IMO you get what you pay for and to have a designer you like and can work well with is worth a lot. I think if you are concerend now get the the one you know > I usually do not charge by percentage of a build

The 6-8% seems really low, so I would wonder how else they are making their profit.

Is this just for the design part? How many hours of design do you get? How much do they charge if you change your mind on something (change orders)?

I paid $2500 to a design build contractor for a project I am doing. He deducted the design fee from the total cost by hiring him to do the work. The design fee is about 1 percent of the budget. I don’t know if that’s typical. This is a big project and I am in New England.

First off, I appreciate the time and effort you each took to weigh in on my question.

It appears like there are huge regional differences for design contract rates.

To clarify two scenerios for design build I am referencing, I should verify more detail on the two companies I have interviewed.

The first company is a design build firm that has been in the business 30-40 years and has an extremely reputable name, many awards for excellence and integrity from their peers. The 6-8% of the total build cost was an average design fee they estimated from a retrospective analysis the company did on their previous builds. I have seen their work and think they were using materials comparable to the quality of what I would use. They require a $1500 deposit to pay for measuring and specs to begin the cost analysis and design so they can create accurate build costs. So, the out of pocket costs aren't huge to get a sense of if it's doable.

The flip side is a 20% charge of the whole build with someone that designs everything, creates all the build documents, schematics, etc so that firms just bid on it.

What I don't know is, how much do builders charge for creation of all the documents required, i.e., plumbing, electrical, HVAC, etc., etc.

Can any body shed some light on this in the Minnesota landscape? Perhaps the 20% charge of the total build price for design and all the documents required is within the norm of the construction model?

I would be so appreciative of feedback. Any amount of googling does not give me the answers I need. Thank you in advance.

For the projects I have done as a homeowner, both remodels and new construction, I have used Architect or Interior Designers to create building plans or design layouts, and then used those plans to get bids from General Contractors to complete the work.

You are a breath of fresh air! Thank you! I don't understand it either. Why should I be charged a percentage of the cost of the lumber for trusses or insulation, ect.?

I am more than willing to pay well for the time, vision, and expertise of a designer or architect to make my home asethetically pleasing and functional but don't get why that involves the structure itself.

Is there any resource that the state of residence has on builders, architects, design firms, about their billing structure to find someone like you in my home state? Where do I find them?

Specifically to Charles Ross; in your opinion, is the most cost effective way to approach a remodel through independent construction companies that utilize their own in house architect or designer? With hundreds of companies, architects, and designers how do you advise narrowing the field.

I cannot tell you how beneficial it is to hear from professionals in the field. Thank you for taking the time to comment.

The design/build project delivery method is a proven technique for delivering projects faster and at lower cost than the more traditional design-bid-build method (which often becomes the design-bid-redesign-rebid... method.) The American Institute of Architects even endorses the idea. They promote a design/build method they call "Integrated Project Delivery." Essentially, it involves pre-selecting the contractor and architect and having them work as a team to achieve your project objectives. I'd look for remodelers advertising themselves as "design-build" firms. They may have an architect or designer on their staff (I had an architect on staff for 20 years) or they may work in partnership with a local architect like I do now. Ask to see examples which illustrate their process, i.e., how to get from an idea in your head to the finished product. That should be a good way to assess who is the best fit.

Thank you for answering my question so concisely. That clarity must be so appreciated by your clients! I appreciate your input immensely. Have a good day.

"The first company is a design build firm that has been in the business 30-40 years and has an extremely reputable name, many awards for excellence and integrity from their peers."

I'd quit shopping if I were you.

After the comments from Charles Ross I agree. Gives me confidence I was on the right track.

I would simply separate "design /build" from interior design. You will notice I did not use the word "decorator"

You go with the best in your area for quality, and the interior designer whose esthetic you admire. She or he will influence every selection you make, reduce the stress level and none of these will occur in the order you'd prefer to make them: ) a lot of "see in advance" thinking is required and that is what you pay for: a vision!

That is two of the three ( or four part team....Design/build. The designer......and you. Possible separate K.D (as below)

You aren't going to do it twice, and it should "hurt" only once and that is when you pay.

A frequent scenario for me ? The design build, their favored Kitchen and Bath designer, (who happens also to be mine), ME, and the clients.

This is the best way to get resources allocated to where they are most important, to marry look and finishes within to a cohesive whole. Matters not you are spending 300k ....or 3 million. The process and communication are same.

Interior Designers all bill differently. You get a contract with a full detail of how and what you are paying for. Hire those you truly trust; then trust whomever you hired.

Jan, thank you for sharing your professiional opinion. Getting the insight from pros in the field was my goal, so it is appreciated.

If only it wasn't a percentage of the total cost I would have chosen the desgin/build company and designer I align with immediately and been done with it. As it is, 20% of a total build is quite a chunk of change.

The way we work is more separated. We do the install and designing of the products for the space at no charge ( with the exception of a commitment deposit which is applied to your purchase. If there are structural changes or additions, etc., we have an architect we refer the customer to and they deal/pay them direct for that part of the project. You do have to pay the town for permits.

Our design work is laying out kitchens/ bathrooms/ libraries and assisting in selecting what we sell - cabinets, counters, tiles, sink, faucets and handles. We direct you to local shops for doors and windows. We do not do any sort of interior design work - selecting lighting, sofas, window treatments. That is someone different that you would hire.

This is probably why you are seeing such large pricing discrepancies.

Thanks for providing clarity Debbi. I have to say, those idiosyncrasies in business models certainly make it difficult for the consumer to evaluate cost though.

Yes it does. But that is a benefit of asking on here so you can see the differences and what "lingo" is the right thing for your project. It is also super important to mention the are you are in. So the places that I have worked in are all in NY just north of the city. SO that method may not be the same down south or in the Midwest. There are brilliant designers here that are from everywhere so that is also why you get different responses.

"those idiosyncrasies in business models certainly make it difficult for the consumer to evaluate cost though."

EDIT

those idiosyncrasies in business models certainly make it difficult for the consumer to evaluate Value.

Often, ( too often lol ) when I ask for a budget from a client?

Here's the answer:

I just want the best house I can have, for the least amount of money"

I will say only one thing:

Nobody is or can be great at everything that encompasses a wonderful result. I'm basically echoing Debbi Washburn above. I have a fantastic KD/Bath gal. I might "design" it right down to a layout, and select every finish, top and you name it? But she will write the cabinet order, and we use her source. She would do for a homeowner with no interior designer exactly what Deb does, and limited to that.

She has no desire or talent to do what I do, ( loathes it ) and if she has a homeowner who needs design beyond her project? She will refer me.

We collaborate on Design/build , we both have favored architects, as does the Design Build.

But.......extremely rare is the one stop shop that is a fabulous result, that encompasses the entire dwelling.

The "more people/you make the team " is most often the Best Value, and will be reflected at the end, when you open the door: )

More ? Collaboration. I spent half a weekend shredding an architects plan for one of my clients and gut of an entire first floor. I returned it to my client who simply said "WOW...... LOVE THIS"

Would he have accepted the first plan? Yes, certainly.......but I know this client: ) It's a deeper dig relationship. So...get a designer, not a decorator. Consider one the "edit/refine" and the other the "add ". You want someone who is both.

Jan - sometimes you just read my mind! Find the words that are swirling in my brain but can't quite grab them! LOL

You are very welcome Deb!

I struggle to articulate the same thing to a client. I end up shortening it to:

It should only hurt ONCE!

Not every day when something doesn't function or you cringe that you selected who knows what for where!