"Normal" Range in Bid Variation
I'm trying to get a handle on the expected range of contract bid variation. In other words, I've received back some quotes that have higher than expected variation in the contract total, especially when you don't consider the cabinets. I've done quite a bit of renovation in the past, but my last kitchen was 16 years ago.
Here's the rub: three of the four use the same cabinet quote (or are willing to). None include appliance allowances. Flooring and counters are bid using the same material and style (and I have independent bids for each). In the comparison below, I've removed or equalized any allowances.
1. Low Bid ($53.5K)
2. Firm #2 Bid 1.13X higher (same cabinets, $60.5K)
3a. Firm #3 Bid 1.33x higher (same cabinets $71.1K).
3b. Firm #3, with full custom cabinets 1.47X ($79K)
4. Firm #4, High Bid (different semi-custom cabs) 1.6X ($85.5) (1.41X when using the same cabinet bid)
Prices above are inclusive of all but appliances and some decorative finishes.
The kitchen is using mid-range materials with some high end elements and fully customizable cabinets (or full site built custom). Construction elements are required, which means the GC contribution is higher than a typical remodel.
The range in bids is worrisome.
Price, obviously, is just one variable but will be given some weight. In many cases, I can just ignore the variation and focus on quality, service, and responsiveness. But this range is so large, I'm struggling to get a handle on it.
This post was edited by gooster on Thu, Dec 20, 12 at 10:53