB – What Is Re-GIBing?

Last week we discussed just what Scrim & Sarking is and how to identify it. Then we talked about why GIB should be replaced. Now, before we move on to the cost of re-GIBing, we are discussing just what re-GIBing is...

What Is Relining? Or Re-GIBing?

Relining or Re-GIB is when Scrim (or any other inferior wall lining) is replaced with plasterboard. In NZ Plasterboard is commonly referred to as GIB – this is the brand name for the most commonly sold form of plasterboard. GIB has been around for a long time and is considered an iconic NZ brand.

What is GIB or Plasterboard?

Plasterboard is a rigid board which is made by casting gypsum plaster and coating with paper. All plasterboard resists fire and is the most commonly used wall board product in new builds. Current building regulations require certain specifications for wall board and fire ratings for all walls. Modern plasterboard is designed to meet these requirements.

re-GIBing - replacing scrim with GIB

Scrim and Sarking Removed - New GIB On

Once new plasterboard has been put up the final part of the re-GIBing process is GIB-stopping. GIB stopping is where the joins between the GIB sheets are plastered to give a seamless finish. While working out how to put up GIB just takes a bit of research, the right tools, planning and some muscle – GIB-stopping is a bit of an art! It pays to hire in some highly recommended GIB stopping talent for this bit.

GIB is made by Winstone Wallboards. On their website they have all the resources you need to find out about GIB and how to install it.

Re-GIBing – It’s Just a Small Part of Renovation

Re-Gibing it not just about putting up some plasterboard – it is an opportunity to sort out a lot of things in a room, when you strip off the old Scrim &/or Sarking Board you are going to get a window of opportunity to access difficult areas and usually inaccessible components of your house.

This is a great opportunity to insulate! Insulating exterior walls is a must, but even insulating interior walls with normal or sound proof insulation can improve your enjoyment of your home, keeping it warmer and quieter!

re-GIBing - replacing scrim with GIB

New Insulation & New Wiring Including CAT5

You can take the opportunity to replace old wiring in a room you are re-GIBing and even put in more plugs, light fittings and switches. What about wiring for speakers etc? And have you considered smart wiring (CAT 5)?

Next Post - Re-GIBing Scrim - What is it going to cost to re-GIB

The Propertytoolbox Home Buyers Guide

Want to find out more about how to identify problems with a house before you buy it? Check out our guide to building inspectors – or for a quick do it yourself read our house inspection tips.

Replacing Scrim With GIB – Why Should I Do It?

Last blog post we discussed just what Scrim and Sarking was and how to identify it. This week we are discussing why it should be replaced. If you want to skip right to the practicalities check out our posts on - what is re-GIBing and what will it cost to re-GIB.

What’s Wrong With Scrim and Sarking?

Scrim and Sarking is a fire hazard – is it dry and brittle – having been aging and drying within your house for nearly 100 years. Combined with aged wiring, the risk of fire, and risk or significant damage from a fire, is much higher than that of a modern home.

Scrim wall linings are also very unsuitable for the purposes of redecoration. When scrim deteriorates, it comes away from the Sarking leaving an unstable base for painting or wallpapering (particularly in room corners – this is a very tell-tale sign of Scrim).

Why Should I Re-GIB?

Insuring your home can be problematic when you have inferior wall linings. Your insurance company will ask if your house has been relined when you get insurance, they consider Scrim & Sarking wall linings an increased risk factor for damage.

If you have Scrim & Sarking wall linings, especially combined with old wiring your insurance company may not be prepared to offer you their most comprehensive insurance policy.

Replacing Scrim with GIB - Re GIBing - Why should you do it?

Sarking Boards Exposed

Replacing Scrim and Sarking - The Result

Replacing Scrim and Sarking with GIB will give you a stable, fireproof, smooth wall that when GIB Stopped and redecorated (painted or wallpapered) will give you the ability to get a high quality finish. Removing old wall linings before re-GIBing also gives you an opportunity to access and repair the wiring, and insulation a room.

