Did your GC charge you more $ than he agreed to?

8 years ago

Have any of you worked with a builder or GC who gave you a "firm" price , not an estimate, based on the blueprints but ended up charging you more as the project went on? If so, in which instances did he come to you for more $? I am trying to find out what unforeseen scenarios I must be prepared for. If the builder says he charges X for demolition and you sign a contract, could he possibly come back and ask for more money because of this and that?

Featured Answer

User

8 years ago

The main cause of overages are poor specs and too many allowances with unrealistic numbers attached.

A 15K flooring allowance only works if you don't include your bath's tile work in that number, and pick something under $5 a square for wood, and carpet the bedrooms in a base product. A single master bath with some complex tile work can be 15K. Or it can be 5K with a cultured marble shower and a base tile floor that gets covered with a $20 rug from BB&B.

If you're expecting a Houzzer style inset white and marble kitchen on a contractor's 25K bid for whole house cabinetry, you will be sadly disappointed when you find that his allowance only covers just the kitchen and then only if you give up inset and stacked cabinets. And it won't hold your peanut butter and jelly any better or worse than a builder grade line IF the basic layout is sound and functional.

A basic 30 year asphalt shingle is a serviceable choice, but that 40 year architectural shingle that you really want will be double the cost and that metal you're thinking of will be quadruple.

Start getting ideas on prices on the major expenses for things you actually want to use in the build instead of the lowball guesswork trap of allowances.

Sort by:Oldest

Comments (8)

User
8 years ago
Read about the different types of contracts. Do a LOT of reading.
User thanked User
quequeg7
8 years ago
Do you have very detailed specifications that go with the drawings. These specify what materials and what methods will be used for each trade. Things such as quality of drywall finish, number of coats of paint, filing of nail hoes with putty, quality of materials etc. can all be reasons for additional charges if not spelled out in the specifications.
In a fixed price bid everything need to be spelled out in lots of detail.
User thanked quequeg7
Related Discussions
GC and husband agree with everyone else...too many porches!
Q
Comments (43)
I'll admit straight off that I've only looked at the drawings and haven't read any feedback. I know you have been working on this for a while and I have seen numerous layouts over the last couple of years and they are always changing. I don't fault you for that as I spent a year looking at online plans before deciding to draw my own plans for our future dream home. I re-visit mine every few months, as we are waiting for the market to recover more in our area before moving forward. I tweak a little here and there but the basis layout of the house has never changed. I don't mean this as a negative dig but it seems that you are not quite sure what you want or where you want it. I did my initial drawings using Microsoft excel. Open a spreadsheet. Click the little box in the upper left hand corner to highlight the entire sheet and change both your rows and columns to the same pixel size. This will give you a true graph paper to work with and then everything you do will then be to scale. Use the border function to draw boxes, copy and paste if you don't like the flow and before you know it you'll have a functional floor plan. As I don't know your room sizes this is a rough beginning. I changed a few things. Swapped the sink and range, added a prep sink to the island and swapped the bath with the outside entry as I would not like a view of the toilet from the front door.
...See More
Do TL HE Washers Wrinkle Clothes More than FL HE Washers?
Q
Comments (22)
My Maytag Bravos washer has a Wrinkle Control cycle which I use for the great majority of our nicer office and church clothes. I use the Delicates cycle for more delicate fabrics and the Hand Wash cycle for the most delicate fabrics and sweaters. I use the Medium spin with the Wrinkle Control cycle and the Slow spin with the Delicates and Hand Wash cycle. When I wash towels and jeans/T-shirts, I use the normal wash cycles and fast spin. I haven't yet had ANY problem with wrinkling OR tangling. I have found the main way to prevent wrinkles in jeans is not to overload the machine (which is emphasized in the manual). My washer does not have an agitator; it has an impeller. The clothes come out much cleaner than they did in my former conventional TL's.
...See More
What did you introduce to your GC that impressed them?
Q
Comments (61)
"They've probably become more commonplace, but 5 yrs. ago my GC had never installed a bank of windows that came right down to the countertop behind the kitchen sink." My GC nearly dropped dead when I suggested this is what I really wanted....he said there was no way it could be done without leaking and how could they warranty that..... That was pretty early on during the build. Had I known how I was going to be as we got further into it, I"m pretty sure I would have flipped out at that point and gotten my window the way I wanted it. At least I did learn to push back. That was the same day he measured my husband's width and told him he didn't understand why the door to the mudroom (main entry from the garage) couldn't be the 24" one that they installed by accident...he tried to convince my dh that it would work... "do you have trouble fitting through a restroom door?" My dh told him he isn't usually carrying bags of groceries into the bathroom.....they ripped it out and started again. I mean, really people.
...See More
HELP!! GC adding additional charges for electrical work??
Q
Comments (50)
Donna, I am glad you shared the pattern you are seeing. You do have a shrinkage problem and a respect (aka taken for granted) problem. I don't come across this often but it happens. Forgive me for micromanaging a bit but details are important. Ultimately, you will be able to make a informed decisions. Please, have that meeting I advocated for and set up a proper table and few chairs for your office on site. You are the boss. You are the homeowner. You do not read minds. You control the purse strings. Three large signs are needed before you have the meeting. All work must be approved through a signed change order with face to face meeting. The Boss Lady's Office. Anything removed from job site needs to be visually checked and noted by homeowner. You need to have your second sink in your hands by week end or a cheque cut for the amount plus handling costs. Not negotiable. You need to have every change or problem brought to your immediate attention before any work is done. This is normal on most reno sites. Listen, ask questions, and look at all the parts being discarded. Take photos. Educating the client is part of the job. A new QUOTE, not an estimate, should be written up for each additional requirement on the job. i.e. change order. Your heating could have very well gone. That is a separate contract. Ask the GC to give you an estimate and get two more. You are the MRP; Most Responsible Person on the site for the entire home and yard. You choose who gets the work. You pay directly when the contracted job is done with a cheque or e-payment that can be tracked. If you are still challenged, call me on my page. I'm off recuperating from surgery right now but my brain needs a work out. There's no charge. I will put a 60 minute limit on it. But please call PST office hours. One of my recommends is from a woman whose project I was pressed to take on with a manufacture I represented. SOS.
...See More
User
Original Author
8 years ago
all very helpful advice. thank you. will make sure i get a detailed contract that specify everything. will also get pricing on whatever i plan to put in the house so i am not surprised at the end...
toriat
8 years ago
When building a house it seems like there are always cost overages because people pick things that are more than the builder allowed in figures.
Amber
8 years ago
Before we signed our contract we got a good idea of what we wanted and how much it would cost. Granted, we made other blinding errors, but at least in finishes aspect I think we did well.
PRO
GIRSH DEVELOPMENT INC
8 years ago
If you have a detailed Standard Features list for items your contract includes, and reasonable allowances for items to be selected, any cost overages should be a result of you deviating from this list. Do your due diligence (your responsibility) on allowances and standard materials. If you want a high end appliance package (e.g. Wolf/SubZero) and the builder has $5,000K appliance allowance, you should understand that this is not enough.

