Monday, July 14, 2008
Don't Give Verbal Approval for Anything, Even if it's Free!
Never give or take a verbal approval from your builder no matter what. You always want a paper trail signed by everyone. Also, don't let them start any work until that change order is signed. Trust me, if you don't it will bite you in the end.
Wednesday, July 9, 2008
Project Management and Communication
The most important thing in hiring a general contractor to build your house is also the most difficult thing to test them on. You'll want to do as much as you can to see that your general is detail oriented and has good follow through.
My bad general contractor (BGC) will sit with me all day making promises to do things such as revise estimates, get requested info and so on. But in the end he wasn't even listening to himself say these things and I'd have to remind him later and have the whole conversation over again.
The best test I can think of to help you find the right general contractor is to look for a few basic clues:
- Do they write things down and take notes when you are meeting? No one has that good of a memory, and if they do they are not doing construction work.
- Are they sending you follow up meeting notes via email after each meeting? These notes should state what was discussed and what the next steps are along with who is responsible for each of these next steps.
- Ask his references how it went for them. Try and find some references that he didn't provide you with.
- Look in his truck. Is he a total slob? Is that how you want your project to be run?
- Do they continue to just make open promises, stating things like "yeah we can do that"? If they do, run for the hills. If they tell you "no" a few times, then he might be thinking about things realistically.
I hope that helps. My BGC went against each of these rules and I'm paying dearly for it now.
My bad general contractor (BGC) will sit with me all day making promises to do things such as revise estimates, get requested info and so on. But in the end he wasn't even listening to himself say these things and I'd have to remind him later and have the whole conversation over again.
The best test I can think of to help you find the right general contractor is to look for a few basic clues:
- Do they write things down and take notes when you are meeting? No one has that good of a memory, and if they do they are not doing construction work.
- Are they sending you follow up meeting notes via email after each meeting? These notes should state what was discussed and what the next steps are along with who is responsible for each of these next steps.
- Ask his references how it went for them. Try and find some references that he didn't provide you with.
- Look in his truck. Is he a total slob? Is that how you want your project to be run?
- Do they continue to just make open promises, stating things like "yeah we can do that"? If they do, run for the hills. If they tell you "no" a few times, then he might be thinking about things realistically.
I hope that helps. My BGC went against each of these rules and I'm paying dearly for it now.
Hang Out with Your General Contractor
Before you hire your general contractor spend some time with them. You'll be spending a lot of time with them over the next year, so you'll want to be sure you are compatible and that you get a good vibe from them throughout the process of building your new home.
When I hire people I like to try and spend four to five hours with them over a few weeks. I take them to lunch, grab a coffee or beer, and have some formal meetings too. Typically your first impression will change overtime and the more time you spend with them the more you'll be able to tell if they are really listening to you, if they seem honest, it they seem organized, etc.
When I hire people I like to try and spend four to five hours with them over a few weeks. I take them to lunch, grab a coffee or beer, and have some formal meetings too. Typically your first impression will change overtime and the more time you spend with them the more you'll be able to tell if they are really listening to you, if they seem honest, it they seem organized, etc.
Talk to People
I barely talked to anyone that had used my builder in the past. After he was hired I ended up doing some reference checks (yeah, my own fault again) and found that all the things that drive me crazy had already driven other people crazy.
Take the things they say very seriously. Was he late on delivery? Were they happy with the craftsmanship? Did they uses reputable sub contractors? How was the project management and communication throughout the project? How many change orders did you receive?
The things that give you little red flags now could turn into huge red flags in the middle of your project. Do your research, it will save you time and money in the end.
Take the things they say very seriously. Was he late on delivery? Were they happy with the craftsmanship? Did they uses reputable sub contractors? How was the project management and communication throughout the project? How many change orders did you receive?
The things that give you little red flags now could turn into huge red flags in the middle of your project. Do your research, it will save you time and money in the end.
Ask To See All Estimates From The Sub Contractors
You'll be amazed at how much work you will need to do when having your house built. There is a ton of paperwork you'll need to review. Ask your general contractor for copies of all of their estimates from subcontractors.
This will do a couple things for you. First, it can save you money. My general contractor got estimates from his sub contractors, then marked them up and put them into our estimate. He then had his line item markup of all hard materials on top of that. So yes, he's double marking up his costs. Good for him, bad for us.
Next you will be able to review these sub contractor estimates and make sure everything is included. I've had numerous costs in my estimate that the general contractor just through in there as a wild ass guess. I'll then end up meeting with a sub to pick pick finishes (for example) and find out that the sub never gave my general contractor any estimate for those finishes. If I would have reviewed this beforehand myself I would have been able to make him clarify his estimate before I signed off on it and had to take on a large change order.
This will do a couple things for you. First, it can save you money. My general contractor got estimates from his sub contractors, then marked them up and put them into our estimate. He then had his line item markup of all hard materials on top of that. So yes, he's double marking up his costs. Good for him, bad for us.
Next you will be able to review these sub contractor estimates and make sure everything is included. I've had numerous costs in my estimate that the general contractor just through in there as a wild ass guess. I'll then end up meeting with a sub to pick pick finishes (for example) and find out that the sub never gave my general contractor any estimate for those finishes. If I would have reviewed this beforehand myself I would have been able to make him clarify his estimate before I signed off on it and had to take on a large change order.
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