Buy, build, invest or renovate. Whatever your home loan project, it’s likely to be the biggest financial commitment you’ll ever make.
So it pays to do your homework and prepare. In today’s congested market that can be a daunting and confusing process.
There is no shortage of readily-available information and do-it-yourself checklists, but as people leap into it uncontrolled enthusiasm can take over.
At about this point many people are overwhelmed and things get messy. A missed opportunity or oversight can be costly – especially for complex projects such as building a home.
Having done all your preparation, what is the best way to manage all of the information and associated tasks you need to get through?
In a recent Facebook post, we shared an excellent checklist from our friends at LMW about what to consider when building a new home. We thought it was a great companion document.
Related Reading: 'Finding a home loan that gives back'
What’s a companion document?
Simply, a companion document is a valuable information tool, resource or checklist that is kept central and close-handy throughout a project, for easy regular referral by all team members.
Have you ever noticed at an auction that whilst most people are standing with hands in pockets, some people are holding a folder?
What do I do with my companion documents?
Typically, these types of projects are being managed within a busy family team. There is a lot of talking and external conversations happening, including a lot of divided tasks that need to be followed-up and completed on time by everyone involved. There are documents that need to be read and responded to by others. Important ‘stop-go’ points need to be checked and conversations need to be recorded.
Despite the age of digital technology, a good habit is to have a central folder in the home holding all of your companion documents. Folders are portable and easily shared as a reference point for all involved in the process - from kitchen table to car seat.
Divide your folder into key information sections. At the front of your folder include a detailed schedule and work plan with completion dates, by whom and a tick-box to confirm has been completed. All important documents and updates must be kept in the companion folder.
For example, a companion folder can be left on the bench for another family member with a work plan attached stating the next task is ‘for John, who needs to read the new building plans and confirm site dimensions with the builder by Wednesday the 8th April.’
An important element is to record all conversations with external stakeholders and ensure all family members have read and agree what was confirmed. For example ‘spoke to builder today and they are happy to extend back decking another two feet, but means old rainwater tank will need to go. New tank in new position is $2500. I confirmed go ahead and extend decking.’
Related Reading: 'Boost your home loan chances'
Summary
A simple yet effective tool to support and guide team members, companion folders are a great way of ensuring you achieve the project outcomes you want as a team with less hassle, less confusion and less mistakes.
