The true cost of Single Family Construction in South Florida?

[Alexandre Tchogorian]

Hey All,

First off, happy holidays to everyone! 

I am going into my first new construction project. Plans are under review and I've hit the fork in the road where its time to pick a contractor and pick a bank to lend on the construction. 

I've had quotes as low as $180/ft and upwards of $250/ft with every contractor promising the WORLD. 

What are some things to look out for when hiring a builder? 

Should I hire a real estate lawyer to provide legal oversight?

I've heard of bad deals where the contractor promises x price and in the end charges y price. 

Hope some of you can chime in to provide some useful info that myself and the rest of the Bigger Pockets Community put to good use! 

Happy Holidays, 

Alex 

[Steve Wilcox]

Its important to understand what is included and what is excluded with each contractor you are considering working with.

How detailed are the plans you are putting out to bid? Do they have material specifications, finish schedules, and all the nitty gritty details to actually price out the job accurately or are you just looking for a ballpark number?

If you don't have a detailed scope of work, finish schedule as well as a full list of what is excluded from the bid I can guarantee you that no one can give you accurate pricing.

I can also tell you that construction, even ground up, has uncertainties, things from fluctuating lumber prices, issues related to soil, delays in getting supplies right now, and a bunch of other things that can causes prices to change during the course of a job. 

You can certainly hire an attorney to look at your construction contract with your builder but beyond that I am not sure what they would do going forward? You can hire a construction manager or owners representative who will charge you a fee on top of, or flat fee to manage the project on your behalf but that would be an additional cost.