We get a lot of questions from homeowners about how to price their construction project. When it comes to custom home building, there is no “one size fits all,” cookie-cutter costing system. Every single project is unique and different – which means it involves its own design, its own construction practices, and thus its own unique price. But did you know that there are many different ways to get bids on your construction project? In this article, we will discuss two of the most popular kinds of construction contracts: lump-sum and cost-plus. It is important that you understand the difference, including the pros and cons of each, so that you can make the right decision when it comes to requesting financial information on your project.
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