Seriesthe big reno clinic
Builder quotes for the same renovation can vary wildly because they may be pricing different things. Shay Lally explains how to compare all the quotes and find the best value.
Shay Lally Quantity surveyor
IN THE BIG Reno Clinic series, Houses to Restore QS Shay Lally provides answers and solutions to the big (and little, but important) questions you may have about making the most of your home.
Send your question for Shay to reno@thejournal.ie
This week’s question:
We’re getting quotes from builders for a renovation, but the prices are wildly different, and the breakdowns don’t make sense. Why is that? We want to go with the cheapest, but is that a gamble?
Shay says:
Short answer: you’re not comparing like with like.
Without a common set of documents to price from, every builder quotes in their own format, based on their own interpretation of the project. Some variance is normal because every builder prices differently, but a big gap and confusing breakdowns usually mean the builders were working from different assumptions.
The fix is a tender pack. It typically includes drawings, the structural engineer’s details and marked-up drawings, and a bill of quantities. Your architect or engineer (depending on who’s leading the build) should have that tender pack ready for quotes.
Home renovation used to be a far more informal process. Over the past 10–15 years it’s become more professionally managed — arguably helped by shows like Room to Improve, where viewers can see the value of working with an architect and a quantity surveyor. Home renovation projects have become more complex too.
The best approach: engage an architect or interior architect, then instruct a quantity surveyor to prepare a bill of quantities. A bill of quantities is a formal document that describes, specifies and quantifies all of the work in the project. It goes to each builder to price, and once the completed copies come back, the QS carries out a tender analysis — a like-for-like comparison to establish who’s actually offering the best value.
What a tender analysis catches:
- Omissions - One contractor leaves out flooring, painting or landscaping and writes “by others” or “excluded” beside it. Their bottom line or cost looks great until you add those items back in
- Additions - Another contractor allows for something they know from experience will be needed — say, removing every ceiling in a house that’s being rewired, because it’s more practical to do it that way — which the other builders haven’t priced for.
A competent QS separates out those extras and adjusts for the omissions, so the comparison is fair.
The trap? Going straight to the bottom line. The cheapest tender can look very attractive at a glance. But once you go through it in detail and ask for clarification, it can turn out to have left out items that, added back in, make it the most expensive. That said, sometimes the cheapest tender genuinely is the best value – you just can’t know until you’ve checked.
A few other reasons prices can differ:
- Timing and capacity - A cancelled job might leave a builder with short-notice availability and a team to keep busy — and as the client you happen to be in the right place at the right time. The flip side is a builder who’s already flat out and pricing higher because they’re winning plenty of work
- Experience - An experienced contractor allows for everything because they know what’s really involved. A less experienced one may submit a keener price out of enthusiasm to secure the work
- Human error - A calculation mistake can make one builder look dearer or cheaper than they are, so check the arithmetic in every quote you receive.
Your roadmap to comparable quotes:
- Establish your brief and decide on what you want
- Engage an architect or interior architect to produce a proper drawing – this will include concept drawings to begin with, planning drawings if necessary and a tender pack for pricing
- Instruct a quantity surveyor to prepare a bill of quantities based on the tender pack
- Send the full tender pack to every builder. A tender pack includes a set of drawings, the structural engineers details and a bill of quantities
- Get the QS to complete a tender analysis to ensure the tender returns are compared on a like for like basis
- Go through the cheapest quote line by line and ask for clarification on anything unclear before you decide.
Key takeaways
- Wildly different quotes usually mean builders were pricing different things, not that someone’s wrong.
- Every builder needs the same information to give you a comparable price.
- The cheapest quote isn’t automatically a gamble, but it needs checking for exclusions and errors before you commit.
- Check the maths, and ask about anything marked “by others” or “excluded”.
- Get some references and go to view a few projects your preferred builder has completed before committing.
Shay will be back answering your questions next week. Send him your pressing queries on managing a renovation to reno@thejournal.ie.