At Powell Construction, we provide fixed-price estimates for all our remodeling projects and new home builds. Why? Because we know that clear expectations and commitments lead to happier homeowners and smoother projects. We’d like to take a moment to explain why this approach is so important, especially compared to another common method used in the industry.
Time and Materials: A Risky Road
A time-and-materials contract is one where the homeowner pays for labor by the hour plus the cost of materials used on the project. While this may sound flexible and offer a quicker start, it often leaves homeowners uncertain about the final cost. Midway through a project, you might find you’ve exhausted your budget even before the work is complete.
Time-and-materials contracts also leave room for ambiguity. Who pays for small but necessary expenses like cell phone usage, workers’ compensation insurance, portable toilets, travel time, or bookkeeping? Differences in expectations can lead to misunderstandings and, unfortunately, even disputes.
Why Fixed-Price Contracts Work
A fixed-price contract eliminates these uncertainties. You know what the project will cost from the start, giving you peace of mind. At Powell Construction, our itemized, line-by-line estimates are exceptionally detailed. We’re able to provide this level of detail because:
- Historical Data: We’ve been remodeling homes for decades, so we have a substantial body of past project costs to reference. This allows us to estimate costs for similar projects with confidence and accuracy.
- Trusted Subcontractors: We work with specialty subcontractors who provide us with their fixed quotes ahead of time, ensuring no surprises.
- Comprehensive Scope: Labor, materials, and all associated costs are included, so nothing is left ambiguous.
Clear Communication Prevents Confusion
A fixed-price contract isn’t just about numbers—it’s about clarity. We will provide:
- Detailed Drawings: So you know exactly what will be built.
- Written Estimates: Every cost and task is clearly documented and reviewed with you for full clarity.
- Structured Payment Schedule: Payments are tied to project milestones to keep everything fair and transparent.
Choosing a fixed-price contract protects your budget, reduces stress, and ensures your project costs align with what was planned. At Powell Construction, this approach reflects our commitment to transparency, precision, and ultimately, your satisfaction. Our detailed estimates represent the care, planning, and clear communication that guide every project we undertake.