Step 1 – Organize your Ideas
Your goal is to get several estimates or bids that are all based on the same scope of work; apples to apples if you will. You have to be able to provide the Contractor with enough information so they can prepare an estimate that meets your goals and you must provide each Contractor with the same scope of work. If not, the pricing that you get from each Contractor will be very difficult to interpret which could slow you down and ultimately cost you more money. The last thing you want is a Contractor that is going to “Change Order” you until your pocket book has dried up. So, try to finalize as many of the details as possible
Step 2 – Schedule Meetings with Several Contractors
During your meetings with each Contractor, hand over your information that you compiled and walk the job with each of them. Be prepared to answer numerous questions. Some will be easy to answer and others may need some additional research on your part. Either way, try to stick with your initial scope of work and do not deviate. You want the bids to be apples to apples and changing the scope during your meeting with the Contractor will only make it more difficult for you to interpret the figures on each bid. You can always adjust the scope after the estimates are gathered and you have narrowed down the potential Contractors.
Step 3 – Review & Compare each Bid
Once you have established that each estimate is for the same scope of work, let’s now look at each price. When it comes to remodeling, the saying “You get what you pay for” is a good guideline but it definitely doesn’t mean that a more expensive bid is your best choice. For example, you could have (2) bids that are somewhat higher than your budget and a lower bid that may be a little less than your budget. Most of us would automatically consider the lowest estimate initially but we have to figure out why that Contractor’s bid is much lower than the other two. Below are some questions you need to ask each bidder.
- Did the Contractor omit a portion of the scope of work? If so, have them revise the estimate.
- Does the Estimate include having the Contractor prepare architectural drawings, if necessary?
- Are they using lesser quality materials (paint, cabinets, tile, etc.)?
- How long will it take to complete the work?
- Are they insured with a General Liability policy?
- Can they provide a minimum of 5 to 10 references from previous projects?
- Are permits necessary and if so, is the cost included in the estimate?
- Is the Contractor willing to let you visit several of their jobs?
- What type of Warranty does the Contractor provide?
Step 4 – Select your Contractor
After reviewing all estimates, it’s time to narrow down your selections to one or two Contractors. Call their references to see how well they did on previous projects. Did they finish on time? Ask their references about the quality of work and if they would recommend them. Did they keep a clean and safe job-site?
Step 5 – Execute the written Contract
The following items need to be included in the written Contract:
- Scope of Work
- Design Selections
- If using Architectural Drawings, they need to referenced in the Contract
- Total Dollar Amount of Work
- Construction Schedule
- Detailed Explanation of the Contractor’s Warranty
- Payment Draw Schedule





