General Contractor ballpark..?..

[BoxMN]

I am curious as to what is considered standard percentage for a good general contractor on a small but nice home. High quality and tight ship type of GC, not a rookie. Or is there even any standard rate?

Thanks for any thoughts.

[Lip_Ripper Guy]

There isn't really a standard rate. I've seen them across the board from 10-12% on the low end, up to 20-25% on the high end. Remodels can run from 25-100%.

[MuskieJunkie]

I think builder's usually shoot for about 20% maybe even 15 with the way the construction buisness has gone.

Some of the big names can make up to 40% with all the subs they have. I know that doesnt exactley answer your question but I hope it helps.

[Black_Bay]

With the way the market is you may be able to get a better deal by shopping around a bit.

[Sifty]

Shop around if you can.

When a general Contractor puts a project out to bid for there subs they will get a minnum of three bids.

Do the same throw out the low and the high the guy in the middle is usally the one you want to work with.

MAKE SURE TO GET SOME REFFERENCES FROM WHO EVER YOU GO WITH AND MAKE THE CALL TO THIS PEOPLE.

Sifty

[BoxMN]

Thanks very much everbody. This is great info. And yep, the references are important. We are (hopefully) doing a somewhat small place and I know who I am going with, have gone to houses and tlaked to previous clients - great work and great integrity. Also checked some others previously and did not really feel comfortable, especially those guys who never called back, or at least not very quickly ha!

What you guys have said fits great and makes me even more comfortable. Not the highest and not the lowest, but I know he and his guys do great work. Thanks!!!

[Farmboy1]

Percentages will vary based on a bunch of factors. The markup will range from 10-30% based on difficulty of job, difficulty of Owner (yes this does factor in) length of time job will take, resources that will be devoted (tools, trailers, etc), professionalism of office and field staff, and quality of contractor.

I do commercial construction and try to tell people to work with someone honest. Low bidders are low for a reason and it is not what their markup is. Residential projects normally have poor drawings and little or no paper trail for contractors to go from. Bids are just a guess as to what will need to be done. I know for a fact when looking at jobs what it will take to complete the job, but in some situations you need to be the low bidder or you don't get work. If I am choosen as the contractor and can put in the time up front to determine the unknowns that will happen, I can give you a fair and honest bid from the beginning and change orders will be almost non-existant.

If I were going to do it, knowing what I know and 15 years in the industry, I would get recomendations from friends, family, and do your research BEFORE anything else. Choose the BEST contractor for the job, not the cheapest.

As with anything else, there are good and bad people out there that will take advantage of people. Don't let yourself be one of those people.

Good Luck.

[BoxMN]

Thanks Farmboy. Great references, and his work is top notch, even though mine will be small job for him. He has already showed plenty of drawings, and detailed price lists and showed examples of past contracts and prices. He said he is 100% confident that our final price will only go up if we (homeowners) are the ones who upcharge any changes It won't take him long to finish either, barring rain.

Thanks again everybody, you have made me feel even more comfortable with our guy. Plus, I hope to even go fishing with him in the future, nice guy.

(PS I was labor for bricklayer when I was younger, so I now how the homeowner can raise the cost by being a hassle or do many changes, so I am already ready to nail the plans from the start, then let the pros do their thing.)

[Black_Bay]

Are you willing to share who you went with? (assuming it doesn't violate forum rules)

[Roofer]

Depends on if you want to go cheap or want a good job. Some contractors will screw you either way though. There is ALOT of sloppy jobs out there and even more cheap materials. This is what I like to tell customers.

GC will normally add 15%. Ins. claims, that's what they give, if you have 3 or more subs. It also depends on what you are having them do. It's good you have a referral, that's the best IMO. We don't advertise at all mainly because people always get multiple bids and get the cheapest or "the one in the middle". We are based on referrals only.

[BoxMN]

Thanks for more info yet! I agree, referrals are great. I was more wondering about the general rates, though I knew I was going with him whenever we would be at the point of building. I also know his bookkeeper, and I am very impressed with him and his work. Three years ago we went through the "get quotes" stage, and it was then that a friend turned us on to him.

Thanks Roofer, you have helped me many times with the info you post here.

Black Bay, I won't mention names here, but if you send me an email I will give you more info. This is for the Crosslake MN area (I am not on the chain or other popular lake, nor building one of those mansions 2 BR 1 bath with walkout basement and 28x28 garage.)

[Black_Bay]

I had a feeling you may have been talking about building outstate. Since you're talking Crosslake that won't help me much. The reason I asked was my wife would love an addition and I figured I'd add to my of builders.