In the building industry, there is often a misconception that an estimate is a quote. What is the difference between an estimate and a quote? They are two very different things. An estimate is a ball park figure of what your project may cost based on previous similar or comparable projects. A quote is when you actually spend hours measuring floor plans, gathering as much information as possible to obtain an accurate price for the true cost of the project. While estimates will vary from company to company and one region to another, they are just that: estimates. The only way to know the true cost of your project is to get a quote from a reputable contractor who has spent time properly measuring your space and planning a strategy for completing your new home.
As most builders will tell you, they are constantly being asked for quotes and estimates on projects, which makes sense since people want to know how much something will cost before they make a decision. Many builders will use the term quote interchangeably with estimate because it’s easier than having to go through all of the time and effort of creating an actual quote for each customer that requests one. But unlike an estimate that may be off base more often than not, a quote is specifically tailored to each customer’s unique situation based on their individual needs.
Benefits of quotes
The benefits of using quotes over estimates are simple: it is the most transparent and accurate way to budget for a project. If you receive an estimate, you need to keep in mind that there is no guarantee you won’t be charged more than the amount quoted.
A quote takes into account all of the costs associated with your project. It is also an opportunity for you and your builder to discuss the finer details, ensuring that what has been quoted will be delivered in a manner that suits your needs. A quote does not mean that you have signed off on every aspect of the build—it is merely an agreement about the overall budget for the project, and includes a breakdown of any extra charges (such as installing your own fixtures) or changes (such as swapping out materials).
Most importantly, a quote allows you to work within set parameters. You know how much money you can spend on this project, how long it will take and what you will get at the end of it all. Your quote should be as detailed as possible so that everything is covered and there are no surprises along the way. A good builder will be happy to put together a detailed quote for you.
Free Quotes Vs Paid Quotes
When a builder provides you with an accurate quote, they’re doing more than just looking at the job and giving you a number. They’ll need to make sure that they can complete the job in a way that will meet your needs and budget but will also satisfy local building codes, which may require them to consult experts in other trades (e.g., plumber, engineers, surveyors) who will also have to look at the work site. In order to give you a quote that takes all these things into account, they’ll probably need over 20 hours of work with pricing requests sent out to over 100 contractors. That’s why estimates are so costly.
It is essential to establish the difference between an estimate and a quote so the two aren’t confused with one another. Whether you get an estimate first or a quote first, it will help you decide if your builder is doing their best to provide you with a fair and accurate price for your project.
At Zee Builders, we put in the time and energy to make sure your quote is completely accurate so there are no surprises when you receive it and are ready to move forward with your project.