Why Do Contractors Ask For More Money?

Home renovation projects can be a daunting task, especially when dealing with unexpected costs. In this article, Brad from Home Love Construction addresses the question of what to do when a contractor asks for more money.

First, it is important to understand that a contractor signed a contract with you for a certain amount of work to be done that should be itemized out or at least listed out in some way. If the amount of work that has to be done has changed, there will likely be extra costs. However, it is important to note that contractors do not have x-ray vision, so if they open up a wall and find unexpected damage, this will add to the cost.

When a contractor asks for more money, it is often because they need to be paid on it now in order to keep the project moving forward. This is because the contractor has planned out the project and the draw schedule so that they are doing the project with your money, not their own. If the contractor does not receive payment for the extra work, they may end up spending more money than planned and going upside down on the project.

It is important to understand that the contractor wants payment upfront in order to protect themselves and protect you as well. If the contractor goes upside down on the project and has to quit contracting or declare bankruptcy, there will be no recourse for you. Therefore, it is important to stick to the contractor’s draw schedule in order to keep them viable on the project.

It is also important to note that it is not uncommon for extra costs to arise during a renovation project. This is especially true in states like Florida, where the way houses were built can lead to unexpected surprises. However, contractors should always be willing to fix any problems that may arise on the project.

It is crucial to do your homework when choosing a contractor. Make sure to check references and make sure that they are not going to take your money and run away with it. While it is not uncommon for projects to not go as planned, a good contractor should be willing to fix any issues that may arise.

In conclusion, unexpected costs during a renovation project can be frustrating, but it is important to understand that contractors do not have x-ray vision and unexpected surprises are not uncommon in construction. It is important to stick to the contractor’s draw schedule in order to keep them viable on the project and to protect yourself. Additionally, it is crucial to do your homework when choosing a contractor and make sure they are reliable and trustworthy. While the world of construction can be a little crazy at times, a good contractor will work with you to ensure that the project is completed to your satisfaction.