A good builder will listen to you and tailor the house to your needs and the price. However, there are many builders who play the price game, give you the lowest price and then come back during construction to ask for more money. Always perform your own due diligence, Always invest in a good Real Estate attorney to review your contracts and protect you. Sometimes it may also be appropriate to hire an architect to make sure your house turns out as you expect.

Good luck with your project.
zippity1
8 years ago
our builder was a very experienced guy with a very good reputation, we waited (in line so to speak) for about a year and a half before he would even take a look at our plans we had several very long meetings with him, where he took copious notes on our needs/wants and about a month later came up with a contract which included allowances for flooring, lighting, etc
and we met at his lawyers office and signed the papers (including the price)
in the end, we paid about 10,000 more than the contract, but that included some expensive appliances and plumbing fixtures and a driveway more than double the size of the original one....every overage was carefully talked about at the time it was included in the build
if your builder seems hurried, doesn't ask a lot of detail questions or seem very interested in your desires, think twice before you use him...
User thanked zippity1

Did your GC charge you more $ than he agreed to?

User

Comments (8)

User

quequeg7

Related Discussions

User
Original Author

toriat

Amber

GIRSH DEVELOPMENT INC

zippity1

COMPANY

BUSINESS SERVICES

GET HELP

CONNECT WITH US

Did your GC charge you more $ than he agreed to?

User

Comments (8)

User

quequeg7

Related Discussions

UserOriginal Author

toriat

Amber

GIRSH DEVELOPMENT INC

zippity1

COMPANY

BUSINESS SERVICES

GET HELP

CONNECT WITH US

User
Original Author