All Forum Posts by: Ryan Normand

I totally get what you're saying. Most of my jobs are small-medium residential remodels, which is why the box store approach tends to work a little better for me. I can't imagine going to my Lowe's pro desk and ordering a lumber package for an entire house. The lumber yard is definitely the way to go in that situation. 

Bottom line, which I think we're all in violent agreement about :) ... materials procurement is a complicated game of strategy and the "right" answer varies from job to job, material to material, business to business, and town to town. Just look at the debate we're habing over lumber - thats just one material and we've barely scratched the surface. OP needs to compensate their contractor in some way shape or form for the time and expertise it takes to play "the game", or at least understand why many will be wary of the headaches that come with a customer who's trying to figure it out for themselves so they can save a few bucks.

 $115/sf is SUUUUPER low. Did that include everything... plans, permits, utilities, sitework, slab, etc? I'd expect closer to $150/sf minimum in my area. Labor costs in your area could be cheaper. Most contractors around here would hardly break even charging $115/sf for a one-off new construction build.

 This is a total tangent, but very interesting nonetheless. In my experience the most common types of lumber (2x4s, 4x8 sheet goods, etc.) are actually significantly cheaper at the box store. I asked my local lumber yard sales rep about it when I saw the unit prices on a lumber package I bought from him were 1.5x and he explained that the orange and blue boxes actually sell these items at a loss to get contractors in the door, then make all their money on fasteners, tools, etc. I checked and sure enough their prices on nails, H2.5s, H clips, etc were double or triple what I paid at the lumber yard. I now get most of my dimensional lumber from the box store but I still order specialty lumber and fasteners in bulk from the lumber yard. The box store lumber can be sketchy, but if you have a good relationship with the pro desk they'll pick out the best pieces for you when they pull your order.

I agree with others, on the surface it seems very high. Don't get me wrong, there are windows out there that justifiably cost $1500+, but it sounds like you're just doing standard builder-grade vinyl, which should be way cheaper.

Look at what brand you're getting quoted for. Andersen and Pella are like the Cadillac of windows, Milgard is somewhere in the middle, Ply Gem and Jeld Wen are builder grade, and box store-brand (like project source) are like shed-grade.

Style will also make a difference. Casements are generally the most expensive, followed by double hung then single hung. Sliders are usually the cheapest.

Siding can also make a difference. Windows in brick/block aren't too hard to install, but they do need to be custom ordered because they need to fit the opening perfectly. Some siding, particularly stucco, can be especially tricky to work with since you need to bust out all the stucco around the window to R&R it, then know how to blend and texture-match to repair it.

If you're doing it yourself make sure you know local building requirements so you don't create a code violation for yourself - know egress requirements, where you need and don't need tempered glass, and minimum U-factor and SHGC.

How valuable is your time? Being a GC is a full time job - most of us work 60-80 hours per week. If you think it's as simple as making a couple calls to some subcontractors and then kicking back and relaxing you're in for a rude awakening. 

Also consider the laws in your state and if it's worth it to put in the time and money to get licensed. A lot of investors throw around the "owner-builder exemption" very freely. In a lot of states, AZ included, that exemption only applies to homeowners working on their primary residence. If you plan to rent or sell within 1 year of completion (aka an investment property), you must use a licensed GC.

Bottom line I think it depends on how much effort you want to put in and if you're in if for the long haul. If you want to get into the construction business and do a bunch of renos/flips for the next 10-20 years then it may be worth it to get proper licensing and learn how to do it yourself. You probably won't save any money at the start though - there's a steep learning curve and lots of start up costs. If you're just doing it to save a buck - don't - just bite the bullet and hire a pro.

 Yup, exactly. A CO generally refers to any change to the original plans and/or SoW after construction has already begun. They will usually impact the cost and timeline for the project. Sometimes they are necessary/unavoidable but in my experience most of the time they're just a result of the customer being indecisive or getting carried away with the excitement of seeing their vision come to life. Do your best to stay disciplined and stick to the plans. It will save you a lot of money in the end.

Major remodels and new construction are long and complex processes, so there's an endless list of questions that you could ask and you probably won't have (or understand) all of the answers considering it's your first time. But here are the topics that are most critical for you - the customer - to ask about and understand (not in any particular order)

1) Scope of Work - Understand what is included in their contract and what is considered an optional extra. Make sure you understand each GCs SoWs so you are comparing apples to apples.

2) Payment and draw schedule - Make sure you understand not only how much it is going to cost, but also when they expect you to pay them.

3) Timeline - pretty self explanatory

4) Experience and portfolio - Ask them about what kind of construction experience they have and ask to see photos or even in-person tours of past/current job sites. Make sure their experience is relevant to your project. Of course, you should also make sure they are licensed.

5) Change orders - ask them what their process is for handling change orders. Ideally there will be 0 change orders, but I have yet to see a customer who makes it through an entire remodel without altering the original SoW.

Interesting that the Nashville building department isn't allowing people to use the owner-builder exemption for DADUs, but I can also see a lot of good reasons for it. If DADUs are in high demand in your area (and it sounds like they are), the city probably doesn't want 100's or 1000's of handy homeowners trying to DIY new construction builds in their backyard only to find out they've bitten off more than they can chew.

Bottom line - No matter what responses you get on the forum, the only opinion that matters is that of the Nashville building department. I would call them directly (or better yet, go in-person) and ask them what your options are. Then try to apply for a permit under your name and see if it gets approved. I say this because local building departments have a lot of power and their rules are highly subjective. Even if you think you've found a loophole on paper, the plan reviewer handling your case has the power to decline it and they will just rewrite their rules on the spot to close the loophole. Building departments aren't a democracy, remember that.

Regarding the prices you're getting: For custom new construction, $250-$300/SF isn't cheap, but it certainly isn't "crazy high" either. Keep in mind ADUs also tend to have less SF but still include the most expensive components of a house (kitchen and bathroom), which drives the cost/sf up compared to the average cost of new construction. You will be lucky to get in the $150-$200/SF range, even if you GC it yourself and use the most basic materials.

Define crazy high - What cost/sf are they giving you? And do you already have a set of stamped plans for them to bid on? If not, that's probably the reason you're getting so many refusals to provide estimates and high estimates.  Of course they're going to hedge their numbers up if they don't know what they're bidding on. It could also just be a matter of finding a better builder. If you were in Phoenix I'd do it for you haha.

Regarding your original question - I don't know the laws in Nashville, but in most parts of the US there is something called an owner-builder exemption. Basically you are allowed to act as your own GC for your primary residence. But it ONLY applies to a primary residence. If you're building something to rent out, flip, or otherwise sell, then you must use a licensed GC or get licensed yourself. No way around it. At least not legally.

How far behind is he versus the timeline that originally agreed upon? A few days, weeks, months? Has he been communicative about delays or totally blown you off? He's clearly responding to your messages, so the obvious first step is to get him on the phone and have a serious chat about when he needs to get the job done and what will happen of he doesn't. 

Nobody hates fraudster contractors more than other contractors. They undermine our businesses and give us all a bad name. But this guy doesn't quite fit the bill. I mean... he was a Rockstar before and it sounds like he hasn't ghosted you - he's just delaying. More than likely he has other jobs going simultaneously that are higher on the priority list than yours, which is why you've been put on the back burner temporarily. I'm sure that's frustrating when you're an investor with holding costs, but also understand that contractors need to have multiple jobs going at once in order to avoid downtime for their equipment and crew. Start by having a serious talk with him... if he's an honest contractor this will be enough to get your job moved up on his priority list and you'll start to see things get done.