How to get the best from builders’ quotes

Getting builders’ quotes is a key part of any project.

Whether you plan a two-storey extension or bathroom refit, building work can be expensive and you’ll want to avoid spiralling costs. Getting builders’  quotes is a key part of any project. Building quotes and estimates often get mixed up, yet they are different. An estimate is an educated guess of how much a project might cost. By comparison, a builder’s quote is a fixed price for a job and should include a detailed breakdown of the work being done and materials used.  Once it’s accepted, it’s a binding agreement. Always get a fixed quote, says trade body the Federation of Master Builders (FMB), adding: “Although it’s fine in the initial stages of planning to get an estimate of costs, you should always aim to get a fixed quote.” Remember to ask how long the fixed quote is valid as prices might increase if it expires. So, where do you start?

Make a shortlist of builders

First, you’ll need to make a shortlist of at least three potential builders to invite them to tender for the work. Ask for recommendations from friends and family as well as your architect  or structural engineer if you are hiring them. You can also find local builders with our ‘Find Professionals’service that instantly connects you with builders in your local area. Using this service, you can read their testimonials, make contact and ask for a quote for building work. Research the companies, look at their websites and portfolio of previous work. Check their affiliations with any trade associations, such as FMB.

Detailed drawings are crucial

The days when designs were scribbled on the back of a cigarette packet are long gone. Nowadays, most projects need detailed drawings to help the contractor to price up the work accurately, detailing every aspect from layout changes to material specifications. It also means there is less potential for confusion about what exactly is proposed, ensuring all your builders quote for the same work.

For larger or more complex projects you will require scaled drawings of your home as existing and planned, Building Regulation  drawings and structural calculations. Architects or architectural technologists will usually provide the detailed planning and technical drawings while a structural engineer is needed to work out the structural calculations. Provide as much detail as possible in the tender documents, including electrical and plumbing layouts. Plus, any decorating requirements.

Drafting a formal invitation to tender

Gather all the information needed to provide a precise quote. Break the project down room by room if possible. Each room can involve many different trades, so it’s important to list all the work you want done. For example, what will need painting -  the ceiling, the walls, the woodwork, the doors? Do you want a particular paint? The builder may be able to source similar shades from other paint suppliers which are cheaper.

Do you want underfloor heating? What about lighting fixtures? Do you have any specific requirements?  Put in as much detail as possible. The more specific you are, the more likely you will get back three written estimates that are comparable. If one builder includes a high-end hand-made clay brick and the other chooses a cheaper, mass-produced extruded brick to fulfil a specification for “brick walls” in your project, one estimate is likely to be a lot higher than the other. As regards electrics, consider asking for all switches, dimmers and socket face plates in white plastic. This gives the builder something to base prices on and allows you to compare written quotes like for like. If you later opt for polished chrome or stainless steel, for example, you can ask how much it will cost to upgrade.

It can be difficult to make all the decisions about a project before work begins. Tiles can be vinyl, porcelain or natural stone, for example and the prices vary significantly. If you can’t decide on a finish, ask for a price per square metre. If you’re still debating whether to have a porcelain or natural stone tile floor, for instance, ask for a cost for different options you are considering. Again, be as specific as possible, so all the builders can price to the same specification. If a product requires extra work, such as sealing, that might add labour costs.

The next step is to write a formal invitation to tender which should include a detailed description of the project, timescales and any unique aspect of the job.  This should accompany the tender document pack, including your architect’s drawings printed to scale, detailed technical drawings and calculations from a structural engineer. While you might be happy to receive your quote speedily, a carefully considered quote will take time. Your builder needs to provide a breakdown of the work to be done and the cost of labour and materials.

After you have sent the invitation to tender, follow-up with a phone call to check who is planning to submit a bid for the work, invite them to visit your site and confirm your deadline. Between four to five weeks should be enough time for them to respond, depending on the size and complexity of project. Ask if the builders have any questions. Try to answer questions speedily and make your answers available to all tenderers.

Evaluate builders’ quotes

“Don’t just look for the number on the bottom line,” says the FMB.  “Even if you’re happy with the final price, it’s essential to know exactly what is included.” For example, did they price for scaffolding or skips to remove building waste from the site.  Builders’ quotes can vary widely. Be wary of picking the cheapest quote based on price alone, especially if it’s lacking in detail. The breakdown should cover labour, materials and other costs. Ask for clarification on any points on which you’re unsure. Make sure the quotes include VAT.

Don’t shy away from asking the builders for evidence of their public and employer’s liability insurance, a bank reference, professional reference from a previous contact, such as an architect, customer references, how long they have been in business and employees or sub-contractors used. One way to evaluate builders’ quotes is to shortlist two favourable tenders. Scrutinise the breakdowns and invite them to interview. Ask if there’s any flexibility or alternative materials or methods that might reduce the cost.

Understanding the difference between fixed price and hourly rate is essential when comparing quotes. Fixed price offers a set price for the entire project, giving more certainty. But you need to know exactly what is included in the price or costs could be added later for work the builder says isn’t in the original quote. Hourly rates may seem cheaper initially, but the work could take longer than anticipated, bumping up the cost.

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