So to ensure you home is safe, to be able to get a comprehensive insurance policy and to get the most benefit out of any renovating and redecorating – removing Scrim and Sarking and re-GIBing is essential.

Next Post - Replacing Scrim with GIB – What is Re-GIBing?

The Propertytoolbox Home Buyers Guide

Still on the house hunt? Check out our house buying guide – we have all sorts of tips and tricks to help you make great house buying decisions.

Replacing Scrim With GIB – What Is Scrim And Sarking?

Re-GIBing Scrim and Sarking is the Propertytoolbox topic for the next 4 blog articles. The articles will cover:

• What Scrim and Sarking is and how to identify it (that's all covered in this article)
why you should consider replacing it
what re-GIBing is
What re-GIBing costs

What is Scrim and Sarking

There are generally three types of wall lining used in New Zealand houses:

• Scrim and Sarking
• Low Density Fibreboard
• Plasterboard – GIB

We are focusing on Scrim & Sarking because this is the most problematic type of wall lining in NZ homes.

What is Scrim and Sarking

Scrim & Sarking – often just called ‘Scrim’ is a hessian or jute sacking material (Scrim) that has been tacked or stapled on to rough sawn, horizontally placed, thin wooden planks (Sarking).

Layers Of Wallpaper On Scrim

Scrim and Sarking forms the 'wall board' - to which wallpaper is then fixed. Over the years a Scrim and Sarking wall may have been covered by many layers of wallpaper and in more recent times painted. Scrim and Sarking was used commonly in houses built in the late 1800’s and the early 1900’s.

Sarking Boards Exposed - Wallpaper Layers & Scrim Partiall Stripped Away

How Do I Know if it is Scrim and Sarking?

If you suspect a house has some Scrim & Sarking wall linings i.e. It falls into the ‘late 1800’s to early 1900’s' age bracket. Here are three tests you can use to work it out:

  • The knock test - Scrim (unsurprisingly) feels like knocking on wood. Scrim is a very hard surface; the knock is hollow sounding, with the sound carrying well. It is impossible to distinguish any studs when knocking along the wall.
  • The floating wallpaper test – Scrim & Sarking is ‘finished’ by covering the Scrim with wallpaper (sometimes the wallpaper has since been painted). With age the hessian Scrim starts coming away from the Sarking and gives the impression of floating, bulging or twisting wallpaper. This is especially obvious in room corners.
  • Close inspection – With close inspection you can sometimes see rough sawn board (Sarking) or hessian (Scrim) where wallpaper is loose or has come away, or the wallpaper will look ‘textured’ as the woven hessian fabric has imprinted the wallpaper from underneath.

Close Examination - Sarking Boards, Scrim & Wallpaper

Using all or a combination of these techniques you should be able to identify Scrim & Sarking.

Next Post - Replacing Scrim with GIB – Re GIBing – Why Should I Do It?

The Propertytoolbox Home Buyers Guide

Do you think the house you are looking to buy has Scrim and Sarking wall linings? Not sure and want to find out more? Maybe a building inspector can help - and make sure to check out our ten key rules before you put in that offer. For more help, tips and tricks when you are on the house hunt, check out our house buying guide.

Insuring Your House Before Settlement

Before you even can settle on your new home you will need proof that you have house insurance. Why? In most cases you need to borrow money off a bank to buy, your bank is using the house as collateral for the loan and wants to make sure that if anything unexpected happens to the house there is insurance to cover it – they are protecting their collateral! Therefore your bank will require house insurance as a condition of your mortgage. Get your insurance organised well in advance when buying a house and get your insurance company to send a certificate with proof of cover to your lawyer. The settlement day process, and drawing down of your mortgage, cannot be done if this proof of insurance document is not available. Insurance can be a bit of a minefield and it really pays to shop around and to read the fine print of each policy carefully before choosing. Things such as market value replacement, versus sum insured replacement should be fully understood and what is covered and not covered should be worked out. What kind of insurance you choose to take out is ultimately a personal choice. The consumer website has the most comprehensive information on insurance, and even compares policies. Gradual damage is an interesting part of insurance, and it can be a real surprise as to the level of cover for this you have in your policy. Here is a great article about gradual damage and insurance. Cost of insurance can vary widely and it is a good idea to find out what insurance is the best value for money. Lately insurance premiums seem to have gone up hugely, so it may be a good time to look around at someone other than your current insurer. With insurance, the cheapest insurance is likely to be inadequate when it comes to insuring your home – so make sure you know what you want/need in your insurance policy and choose one that gives you this. Like with many things, putting some time and effort into getting familiar with house insurance will mean you don’t get any nasty surprises and you will know what you are paying for. Are you about to settle on a house? The settlement section in the Propertytoolbox house buying guide has all you need to know.

