What should I look for when hiring a construction company?
When looking for a construction company for your next project, make sure you complete the following steps:
Verify their license and insurance: It’s always best to hire a construction company that has liability insurance, workers’ compensation insurance and licenses. Requirements tend to vary by city or state, but some of the most common types of licenses include business, general contracting, plumbing, electrical, HVAC, roofing and home improvement licenses. Do your research to find out what’s required in your area.
Get several estimates: Be sure to shop around and compare quotes. Make sure each estimate you have includes the cost of labor, materials, equipment and any other fees.
Read their reviews: Avoid companies with too many red flags, such as customer complaints about the quality of work, ability to finish on time and whether they were unfairly charged more than the agreed upon quote.
Look at their portfolios: Check the company’s past work to see if they have experience with your specific project. Grade their craftsmanship and overall quality before you make a decision.
Find out if they have warranties: Ask each company about its warranties. They should offer something for materials and labor. Just make sure you understand the warranty’s terms and conditions before you hire.
Ask important questions: Make sure you understand how they work — schedules, permitting, how problems are handled and, of course, the project timeline.
For more tips, visit Thumbtack’s Smart Hiring page.
How much do construction companies charge for their services?
The national average cost for construction services ranges from around $1,332 to $6,513,* according to Thumbtack data. This includes the estimated cost of the following services:
Construction estimator
Construction consultant
Construction manager
Permit services
Draftsperson or Computer-Aided Design and Drafting (CADD)
Other construction services
Besides the type of service, there are several factors that might impact the cost of construction services, including:
Project size: Remodeling a half bath is cheaper than building an entire house due to additional labor and material costs.
Complexity: Some projects, like replacing a countertop, are simple. Others, like changing the floor plan, will cost more.
Location: It can cost a lot more in certain locations to get materials and labor. Generally, areas with a higher cost of living tend to have higher construction costs.
You might be able to save money on your project with these tips:
Plan ahead and be specific: Don’t hire anyone until you know exactly what you want, and communicate it thoroughly to save on fixes later.
Get multiple quotes: You may be surprised what you can save when you shop around and compare price estimates.
Consider off-the-shelf designs: Using pre-designed plans or standard options instead of custom designs could save you money.
*Data on file at Thumbtack. For a personalized cost estimate, request a quote from a professional.
What questions should I ask a construction contractor?
Before you hire a contractor, here are some important questions to ask:
Are you licensed and insured? Make sure they have the proper licenses and insurance to protect you from potential liability.
Can you provide references or previous project examples? Review their previous work and client feedback to assess their experience and quality.
What is the estimated timeline for completion? Clarify how long the project will take and be sure their schedule aligns with yours.
What is the payment structure? Discuss payment terms, including deposits, milestones and final payment, to avoid misunderstandings.
How do you handle unexpected changes or costs? Understand how they manage unforeseen issues during the project. How much do construction companies charge for their services?
What should be included in an estimate from a construction company?
An estimate from a construction company should include a detailed breakdown of all costs involved in the project, including:
Labor, materials and equipment required
Subcontractor costs should be specified
Potential additional expenses like permits and inspections
Clear payment terms, warranty information and any contingencies for unforeseen circumstances
An outline of the scope of work, including timelines, project milestones and the expected completion date
Remember that clear communication about project changes, delays or scope alterations is essential to avoid misunderstandings. A reliable estimate should also be easy to read and itemized so you can see the full breakdown.
What services and projects do construction companies offer?
Many construction companies typically offer the following services:
General construction and project management
Foundation installation and repairs
Framing and structural work
Concrete pouring and finishing
Exterior and interior demolition
Building custom homes or commercial structures
Building code compliance and inspections
Excavation and grading for site preparation
However, construction companies don’t typically offer the following services:
Architectural plans
Electrical system installations and repairs
Plumbing for advanced or specialized systems
Heating, ventilation and air conditioning (HVAC) services
Roofing or gutter installation and repairs
Interior painting or decorative finishes
Advanced landscaping and hardscaping work
Environmental testing and remediation
High-end custom cabinetry or furniture construction
Always confirm with your company what services they offer. A company may specialize in certain projects but lack experience in others.
What are the benefits of hiring a construction company for my project?
Some of the biggest benefits of hiring a construction company include the following:
Expertise and experience: Many construction companies have skilled professionals with expertise in handling complex projects, which can help ensure quality results and adherence to building codes.
Time efficiency: With project management systems and experienced teams, most construction companies are equipped to finish your project in a timely manner, saving you time and stress.
Access to resources: Companies typically have established relationships with suppliers and subcontractors, so they can often get better pricing and reliable labor.
Risk management: Construction companies should handle legalities, insurance and safety regulations, minimizing the risks associated with your project.
Cost control: A great construction company can help you manage your budget by providing accurate estimates, avoiding unexpected expenses and offering cost-saving solutions throughout the project.