Huge Residential $Million house quote

[magictolight.com]

Bidding my first million dollar house. Cost of labor and materials is roughly $43000. Looking at about 10% overhead. Any ideas what a good, competitive markup would be on this project?

On another note, when calculating a mixed labor rate, are you guys just averaging journeyman cost and apprentice cost and dividing by 2? Thanks for the responses.

Of course the bid is due by 2:00!:roll:

 

[480sparky]

Kinda late in the game to be asking about how to bid 7-figure projects, isn't it?

As for labor rates, if you add them together and divide by two, you still end up with the same dollar amount than if you calculated them as seperate line items.

For exampe (numbers are just for calculation only, they are not real-world numbers!)

100 hours JW @ 100 = $10,000
100 hours App @ 75 = 7,500

Labor costs = $17,500


If you add them together and divide by two, you end up with the same.

200 hours (total hours) @ $87.50 (JW+App/2) = $17,500.

Only you can figure your mark-up. Depends on 1.) if you really really really need the work, 2.) how your internal pricing and estimating is structured and 3.) what the local market is.

 

[magictolight.com]

Kinda late in the game to be asking about how to bid 7-figure projects, isn't it?

Already got my takeoffs done, just been wrestling with how much to sell it.


(Quote)If you add them together and divide by two, you end up with the same.

200 hours (total hours) @ $87.50 (JW+App/2) = $17,500.

My program gives me a total sum of labor hours. So I figured that if you assume the apprentice can do the grunt work as fast as a journeyman can do the technical work than you simply could average it out.

 

[dduffee260]

How bad do you need the work? Do you have any projects coming up? Are you going to have to look at layoffs if you do not get this project? Factor all of these in on your profit.

As for us on a job this size we would want 15% profit. We may not get it but that is what we shoot for. If you want to be on the low end of profit I would not shoot under 9%. Make sure of your costs.

Also on your labor some people use 3 employees with 1-JMan wages and 2-App wages. They then average the wages out. This cuts the labor back a little bit.

Let us know how you came out. Good luck on your bid !!

 

[zbang]

Also, the larger the job, the more likelyhood of misinterpreting the, ahem, crystal-clear specs, architect changes that they insist are in the base, and all kinds of other headaches. Plan for it.

 

[magictolight.com]

Also, the larger the job, the more likelyhood of misinterpreting the, ahem, crystal-clear specs, architect changes that they insist are in the base, and all kinds of other headaches. Plan for it.

IMPOSSIBLE!!!!!!!!!!!:grin:

 

[magictolight.com]

Just turned in my proposal. With the lighting package included it came in at $139000. Included a $15000 upgrade for grafik eye and radio ra. Little bit of a jump from your $10k - $20k jobs. Guess we will see how it goes. Watching that fax machine shoot that to the client really got my heart pumping.:roll: Went with 15% markup, 10% overhead.

 

[hardworkingstiff]

Bidding my first million dollar house. Cost of labor and materials is roughly $43000.

Just turned in my proposal. With the lighting package included it came in at $139000. Included a $15000 upgrade for grafik eye and radio ra.

OK, how'd you get from $43K to 139K? I see you have an upgrade, but that's still a big jump, just curious.

Little bit of a jump from your $10k - $20k jobs. Guess we will see how it goes. Watching that fax machine shoot that to the client really got my heart pumping.:roll: Went with 15% markup, 10% overhead.

Good luck! I hope you get it. When are you supposed to find out?

 

[magictolight.com]

The lighting package came in at about $55k. Found a few other little things while I waited for the quote from my lighting distributor.

 

[480sparky]

Any word back yet?

I'm gonna say they found some hack on CL that will do the whole she-bang for $22,500.

 

[mivey]

Any word back yet?

I'm gonna say they found some hack on CL that will do the whole she-bang for $22,500.

What'd you call me? :grin:

 

[480sparky]

What'd you call me? :grin:

Can't be you. I bid the job for 22-five.

 

[emahler]

not enough for a custom home...$200k wouldn't be enough...i hate custom homes...i've never met an honest electrical contractor who has made money on a custom home...but good luck

 

[magictolight.com]

You guys think they will call me one way or the other or will I have to give them a call to see how high I was?

 

[jumper]

.i've never met an honest electrical contractor who has made money on a custom home.

Why not? I do not do bidding, so I am curious?

 

[480sparky]

...i've never met an honest electrical contractor who has made money on a custom home...

I guess we've never met.

 

[emahler]

I guess we've never met.

I thought y'all told the truth in Iowa

Been my experience that if you bid enough labor hours, you're price is too high. And labor hours get chewed up. I also believe that the GC and HO go out of their way to chew up man hours with travel during the trim stage.

They are good for churning dollars.

 

[Kdog76]

Any ideas what a good, competitive markup would be on this project?

Are you looking for good or competitive? Good to you may not be competitive to them. Best bet is to follow your inner voice young grasshopper .

 

[cowboyjwc]

I thought y'all told the truth in Iowa

Been my experience that if you bid enough labor hours, you're price is too high. And labor hours get chewed up. I also believe that the GC and HO go out of their way to chew up man hours with travel during the trim stage.

They are good for churning dollars.

I was working on million dollar homes when they were truely custom and not just big tract homes.

That's all the company I used to work for did. I know that he simply bid it by the outlet (two gang being two, etc) X number of dollars per can light and we didn't supply fixtures. In those days I believe that he was charging somehting like $25 an outlet and $40 a can, that's in the late 70's early 80's.

 

[480sparky]

I thought y'all told the truth in Iowa

Been my experience that if you bid enough labor hours, you're price is too high. And labor hours get chewed up. I also believe that the GC and HO go out of their way to chew up man hours with travel during the trim stage.

They are good for churning dollars.

Customs is about all I do in the new resi market.