What is usually included when a new home is built?
March 18, 2014 in Design Dilemma
We are planning to build a new home on property that we already own. What is usually included in a contract with a potential builder? I have seen bids to build in which everything spelled out to the final detail and those that are relatively vague. Does the builder expect the buyer to "counter-offer" if the price seems high or just walk away? We don 't want to insult but feel relatively dumb at this. Thanks for any points you can offer.
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Yes, when you are doing a custom build on your land it is up to you to protect your interests so negotiating price is perfectly normal. You can only do that if you have an itemized bid. Generally the contractor will put in allowances for certain items and those allowances may not even cover the actual cost so make sure you have an idea of the cost while you negotiate the contract. Stay away from bids that are vague. You want your bids in writing so you can compare costs. There are times to walk away without a counter offer. You can notify the builder or not if you choose to walk away. If they call you after you have decided to not to go with them, you can always give the universal line: "We have decided to go in a different direction." Everyone knows what that means. :)

Edit: It might be wise to have an attorney that represents you to review the contractors contract too.
March 18, 2014 at 11:44am   
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Thank you, Denita. Valuable insights! Points well taken!
March 18, 2014 at 12:19pm   
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