The Methods in Which Building Contractors Estimate Home Addition Building Costs
By Mark J. Donovan
|When General Contractors develop home addition building costs for a home project, their estimate usually consists of two parts – Labor and Material. There is also a hidden cost factored into both these numbers as well – General Contractor Profit. Typically a General Contractor is looking to make between 20-30% profit margin on his material and labor costs.
Typically the General Contractor should be able to turn around a home addition cost estimate within a week as they frequently have a database of material costs and they know their labor rates.
Frankly, once they have your requirements on your home addition project, they can plug the specifics into their home addition cost estimator or calculator spreadsheet tool and have a good home addition cost estimate on your project within minutes.
Carefully read over all of the specifics of the home addition cost estimate, looking particularly at the high price material items. Frequently you can negotiate on these costs or you can consider alternative materials, e.g. window manufactures or types.
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