8k inclusive of tiles? What is your selection range? Hacking tiles is not an easy job, got to knock it out, also remove the cement layer, Minimal will need to go all the way down to 1.5" to 2".  If you know your selection range, brand and type you be able to estimate if its expensive or reasonable. Hacking and clearing should be in the range of 1.5k to 2k

My tiler is a Chinese sifu arrange by my main-contractor. Labor for 2x2 tiling + Sand + cement is RM5 for floor. A good floor tiles will range between RM 18 - 40 per pieces of 2x2.

yes off course..just giving him a gauge price

There are pro & con to buying your own tiles as compared to getting the contractor to do so.
Pro - Can have more selection of tiles to your liking. Most cases, this method would be cheaper.

Con - Any problem with the tiles, you have to deal with the supplier yourself. In some cases, the tiler will blame the tiles for poor finishing quality

my tiles are almost 20 yr old. need to remove and re-lay new ones. unfortunately didn't get a breakdown pricelist as i'm also removing tiles from 2 bathrooms altogether. the quote i got for removing 2 bathrooms and 1 living hall of 480sqft comes up to 2.8k.

as for re-laying new tiles in living hall alone, the quote comes up to 6.7k.  with 800x800mm tiles. i suppose your quote of 8k for 500sqft is reasonable.

btw, did you get an estimation of how long it will take to do ur 500sqft?

Simen? you mean cement right?

If the level are very low, you need to raised the floor to desire level with cement. After Cement dry than lay tiles + cement.

My house, the wet and dry kitchen was very low (drop 6"), contractor put cement + sand and wait few days, only put tiles + cement.

The extended living hall, broken marble was installed without putting cement + sand earlier. Because is only 1.5" low, contractor do everything in one goal.

If your current floor is very low cement + sand to raised it, and wait few days only lay tiles + cement.

There are 2 different methods to installing the floor tiles.
- Dry Method. Cement screed the floor to the required level. Then install the floor tiles.
Pro: Better level control
Con: Slower and it involves additional process

- Wet Method. Cement screed the floor and at the same time install the floor tiles.
Pro: Better bonding of floor tiles & faster.
Con: Need better skill to ensure the good finishing.

And how do you find out is 2nd Grade?