Owners, contractors and subcontractors all agree that site conditions are an important part of the cost of construction. Site conditions will include both the characteristics of pre-existing structures as well as subsurface soil conditions in the area where new construction is to be performed. An owner’s goal is to make sure the project design is…
Construction delay claims pop up more frequently than not when working with general contractors or trade contractors. Since one of the key benchmarks for the success of a construction project is timely completion, then addressing how any construction delay will be handled in advance is to an owner’s benefit. Incorporating into a construction agreement what…
When a contractor estimates a new, remodel or renovation project he must determine the construction equipment costs that will become part of the contractor’s overhead expense. Estimating the cost of equipment for a project can be as challenging as calculating his labor costs. It will depend greatly on whether the equipment needed is owned by…
Whether performing remodel work or new construction, when a contractor does not pull permits you are at risk for penalties, code compliance issues, possible tear out, the cost of rework and potentially the loss of a home sale. Homeowners not only remodel or renovate their homes to accommodate an expanding family or to update finishes…
Express and implied warranties come in a wide variety of responsibilities depending on what type of construction contract you have for your project. A quality contractors warranty establishes the benchmark for that contractor’s execution of the work. An “express” form of construction warranty is simply an affirmation of something that a contractor warrants is true….
A construction contingency, as it relates to a build project, is a percentage of a contract value set aside for unpredictable changes in the scope of the work. Whether a construction contingency is added by a contractor to his estimate or is added as a percentage by an owner to his budget, both use it…
A build schedule is one of the main components in determining project cost. The length of time it will take a contractor to build the project once all the initial construction contracts have been awarded has a direct affect on the cost of construction. It will be the responsibility of the project estimator to determine…
Included in every estimate for any construction or renovation project are overhead costs which are generally added as a percentage to sum of labor, material and equipment. Overhead costs amount to a sizeable portion of the cost of any project and failure by the contractor to adequately project these costs can make the difference between…
Asking what it costs to fix leaks is pretty ambiguous unless you know where your basement water is leaking from. This can be difficult, unless the leak is obvious, because water travels. But like it or not, the cost is defined by the cause so until you are able to determine the source of your…
Construction errors or defects can be simply described as faulty or shoddy work on your project. This means that if a feature or function designed by an architect or workmanship provided by a contractor reduces the value of your property or home it might be considered a construction defect. Outside a contractor’s warranty, you have…
Overhead Costs – The Difference Between Direct and Indirect
Included in every estimate for any construction or reno...
Your Risk When a Contractor Does Not Pull Permits
Whether performing remodel work or new construction, wh...
Contractor Markup – What are you really paying?
Contractor markup is a given when hiring a contractor f...
Construction Contingency May Be a Point of Contention When Building
A construction contingency, as it relates to a build pr...
Construction Errors have a Claim Statute by State
Construction errors or defects can be simply described...
