Do you bid residential per plan or to meet code?

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WJR

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Can you please tell me if you bid residential work to reflect only what the blueprint shows or do you redline the print to include items that you know will be required to meet code?

If you redline the prints to include code requirements, do you show your customers what you added to the print? If so, do you give your customer a bid price that reflects what the print shows (So they can compare apples to apples) and then a separate bid price that includes the items that you believe will be needed to meet code (and pass inspection)?

Also, do you value engineer the prints for your customers to show them where they can save money?

I would appreciate hearing your thoughts on these issues. Please let me know if you feel that it is worth while to estimate at this level or is it a waste of time?

Thank you.

Bill
 
WJR said:
Can you please tell me if you bid residential work to reflect only what the blueprint shows or do you redline the print to include items that you know will be required to meet code?

If you redline the prints to include code requirements, do you show your customers what you added to the print? If so, do you give your customer a bid price that reflects what the print shows (So they can compare apples to apples) and then a separate bid price that includes the items that you believe will be needed to meet code (and pass inspection)?

Also, do you value engineer the prints for your customers to show them where they can save money?

I would appreciate hearing your thoughts on these issues. Please let me know if you feel that it is worth while to estimate at this level or is it a waste of time?

Thank you.

Bill

Sounds like you have things under control, time is money, I would not give the customer the red lined print until they sign the contract, however i would explain the customer, that you can not compete with the bids on the incomplete prints.
 
satcom said:
I would not give the customer the red lined print until they sign the contract, however i would explain the customer, that you can not compete with the bids on the incomplete prints.
Does that mean that you include code additions to your bid but keep the items that you added to yourself?

Do you just add code items or do you also remove items that are not required to meet code? (if a room shows 6 receptacles and you only need 4, do you remove 2?)
 
WJR said:
Does that mean that you include code additions to your bid but keep the items that you added to yourself?

Do you just add code items or do you also remove items that are not required to meet code? (if a room shows 6 receptacles and you only need 4, do you remove 2?)

Let the customer know, that the print they supplied does not meet code, and your pricing is based on a compliant print, which you will supply when they sign the contract, or You can discuss the layout, and missed items, and redo the print, going this extra step may be helpful in getting the work, I would not remove anything, without, discussing the need for it with the customer first.
 
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I give 'em two prices, one based on the print and the other for work that will allow them to legally live in the house with a Certificate of Occupancy.
 
Depends on the builder. If it's someone who's known to me, they'll get both prices. If they're unknown to me, they'll only get a bid based on what they asked me to bid on.
 
Thanks for your input guys.

What about value engineering the print to show them where they can save money? Not only would that be a value added service but wouldn't it give you the opportunity to come in lower than your competition?
 
Look for the ?lazy engineers CYA? it will look something like: ?No matter what I designed you have to build this to code, even if to code does not even remotely resemble what is on these plans??

You could try this:

Produce a bid based on the plans:
Base Bid $XXX

Define your scope:

Included:
1) Bid based on plans as shown
2) Temporary lights and receptacles
3) Gear and fixtures
4) Taxes and permit

Excluded:
1) Consumption of temporarily power
2) Plan Review
3) Connection and utility fees

(I just threw that stuff in there but you get the idea)

ADD $XXX
Plans do not meet NEC, additional receptacles (or whatever) will be required.

Note
There are several value engineering opportunities with this design, we feel we could offer the up to a ($XXX) deduct for (list some general VE options).

(be very careful with that deduct number people tend to read it once and lock in on it as a fixed price even if they don?t take all your options)

If you offer a VE there are some important things to keep in mind during bidding.

1) NEVER give the full amount back, if they VE is a $1,000 deduct, offer $750 back, always keep some of the money for your ?experience? and just in case it does not work out like you think it should, sometimes VEs can bite you in the butt. Also if the owner has locked in on your original VE budget and but does not take all your options it gives you some wiggle room.

2) NEVER give a redlined or marked up drawing to the GC or owner unless you have a contract. If you do, they will just put your drawing out to bid.

3) There is a balance between explaining a VE, and spilling the beans. When bidding try to be clear but not too detailed on what VEs you are offering on your proposal letter. If you get to contract negotiations, that is the time to talk about VE details, with the key word being ?TALK?, which is not drawing them plans, its just talk. If he wants to write them down in a contract then that is fine.

4) NEVER EVER give a break down of each VE option price, they will take them and beat you to death with them. A VE is a lump sum for the individual option, there is no break down for that price. They don?t have to take the option, if they don?t like it.
 
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