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All Forum Posts by: Cj Juan

Cj Juan has started 6 posts and replied 87 times.

Post: itemized list of contractor material & labor costs

Cj JuanPosted
  • Contractor
  • Olympia, WA
  • Posts 89
  • Votes 18
Originally posted by @J Scott:
Originally posted by @Cj Juan:
Would you want to be hit with two large bills at the end or have already known what it might cost? I guess I just have not come across a client that wanted a hard number. 

When I sign a contract with a contractor, I expect a single firm number for a very specific scope of work.  If the contractor wants to discuss estimates for additional work that *might* come up, I'm happy to discuss those estimates.  But, I'm not giving my permission for the contractor to do that extra work (or charge me for those extra costs) unless/until the issue comes up.  At which time, we do a change order for the specific new work and agree on a specific additional price.

In other words, I expect to sign a contract upfront that says I will pay the contractor $X for him to do A, B and C.  We can talk about what it might cost if he has to do D, E or F, but unless we do a change order for D, E or F, I expect that I will never pay more than $X.

Unless it's a time and materials contract, why would I want to be given a range of prices for a specific set of work?  What incentive do you have to ever come in at the lower end of the price range?

 @J scott

I only and will continue to charge ONLY for the work that was completed. I do most appreciate your side of it and will take it into consideration..

Post: itemized list of contractor material & labor costs

Cj JuanPosted
  • Contractor
  • Olympia, WA
  • Posts 89
  • Votes 18
Originally posted by @J Scott:

That's why you give a firm bid (along with a detailed scope of work) on the things you do know about.  Any surprises are change orders that add to the fixed price bid.

While it makes sense to give an estimate for things that might be found (and aren't included in the initial bid), the client should have an EXACT number (along with payment schedule) for any work that's within the original scope.

In other words, the client should know exactly how much the job will cost assuming there are no surprises and no change orders.  Not a range of prices.

 J Scott, 

"I agree and disagree"

Any work that I write an estimate for is detailed under the scope of work. Change orders are what I find they don't like. The number might not be so cut and dry but they do know what it is going to cost in the end. Think about it this way.. Would you want to be hit with two large bills at the end or have already known what it might cost? I guess I just have not come across a client that wanted a hard number. 

To talk about the payment schedule. After my client has okayed the estimate and is ready to move forward. We start with a walk thru the hole project again (to be clear of the scope of work) and I collect a 40% payment and signature on a contract. Then the balance along with any change orders or material increases will be collected (balance) after completion of the project.

Very seldom is there a project with no surprises or change orders...

Post: itemized list of contractor material & labor costs

Cj JuanPosted
  • Contractor
  • Olympia, WA
  • Posts 89
  • Votes 18
Originally posted by @J Scott:

 Why an estimate versus an actual fixed price bid?  I'm not a professional contractor, but I'm pretty good at getting my rehab estimates to within 5% of actual costs..if I can do that, I would hope that most professional contractors could do the same.  I can see doing an allowance for materials, but why wouldn't you give a fixed bid for labor upfront?

J Scott, Example: My last bathroom remodel ended up after starting the project had floor rot that you could not see from the surface and a water leak in the wall. That was not visible from behind the cabinet. 

When I wrote the initial estimate I explained to my clients that these kinds of things can and might come up. Thats why I like to give a cushion (high and low) in my estimates. Over the years I have found that doing your own rehab/remodel is very different than working for a client. You might find this to be true? When your doing a rehab or a remodel its all about the $$ in the end. When its for a client its come down to what they want an can afford. One of the other reasons I like it this way is to show that 5-1% upfront...

Just as a side note: This is the exact reason why I signed up for BP. I don't have any kind of business schooling. Just had to find out from trial and air what works for me and my clients.     

Post: Finding the right contractor

Cj JuanPosted
  • Contractor
  • Olympia, WA
  • Posts 89
  • Votes 18

I'm a contractor just not in your area. Please fee free to reach out if you have any questions..

Post: itemized list of contractor material & labor costs

Cj JuanPosted
  • Contractor
  • Olympia, WA
  • Posts 89
  • Votes 18

As a contractor one of the hardest obstacles in gaining my new clients trust is help them understand the costs that go into a large remodel or flip. This might not help in your case but its a little food for thought. You can also use it as a guide to work out your questions.

Some of the things I make sure to do is: 

Estimate only bid

Itemize material and show estimated cost

Estimated Labor costs

Show a low cost and a high cost (for material and labor. This way they know what they could be paying in the end)

I want my clients to know that when I give them an estimate change orders are always approved and cost is talked about before work is to be completed.  

Walk them thru the entire process ( that way they understand how much work and material is really involved) 

Give my client a calendar of the project

Keep the clients involved (this helps them truly understand)

One of the reasons I do all of this is when I get a new client they talk to me about there last contractor. They don't want to be hit with a large bill at the end. That is what there last contractor did to them and what they are most unhappy with...

Post: New member from Olympia, WA

Cj JuanPosted
  • Contractor
  • Olympia, WA
  • Posts 89
  • Votes 18
Originally posted by @Cj Juan:

Hello BP, 

I'm looking forward to hearing from you about remodeling and investment flipping..

 Thank you! to you all for the warm welcome.. I'm very new to the social networking community and very excited to see where this takes me in the future.

Post: New member from Olympia, WA

Cj JuanPosted
  • Contractor
  • Olympia, WA
  • Posts 89
  • Votes 18

Hello BP, 

I'm looking forward to hearing from you about remodeling and investment flipping..