House Checklist – 10 Quick Visual Checks

Here at Propertytoolbox we are a big fan of open homes, we like to have a good look around at a lot of houses so that we can get a good feel for what is out there, how much people want, and even seeing how many people are turning up to open homes is a good fact to have tucked away.

Often, 'liking a house' can take you by surprise, especially if you have seen a lot of houses, and been to a lot of open homes. If you can feel your interest in a house stirring as you look around, calm down and make an effort to look at these things. These are 10 easy things to remember that will give you a good idea of what is going on with the house.

  1. Is there any smell?
  2. Are the floors uneven?
  3. What is the light/sun situation?
  4. Are the rooms a decent size and shape?
  5. Are there wardrobes in all the bedrooms and additional storage?
  6. Where is the laundry and washing line?
  7. Has anywhere inside been 'knocked through', 'extended' or 'filled in'?
  8. Can you fit your car in the garage?
  9. What does the neighbours house and section look like?
  10. It is the best/worst house in the street?

It is surprising how quickly your thoughts can change about a house when you find your neighbours have two car wrecks in the backyard and the house gets no afternoon sun.

What do all these things mean? And just how big should a bedroom and garage be? All this home buying information is here.

This quick checklist is not a substitute for a building inspection, but is a good way to make yourself have a good look around.

Is Buying an Apartment a Good Idea?

Someone asked Propertytoolbox about whether buying a cheap apartment was a good idea. The theory being that the apartment would be a way to get onto the property ladder (they could afford the deposit and the mortgage repayments), it would only be held onto for a short time, it would grow in value, and then could be sold and the extra cash could be used to buy a nice home.

This is an interesting question, and many people do consider this kind of thing, but here are some key things you should bear in mind...

In theory an apartment should be easier to save a deposit for, as they are in general cheaper than your average residential house. But, in the majority of cases banks will not lend you 80% on an apartment, these days the figure will be 50%-70%! So a bigger deposit is needed and this straight away indicates that even your bank thinks apartments are a high risk investment.

Using the word 'investment' is pretty key too - if the IRD thinks that you are buying and selling a property to make money they will tax your profits - check out this house buying and investment income info from the IRD to find out more about this.

Also there are some additional costs associated with apartment ownership. On top of your usual rates and insurance you have body corporate fees and these are not cheap! Body corporate fees are basically your contribution to the upkeep of the shared areas of the apartment i.e. the exterior, the grounds, the lifts etc.

There is a great guide put out by Auckland regional council about the body corporate it is an eye opener! One of the worst assumptions you can make when buying an apartment is that the body corporate fees will not go up! This ongoing cost, when added to the other regular expenses of mortgage, rates and insurance makes for a hefty monthly bill.

Also, there is an assumption that your apartment will increase in value over (a short?) period of time, this is something nobody can predict. The housing/apartment market could go either way, or stay the same... And, that home you want is changing in value to...

Finally, all apartments are definitely not created equal! When you are looking at an apartment to buy - do your research carefully. Cheap apartments are usually cheap for a reason.

These are just a few things to get you thinking about apartment buying. So before you leap into apartment buying because it seems affordable, have a good think about why you are doing it, it may be better just to save more of a deposit, or maybe you need to think a bit more about what you really want in a house - maybe with a bit of compromise, a good house, with potential to be a good home is available and affordable...

