What’s a Home Construction Contract Like?

In by Kyle Rogstad

 

As you begin the journey toward building your dream home one of the questions you need to ask is what the home construction contract is like. What does the contract cover? Are responsibilities clearly identified? How about timelines? Nobody can write a good contract in 15 minutes! Expect the contract preparation process to take 30-60 days once the designs are complete.

We put a lot of time and care into the details of our contracts so that everyone can be comfortable. This is your home and our livelihood after all!

The Contract Writing Process

Establishing the Design

Like all great things, the contract writing process begins with a meeting. Be prepared to answer questions about the size, style, and overall design of the home you want to build. Next, we’ll get a designer or architect involved. Expect a fair amount of back and forth as we try to parse your dream home into a plan. Remember, at this stage your responsiveness to questions can help move things along!

Collecting Quotes

Once the design is settled, we’ll begin to establish pricing by reaching out to the pertinent contractors. We’ll consolidate quotes from electricians, plumbing & heating experts, and anyone else necessary for your project to be a success! We’ll also evaluate the necessary mechanicals and get prices for those.

Allowances

Certain pricing estimates are impractical. Most people find it easier to get specific about kitchens/cabinetry and flooring later in the project. To account for this we establish an allowance for each of these items based on the budget & quality you’re after. For example, if you know you want tile flooring in the bathroom we’ll make an allowance for that based on our experience with tile prices. Don’t worry, you won’t commit to a particular brand and style of tiling until later!

When it comes to allowances, the actual bill reflects the final product. If costs are higher than the allowance, we’ll add it to the bill. On the other hand, if costs are lower then we’ll credit you.

What’s in the Home Construction Contract?

You know the process we use for writing the construction contract for your new home, but what’s actually in the contract? Here’s a brief list of the key items:

  • Start date
  • Completion date
  • Builder requirements
  • Client requirements
  • Window & door finishes
  • Kitchen & cabinetry allowance
  • Flooring allowance

We take pride in the fact that we make sure everyone is comfortable before starting any project. To that end, be sure to check out our building process to learn what to expect as you build your dream home!

Have More Contract Questions?

Give us a call at (802) 875-5240 or fill out the form below to start a conversation!