How Much Do Architects Charge In The Philippines

     

HOW MUCH DO ARCHITECTS CHARGE,
AND HOW DO THEY CHARGE?

Not in all cases will architects charge the same.
This article will show you how much is the standard fee for an architect to produce the plans for your proposed house in the Philippines.


You may have your own reasons why you would like to know how much architects charge, it may be because you are computing and preparing yourself for probable expenses on the budget, or you maybe comparing prices between different professionals, or even maybe because you want to see if it is worth it to hire one or not.

So, the answer to this question really depends on several factors

To give you a rough idea on how much does an architect charge in the Philippines before you start reading the rest of this article. The standard minimum fee of architects in the Philippines is 10% of the Project Construction Cost. This is the standard laid out minimum fees in the old books. This percentage fee shall usually cover the typical engineering fees, from feasibility studies, structural analysis, electrical analysis and tabulation, sanitary design, simple mechanical design, signatories of allied professionals, specifications, complete set of plans and documentation and the other typical requirements.

Now this percentage fee can serve you as a bench mark when computing for fees. BUT, this percentage fee doesn't always apply for all cases. With that said, it is highly recommended to consult with a good local architect and allow him to evaluate the project first before he will provide you with an initial estimated cost, this evaluation phase is called the "Feasibility Study Phase".

What is the Feasibility Study Phase?

The Feasibility Study Phase, is the earliest phase when proposing your project.
Here, the professional that you hired will evaluate and analyze the project for site feasibility, achievability, possible threats to watch out for, projected costs, estimated time frames, and give you recommendations.

Conducting feasibility studies is typically time consuming which can take a few weeks or even months to study, so this isn't free to conduct. The typical minimum cost for architectural feasibility study is P25,000 with a maximum duration of one month, however the professional may adjust this fee based on the early data gathered from the first call or the first site visitation.

In the event that the realized works requires more efforts and time than anticipated, your architect will then inform you on this and will charge you an additional cost based on his findings. He may require additional works needed such as the soil testing, detailed surveying, structural auditing, and other.

Can I pay through installments with my architect?

Yes, you can and you should pay through installments.
The first project phase installment was discussed above called the "Feasibility Study Phase."

The next phase after this is the Schematic Design Phase.

What is the Schematic Design Phase?

After all the essential data has been gathered and your architect now has the good knowledge and understanding of the project, your needs, and the professional recommendations, the next project phase is the production of conceptual designs and non-technical layouts called the schematic design phase. In this phase the architect typically charges you 15% of the total fee minus the initial first deposit (P25,000). So for example, if the total estimated cost to construct your house is 7 Million Pesos, then your architect will bill you P80,000


What is the Design Development Phase?

Once, the conceptual designs are agreed upon between you and the architect, he will then proceed to drafting the technical plans which include the specifications for both architectural works and engineering works. Your architect will typically bill you a lump sum amount that shall cover both his own fees along with the allied engineering fees. The Design Development Phase will cost 25% of the architectural/engineering fee. So for example, if the total estimated cost to construct your house is 7 Million Pesos, then your architect will bill you P175,000



What is the Contract Documentation Phase?

Finally, after the back and forth discussion between you and the architect, and the architect to the engineers, the plans are finally finalized and laid out in title blocks ready for each party to sign. The signing of these documents will represent ownership, approval, and serve as a legal document that should be followed for the actual construction, this phase is called the "Contract Documentation Phase." The Contract Documentation Phase will cost 60% of the architectural/engineering fee. But before you pay this fee, you may negotiate with your architect if he would like to retain his services during the construction phase. Typically your architect will allow you to retain 10% of the total fee which shall be fully paid after the completion of the construction. Therefore, during this Contract Documentation Phase, you may only pay 50% of the architectural/engineering fee. So for example, if the total estimated cost to construct your house is 7 Million Pesos, then your architect will bill you P350,000. And you retain P70,000 for the regular checkup and supervision for the project construction.

Won't my architect also handle the construction?

The nature of the architect's work ends up after the completion of the documents. These documents are highly valued to guide the contractor in the construction phase of the project. However, every good architect will always make it his duty to spot check his own creation once every while regardless if he is paid to do so or not. But your architect is not obligated to perform a full time supervision.


Make sure to ask your architect if he may also handle the full time supervision of his own design. (Take note, some architect only provide the designing service, and some provide design to build services. So make sure to ask).

How much will an Architect Charge for Construction Supervision?

Typically the number is 7% of the construction cost. The billing sequence during this phase is negotiable, which also follows the billing sequence for the construction progress. For example small project can be done in a 50% - 50% payment, and larger project can be done in a 25% - 25% - 25% - 25% payment.

Is the architect's percentage fee fixed?

No, the architect's percentage fee is NOT fixed. Several factors will affect the fee that your architect charges such as, the scale of the project, the type of the project, the evaluated works needed, the site's location, the challenges involved and many more. 

Detailed projects that involve renovation/remodeling and extra surveying will cost more than the typical cost. While projects that require little planning will cost less.

A simple rule of thumb you could remember is, the ratio of the architect's fee plays along with the size of the project in an opposite direction, (The larger the project scale is, the lower the percentage fee of your architect will be. And the smaller the project scale is, the higher the percentage fee of your architect will be)

The 10% fee example is for a typical small residential project in the Philippines.
Also, some architects will offer lower rates and some will offer higher rates, this shall also depend on the architect's personal knowledge, skills, team culture, experience, the amount of extra work the architect is willing to give, and more.

Is hiring an architect worth it?

Almost always investing in a good architect is worth it. While looking at the small 10% additional investment you might  start computing how much it actually is for your project, but this portion of the overall project cost can be the best investment of all. Your architect along with his allied engineers will set out a planned out map for the construction team to follow, this will cut down so much time, errors, and expenses before the project begins, such as how a treasure map will lead you straight to the treasure without you having to search everywhere.

Secondly, not only is hiring a professional worth it. But hiring a professional is mandatory when processing for the building permit that is required before the construction starts. Your architect and his engineers are the rightful people to sign the documents and no body else. So this really isn't a question if you should hire an architect or not, because you really need one.

Summary

The standard minimum fee for architects is 10% of the project construction cost. This shall cover the typical feasibility studies, schematic designing, design development, contract documentation, and a small retainer's fee if the architect chooses to extend his services.

The billing sequence of this 10% fee goes as follows:
P25,000 for the Typical Feasibility Study phase which will cover site study, general surveying, general engineering works, data gathering, mobilization costs, and miscellaneous. 

15% Progress Billing for the Schematic Design Phase which shall cover conceptual and schematic planning.

25% Progress Billing for the Design Development Phase which shall cover the development of plans from architectural to engineering designs.

50% Progress Billing for the Contract Documentation Phase which shall cover all signatories from architects to engineers.

10% Billing for Retained Services until the construction is completed.

Author:

"Often times, clients choose the lowest bidder to save on costs. For me personally the cost should be the last thing to consider for a big investment like a real estate project. When hiring a service provider, I consider first the value of the investment, how likely we can get along with each other, how much time will the person have for me, the culture of the people I hire, the ease of communication, how much I can rely on them, and only after then will I ask for the price."

I hope you found this article helpful!
Leave a comment below on topics you'd like us to talk about.

Credits to this blog post

Author: Don Marcelino De Peralta Jr
Sponsor: Skyline Spaces

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