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Reply to "Come along as we build our custom home- lessons learned in real time."
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[quote=Anonymous]Ah yes. Two major routes for pricing the construction. Fixed price, is where the builder, after meeting extensively with the homeowner, gives one flat price for the total build--that includes the builder's profit. Cost-plus is what you described-owner approves each and every line item, including the builder's profit. A variation on cost-plus, is that the builder's profit is either a) fixed and known up front (this is the way we went or b) variable, a percentage based on home price. Here's a good summary: https://www.hopedalebuilders.com/blog/fixed-price-vs-cost-plus-contractor-estimates [/quote]
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