Construction projects are not among the list of easy things that one can undertake. This is because you have to consider and manage a lot of things in order to have a successful project.
For instance, you will need to consider the costs, materials, contractor, engineering, and timeline among many other things. Construction is labor intensive and can be expensive. Chances are, you will be digging deep into your pockets to get the best quality and performance.
Here are a few practical ways to reduce your construction costs:
Selecting the right contractor will be job #1. The truth is, you still can get a good quality construction if you choose a diligent, honest and hardworking contractor. You may even think you will save a great deal of money by choosing to be your own contractor. The truth is, that is not usually the case and here is why:
- What will it really cost you?
It is estimated that the average profit for small scale contractors per year is 5% of his job cost. So, if you decide that you want to be your own general contractor for your construction, it means that you will save that 5%. Or, does it? This is what many people think, but the reality is quite different. Usually, on site labor costs are between 20-25% of the total price of a new home when you use the services of a contractor.
However, when you are your own general contractor, this value will go up because as a one–time job, subcontractors will raise their labor prices accordingly. You will also pay more on insurance because insurance companies will place you in a risky category.
The most obvious setback will have to do with costly mistakes that you will likely commit since you are not a professional in construction.
- Ways to save money:
Value engineering is the process of carrying out certain design decisions that will enable you to build for less. For instance, when you go for a conventional design you may decide to use cement blocks instead of bricks or use flush doors or PVC windows. There are often many things you can do to bring down the budget of your job. A good contractor should be able to help you in making some of these decisions.
Other design measures that reduce costs include using a simple roofing system, cutting down on the square footage, using a custom design to eliminate error and maybe using modest materials for flooring, cabinetry and appliances. After all, you can always choose to upgrade later. Unless you have an unlimited budget or can utilize a crowdfunding platform (online funding for anything) to help, you may need to creatively cut corners.
- Choose a good construction contractor
You don’t want to get everything else right and then fail to choose the right contractor. Make sure that the contractor is licensed, honest, reliable and has references you can check before you pay him one dime. Also beware of contractors that need 50% to start. Ask for a “pay as you go” schedule so you know they are going to show up, work hard and get your job done. For instance, you may want to get look for a contractor who uses a slide rail trench box for elaborate excavations compared to just conventional sheeting and so on.
You do not need to compromise on the quality of your construction. Instead, choose the right contractor – one who knows what he is doing and can help you select smart ways to cut costs and make your construction project a great success.
Author Bio
Jim Thompson
Title: Super-Connector at OutreachMama
Jim is a super-connector with Towering SEO and OutreachMama who helps businesses find their audience online through outreach, partnerships, and networking. He is a professional writer who has been in the business for 5 years. He has hands on experience with cars, tech, and relationship advice, among other things. Because of how quickly he can turn articles around, he is able to take on multiple projects at once. His writing experience spans from SEO articles to technical guides and everything in between.
source http://www.business-opportunities.biz/2017/03/09/tips-saving-money-construction/
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