contractor estimate - P & O fee
I am in escrow to purchase a house. It is a mid century home in an amazing location in Phoenix with views. The house needs a lot of work. I found a contractor whom I really like and works on mid century homes. He spent a lot of time looking at the house and came back with what I think is a reasonable estimate. I can only afford to do so much work on the home at the present time because I am paying cash. On top of his fee to manage the project (about 15%), he added a 7% p and o fee for his company (he owns) at 7%. This fee is for overhead. Is this standard? Thanks!