Making a Tender on a House – After the Tender Has Been Made

Last post we talked about how to put in a tender, and before that we explained just what a tender is. This post is all about ‘after the tender’. Sometimes with all that is going on with just making a tender, once the tender has been submitted you find yourself saying - What now? Well here is what to expect.

What Happens After the Tender is in?

The tender(s) received are all kept sealed (confidential) and are not opened until after the close of the tender. The tenders will be opened with the vendor present, this may not be until a few hours after the tender closes.

The details of each tender will be explained to the vendor as they are opened. If there is more then one tender, the agent will usually document the key points of the individual tenders as they are opened on a separate piece of paper for the vendor to review.

The vendor can choose to accept any tender (not necessarily the highest one), reject all the tenders, or enter negotiations with one or more of the tenderers.

If the vendor does not receive the price or terms they want, they may choose to start negotiations. The submitters of the top tenders can be asked to re-submit a new offer, or negotiations can continue with one. This can mean that tender negotiations continue well past the tender time/date.

When Will I Hear if my Tender is Successful?

You should hear back from your agent within a few hours of the tender close time. The agent will tell you whether or not you have been successful. If you are, you now have a contract with the vendor and can start working through your conditions (if any). If your tender has not been successful, your deposit cheque will be returned.

Your agent may come back to you asking for an improvement in your offer (more money, less conditions), there may be another offer very close to yours, or your offer is the most favourable offer, but the vendor is after a bit more i.e. the vendor wants to enter into negotiations with you, the agent may even come back to you with a countersigned agreement.

Think through any changes in your offer carefully, remember you already put in your ‘best offer’ when you submitted the tender!

What If I Don't Hear Anything About the Tender?

If you do not hear within a few hours the result of the tender, contact the agent and discuss the situation. Agents often hold off contacting any of the tenderers until a contract has been agreed.

In this situation make sure you are comfortable with what is going on. Ultimately, if the tender deadline has past, and the vendor is in negotiations with another party, your offer is now considered unaccepted and you are free to pursue other house purchase opportunities.

What Happens After the Tender on a house

The Propertytoolbox Home Buyers Guide

Just starting out on the house hunt? Not even sure if you can afford a house? Maybe a free chat with a mortgage broker could help you find out.

Making a Tender on a House – Putting in Your Tender

Last blog post we talked about just what a tender is.This post is all about putting in a tender. Next post we give you an insight to after the tender.

Thinking of Making a Tender on a House?

If you are interested in making a tender on a property, request a copy of the tender documents from the real estate agent. The tender documents can include any or all of: Never assume that the tender documents include all the relevant documentation with regard to a property. You still need to do your own house buying checks.

Ready to Put in a Tender?

If you have done all your checks, your happy, and you have decided you are going ahead with the tender, read all the tender documents carefully, and fill them in.

The sale and purchase agreement will need to be completed including adding your details, the purchase price, the deposit amount, the settlement date and any conditions. There may also be other documents to sign i.e. acknowledgement that the sale is by tender.

Get in Touch with Your Bank or Mortgage Broker

This is also a good time to run the details of the property you are interested in past your bank or mortgage broker. There may be some issues with the property that could affect the amount a bank is prepared to lend i.e. its condition, title type, location etc.

This can be quickly checked. It is always good to have some mortgage advice at this point and a good mortgage broker, or personal banker can help – take advantage of free advice from a mortgage broker!

Conditions in Your Tender

Deciding on conditions to have in your tender can be difficult. A condition free tender (a cash tender) is always going to be more attractive then a conditional tender if the money is approximately the same.

A tender process often gives you time to work through all your potential conditions prior to the tender date i.e. you can get a building inspection, valuation, LIM, and confirm you finance etc, but whether or not you choose to do this is up to you. Propertytoolbox has a few thoughts on the subject of conditional vs cash offers here.

Help with Your Tender From Your Property Lawyer

It is very important to get your property lawyer or conveyancer to look over the tender documents. In most cases, the vendor will have added conditions and deleted standard clauses in the sale and purchase agreement.

