If you are dealing with a reputable contractor, you will have a contract between you and the contractor outlining the work to be performed, a timeline for the project, and what the project is going to cost. There are some other components of a good construction contract as well. Understanding the contract is important for making sure that you are holding your contractor accountable.
What the Contract Should Include
The construction contract should have some basic information that absolutely must be present for a legally binding contract. It must have your name and contact information, as well as the contact information and name of the contractor. The contract should describe the property in legal terms, such as the description on the deed filed with the county. Attachments to the contract, such as blueprints or schedules, should be listed directly on the contract.
Of course, the contract should outline the cost of the project. The cost may be calculated as a fixed price for the entire project, a per unit price such as per square foot, a price based on labor and materials, or an estimated price based on materials and an hourly labor cost. The last option is usually reserved for situations in which the scope of work is not entirely clear before work begins.
There should be some protections in the contract both for the homeowner and the contractor. If the homeowner is not able to obtain financing for the project, they will need a way to get out of the contract or make other arrangements to pay for the project. The steps for this should be outlined in the contract, as well as the circumstances under which the contract can be cancelled by the homeowner.
You should also have a right to stop the contract. This right to stop the contract should be enforceable by either party. In certain situations, the homeowner or the contractor may need to stop work on the project. Generally, this section of the contract will outline what will happen if the homeowner doesn’t pay the contractor.
Finally, the contract should include a detailed description of the work to be performed, as well as a timeline for completion. The contractor should be held accountable to this standard, especially if they set the deadlines themselves.
If you are interested in starting a construction project soon, consider contacting us for an estimate. Our experienced contractors offer superb craftsmanship and professionalism, while our contracts are designed to protect both of us so that we can have a successful project. Contact us today for more information.