The above average couple who plans to have a new home built are generally not knowledgeable about construction standards, the difference in the quality of materials that a builder chooses at his discretion, the shortcuts that some builders take to make more profit at the expense of the homeowner, the "little" things that a builder can leave out of the contract discussion and then, as though they were unexpected later during construction, suddenly require $5,500 more for drainage permits and work, $3,200 for a couple of additional windows that should really have been in the original design, $4,750 for a change in the flooring materials, $7,200 for kitchen cabinet upgrades, $2,100 for appliance upgrades, and on and on. The homeowners did not think the builder was going to use the cheapest generic brand appliances, but he was.

The homeowner thinks these are unexpected surprises for the builder, too, but the builder has "been there, done that." There are few surprises for an experienced home builder. The only one who gets surprised is the homeowner, who has to somehow come up with a lot more money than they planned in their budget.  Many of these "surprises" come over a period of 6 to 8 months during construction, so it is a bit like the frog in the pot.  The water in the pot keeps getting hotter, but it happens so slowly, the frog doesn't know until it's too late to do something.  If a builder hit you with all these extras at once, you would never agree, but each one comes slowly and what can you do at that stage of construction, except agree to pay?

This is how the homeowner gets sucked into a contract, and ends up paying as much or more than what they would have paid another builder who gives honest quotes up front and builds a true quality custom home.

True story. Two homes were built adjacent to each other, one by a quality home builder and the other by the discounter. The quality home builder had the home completed in five months, and the homeowners moved in very pleased with the quality and the guaranteed contract price. The discounter next door did not complete that home for over a year, and those poor homeowners were kicking themselves for hiring the lowest bidder, because in the end it cost them more money, more time, and a lot of stress. What's interesting is that they originally talked with the quality builder, but his bid was higher than the one they hired.  Why do people seem to assume that the lowest bidder is also the best builder?  This is a question that has haunted me for 15 years. 

Who are you going to hire as a builder? The lowest bidder or the best builder in Sequim or Port Angeles? Realize that ultimately the best builder may actually be the lowest bidder per square foot, but it won't sound that way when you are being sold by a discounter. I recommend getting some inside help on how to do your due diligence in selecting a builder. You will be very glad you did.

Email or call me, and we can talk about what kind of home you want to build and what kind of builder you would like to work with. I'll help match you up if I can.  See this special offer, which will cost you nothing but could save you 10's of thousands of dollars.

Chuck Marunde, J.D.
(Retired Real Estate Attorney)