Advice Required : Tender/Proposal for Main contractor (Home Extension)

[NHW]

Hi guys,

Have been planning for a while to get a 2-Story extension done on the house, I have a friend who is an architect and he has basically done me the favor of sorting out the design and the planning process (attached the actual PDF of the plans in this post) etc............all of which has been approved

So now is the time to get on with the actual work itself, and i think we will be going through the route of looking for a main contractor (as opposed to self-managed) as I have no experience in building work.

I've looked online and read through some guides on how to approach the process but we all know you can't get any better than some personalized advice from this forum. These are things which i assume that i will need to have in place:

1. Contract in regards to the work being carried out along with the level of quality and expectation of the final build (possibly something in there to do with timescale also?). I have heard of people mentioning JCT contracts?

2. Insurance for the extension work, and insurance for any accidents to my property whilst being extended?

3. Is it normal to have the set price agreed? so many times i see ppl saying that they went x% over budget, but i assumed that a price agreed was exactly that?

4. Payment method, for lets say a project costing from £20-£30k would this be paid in stages in regards to the work progress, and keeping a 5% retainer for things on a snag list?

5. Will it also be cheeky to ask to provide a breakdown of the quote e.g. how much for masonry work, electrical, plumbing, just so i can evaluate if each part of the quote is reasonable.

6. relating to the previous question, asking for the receipts for the materials that are being used, is this a common thing as i have had house work done before whereby i said that i would only pay the price for materials upon receiving the receipt, not sure if this also works for building works?

Sorry for the long thread, but as you can see i'm pretty much starting from square 1

p.s. if anybody has any recommendations in the Manchester/Salford area please don't hesitate to let me know

 

[^woody^]

Use a minor work or homeowner contract. Or write your own agreement, it need not be fancy.

Yes you can ask for insurance certificates.

You should get a fixed quote based on your drawings and specifications. You will need to pay for changes if you request them, or building regs require them - the quality of the drawings will prevent that though.

You agree payment stages and if you are lucky, retention.

Cost of materials and copies of receipts are non of your business if you have agreed a price.

 

[NHW]

Hi Woody,

Thanks for your swift reply, and also thanks for that advice that you have given. The drawings that have been provided are quite meticulously detailed and i hope should cover most of what is required/expected of the work, other than things like you mentioned which will be out of anybody's control (changes, building regs etc).

Ah yes in regards to the price i guess if a price has been agreed then that should be that, if they are able to source the exact materials elsewhere for a cheaper price then it makes no difference to me as long as the build is completed as required.

I am currently looking at online home extension calculators and for 18m(Sq) two-story extension i seem to be getting around £30-35k, which i think is based on somewhere around £1,250-£1,350 per sq m. Not sure if this is a good indication of what i should hope to be quoted? lol

 

[^woody^]

Local quotes from those willing and able to do the work are the only ones that matter. There are big regional differences in market costs, and more local differences in builder's ability to do the work - in terms of competence and capacity.

Just be sure that all quotes are quoting for exactly the same things, so that you can compare them like for like. Ask for a daywork (hourly) rate too in the quotes, as this is useful for pricing any variations that may crop up

You also need to firm up things like total job time, stage completion times and working times.

Never pay more of the contract sum as a percentage, compared to work complete on site. If possible, keep a slightly greater portion back for the final payment as an incentive for the builder to finish the job and not start another leaving just one bloke pottering around on yours.

If you are paying for materials to help the builder's cash flow, then make sure those materials are delivered to site first.

But also remember that the builder has bills to pay and accounts to settle, so pay what's due promptly.

Btw, don't rely on the building inspector working on your behalf to check work and quality. Many think that's their role, but it is not. The building inspector just checks a few key items to check compliance with building regulations. Nothing else. Your Architect friend may want to cast his eye over the work, either formally or informally and advise you.

There are many threads here on this subject. I've posted in a few in the early days and over time, but it's a bit difficult to keep writing the same stuff.

Make sure that any party wall agreements and water authority approvals are in place first, and that the builder is instructed to deal with the building inspector "as necessary" as part of the contract.

 

[Blagard]

I think having an agreement with a professional to check the work is being done correctly would be very wise. I would consider that a better investment than any insurance since problems that become hidden can be very difficult to deal with.

As for the insurance issue it can be a minefield and the two basics most contractors have, employers liability and public liability will not help you. Insurance of the "works" i.e. the new build is a specific insurance so either you have it as a requirement in your contract or not. The main thing is to understand who is responsible if say a storm blows down a wall or causes water damage before the roof is finished. Damage to your house where it becomes exposed is also an issue. Those types of insurance can be expensive and will not be in force unless specifically taken out. Some contractors may also have an "all risks" policy but even that needs to be read carefully to understand what is and isn't included.