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A Slow Economy Doesn’t Change the Rules of Bidding

by Rick on Jun.22, 2010, under Uncategorized

If you’re a homeowner, now is a terrific time to build or renovate. The punishing economy has left its mark on a lot of builders, and if you’re ready to move a project forward, a number of contractors are ready to offer their services at competitive prices.

For homeowners, getting the lowest price for a project often means putting work out for bid. But most general contractors I’ve met with recently have complained about the conditions under which they are being asked to bid residential renovation projects, and these complaints have increased as the economic environment has encouraged more owners to put projects out for bid.

Contractors say that too many homeowners and architects are naive in their reliance on the bid process as the major tool to lower project cost, and that they ignore the negative impact this process can have on the quality of construction, the level of service provided, and the development of the trust needed among all the parties for a successful outcome. If builders see that a bid process is not supported by thorough drawings or structured to ensure that all bidders develop accurate costs, they feel competitive pressure to provide lower bid figures that increase the chances of getting the job rather than finishing it the way the owner intends.

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http://www.finehomebuilding.com/how-to/departments/commentary/a-slow-economy-doesnt-change-the-rules-of-bidding.aspx
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