Before You Accept a Construction Bid: Seven Questions to Ask

A construction bid is more than a price. It is a description of what someone agrees to provide—and what remains your responsibility. Before choosing a contractor for a renovation or new home, make sure you can explain the scope in plain English.

After more than 45 years working across real estate, lending, appraisal, title and construction, I have learned to look beyond the total on the last page. These seven questions help owners turn a stack of bids into a useful comparison.

1. Are all bidders pricing the same work?

Give each bidder the same plans, specifications and written scope. Identify the plan date and any revisions. A quote based on an earlier drawing may omit work that another bidder included. Ask for a written list of assumptions so differences are visible.

2. What is specifically excluded?

Ask about demolition, hauling, delivery, installation, equipment, cleanup and repairs to surrounding finishes. A window replacement, for example, may include the units but omit removing the old windows or repairing stucco. Put responsibility for each item in writing.

3. Which prices are fixed, and which are allowances?

An allowance is a placeholder for a selection or cost that has not been finalized. Ask what quantity and quality it assumes. If your actual choice costs more, understand how the difference will be calculated, including any markup or added labor.

4. Who measures, orders and checks materials?

Confirm who verifies dimensions before ordering, who approves the order and who handles shortages or damaged items. Coordinate the supplier and installer early. An attractive material price loses its value if an ordering mistake causes rework or delays.

5. What schedule does the bid assume?

Discuss the expected start, material lead times and major milestones. Ask which owner decisions are needed and when. Clarify how inspection scheduling, unavailable materials or unfinished work by another trade could affect progress.

6. How will changes be approved?

Ask for a written change-order process that describes the added or removed work, its price and its schedule impact. Agree on who can authorize changes. Resolve questions before the work proceeds whenever practical, rather than trying to reconstruct an agreement afterward.

7. Who is responsible for communication?

Know your main contact and who supervises the work. Ask how questions, invoices and problems will be handled. Check relevant references and the contractor's credentials before committing. A clear proposal should be supported by dependable follow-through.

Build a comparison you can actually use

Create a simple worksheet with the same scope items down the left side and each bidder across the top. Mark each item included, excluded or unclear. Request clarification rather than treating a blank as included. Then compare the complete expected cost and execution plan.

If you are planning a renovation or new construction project in Malibu, Calabasas or the surrounding area, I can help review bids, identify scope gaps and organize the questions to ask before you commit.

Contact Steve Barth at 818-264-6119 or Steve@SteveBarthRealEstate.com. Have your project location, current plans and bids available so we can discuss where a review would be most useful.