How do I know if my contractor is charging a fair rate for labor, foreman, etc.?

Question

I was suprised to find that my General contractors rates were so .....well high. How can I tell if I'm being ripped off?

Answer 1

Our general contractor charged 10% over the billed cost of all labor by the subcontractors. From what I read, that is pretty standard. Be sure to interview at least three contractors and ask for bids. Also, ask around--the better contractors are more expensive, but most people are pretty honest about that. We had a great remodeling experience, but we paid for it.

When we interviewed contractors, we asked who they use as subs. Then we were able to call the subs directly to get their hourly rates and compare prices as well as ask around the community about their reputation.

If your contractor only works with the best subs, he must be pretty good at paying his bills and keeping steady work. You may pay a bit more for the better subcontractors, but usually you get what you pay for in the world of remodeling and home repair.

We were able to request certain subs from his list to control spending to some extent.

Be sure to get business cards of subs working on your house. Later on if you need a plumber, electricial, or other worker, you have a number to call for reputable help.

Answer 2

I am a contractor. In my twenty years I have only upset three clients. I am still ask my self: "what I could have done better?"
I charge $25 an hour. Some clients want an estimate. I explain that both avenues have their advantage and disadvantages. Estimates could turn out more expensive because I have to try to account for unforeseen circumstances. Per hour could be more expensive because a dishonest contractor might milk the job.
Conduct regular audits to keep your contractor accountable. I do not charge for other peoples work. I do not sell the materials I buy, to you. What I pay you pay. I do charge for the time it takes me to go to the store though. I think that is fair.

Answer 3

Contractors over handyman charge more. Here is it at least $75 per hour just for general stuff.

Call your State Contractors' Board and they should guide you. Make sure you only sure licensed and bonded contractors, regardless of the price!

Answer 4

First you should always get two if not three bids on any job. Make sure to get a contract stating how much and what you get for that price and hold him to it. Without that you are at his mercy. Also, always get a certificate of insurance for the job, and their licence to make sure they are lawfully in business and they are covered if their worker gets hurt, otherwise you are at risk. then get a couple of references and call them and the better business Bureau. It pays to do the prep work. I ran an apartment complex and we were required to do all this and it pays, I have found that out. good luck.

Answer 5

If he is well recomended then lighten up. You take your car to the shop and they charge you $60.00 + /hr and you dont question. You call a plumber or electrician and they charge you $60.00 +/hr. You go to doctors and pay $150.00+ / hr for visit or $1200.00 + /hr for minor surgeries. etc etc. Contractors who know their stuff are well worth the asking rate if they are good.