Taking the cheapest quote for anybody with a tight budget makes sense and temporarily eases the pressure of cash flow. However with any cheap quote there is more than likely an accompanying catch. Unfortunately, that catch commonly doesn’t surface until the project is underway and is now complicated and expensive to correct.
When analysing quotes, it’s important to not assume that the cheapest quote is the best quote for you. It may be more expensive now but often saves you long-term. We like to make sure that our Trentwood quotes have a clear and understandable breakdown of pricing and related work so that our clients are fully aware of how the quoted price equates to the quality of the final product.
A common example of how the cheapest quote is not the best quote happens when a client receives two quotes from different builders for the same job with two different prices. Unfortunately, the common assumption is that the quotes are for the same quality and quantity of work, just one is quoted more expensive than the other. There is often some reading in-between the lines necessary in analysing a quote. The figure is not the only factor that a client should be considering when deciding which is the best quote for them. Often the cheapest quote is void of key elements that provide a quality project and final product.
Risks in choosing the cheapest quote include:
- Often cheaper materials are used.
- The quality of work is often lower.
- There is a tendency to cut corners to save time.
- There can be extra overheads for insurance.
- Unforeseen expenses are charged along the way, not included as a contingency.
Its important to understand that there will always be some aspects of the job that aren’t included in the drawing and mapping out of the project. A contingency should always be allowed for in a quote, as required by the Department of Fair Trading.
Some of the features that differentiate Trentwood’s quoting are:
- A program to show the steps required in the building project is included
- The program of the job is methodical
- All costing is included in the quote, there are no add-ons
- The work is fully insured and guaranteed
- The house being renovated is insured
- Public liability is included
- Quality of work is reflected in the quote
- Quality materials used, all Australian standard
- Tradesman are all fully licensed and insured
- Cleanliness is maintained through the duration of the project
- There is a lot of attention and care put into the development of the quote, to ensure it’s a true representation
It is important that sufficient time and evaluation of a quote is taken to ensure that assumptions are removed. This is to help you make a decision about a quote that will result in a high quality and cost effective project. If you’d like some more tips on avoiding common mistakes when undertaking your next project, check out our other post!