Your property lawyer can tell you the implications of these changes, change the wording of the tender conditions if necessary, add any of your own conditions and check the title.

Done all Your Checks? Time to Submit Your Tender

After all these checks have been done, and you are happy to proceed, the tender can be submitted (usually to the real estate agents’ offices), with a cheque for the deposit, before the tender closes. You will get a receipt to confirm that your tender documents & deposit were submitted.

Working Out Your Chances of Winning the Tender

With a tender situation you may be the only tender, or one of many. You may be able to gauge this by asking the real estate agents office how many copies of the tender documents were sent out, or you can ask the agent – neither is a reliable method.

The reality of a tender is that unless you have reliable information to the contrary, you have to assume you are in a competitive bidding situation and have to put in your best offer.

Houses Sold Prior to Tender

Be aware of the fine print as some houses are advertised for sale by tender (unless sold prior), which means the vendor is open to offers before the tender date. In this situation, you can choose to approach the vendor early or wait to the tender date.

Registering your interest in the property with the agent ensures that if an offer is being submitted prior to the tender date, you get a chance to put an offer in also.

Next Post – Part 3 – Making a Tender on a House – After the Tender Has Been Made Making a Tender on a House |

The Propertytoolbox Home Buyers Guide

The Propertytoolbox house buying guide has lots more helpful stuff for all you house hunters – head there now!

Making a Tender on a House – What is a Tender?

Welcome to the Propertytoolbox three part series on making a tender on a house. This first post explains just what is a tender. Next post, we talk about putting in a tender, and the post after that will be that all important subject of - what happens after the tender has been put in!

What is a Tender

A tender is a way of marketing and selling property. When a house is sold by tender, any offers (tenders) for the property are made by a set date and time (the tender date – which is set by the vendor) and tenders can be conditional offers. A vendor with a house for sale by tender is usually not open to offers prior to the tender date.

What is the Tender Process

The tender process attempts to encourage a competitive offer situation with the tenderers all being unaware of what the other is offering. Sometimes the ‘winning’ tender can be far in excess of any other tenders. The reason for choosing to sell a house by tender are many and diverse! But the most common are:

  • The real estate agent feels that there will be a number of people interested in the house, a tender is a good way to structure a multi offer situation.
  • The vendor wants a strong marketing campaign with a set end. The house will be marketed intensively over the days/weeks leading up to the tender date.
  • The property is unique and difficult to value – a tender lets the market decide the value.
  • A house being sold by tender can give the illusion that there is strong interest in the property – this is a clever marketing technique that implies a multiple offer situation when in fact there is likely to be little interest in the property.

Properties for Sale By Tender

Properties for sale by tender are usually not marketed with a price. However, a trend over the last couple of years has been the ‘tender reserve’ where a guide as to the minimum amount acceptable to the vendor is advertised.

What is the difference between a tender and an auction? A tender is different from an auction because of two crucial points:

  • The tender offer can include conditions (an auction bid is an unconditional offer).
  • When tendering you don’t know what other potential buyers of the property (tenders) are offering, unlike you fellow bidders at an auction.

Open and Closed Tenders

The terms ‘open’ or ‘closed’ tender can often be used – this can be a confusing! An open tender is a tender made available to anyone while a closed tender is where only selected individuals or companies are invited to submit a tender on a property.

Open tenders are the most common form of tender used for the sale of private dwellings. Often the term ‘closed tender’ is used incorrectly – most commonly the intended meaning of ‘closed tender’ when used with regard to residential property is that offers will not be accepted prior to the tender date – but this should be confirmed.

Next - Part 2 - Making a Tender on a House - Putting in Your Tender

What is a Tender on a House

The Propertytoolbox Home Buyers Guide

Want to find out more about house buying? The Propertytoolbox house buying guide has all the basics – check it out. Want to bookmark a great dictionary for all those real estate terms – the Propertytoolbox definitions section is a fantastic reference.