Signing contract with a builder
Home building contract
For construction of your home, you need to hire a builder. The best contractor is one who has good reputations and is expert in construction field. Good builder has also the team of laborers, masons, plumbers, carpenters, electricians and painters. After you have selected a good builder for your home, you need to sign the construction contract. This will help out to know the duties and responsibilities of both parties; contractor and owner. Here is the detail of signing contract with a builder.
Covered area of home
The first thing you need to know about the construction contract of your home is the covered area you want to build. All calculations are according to the covered area. Your architect can help you to calculate the precise covered area of your home.
Mode of construction
Builders work in two ways, on labor rate and turnkey basis. It’s entirely on one’s budget and convenience to choose mode of construction. In first case you will provide the construction material and pay the builder, whereas builder will provide the construction team to build your home. In second case, you just pay the money and builder buys the material and brings his team to construct your home.
Quality of construction & finishes
Home construction has many construction qualities which increase or decrease the construction cost. Normal finishes cost less, whereas expensive finishes cost more. You just need to discuss everything with your builder and can visit the market to check the rates of various finishes.
Negotiating per square foot construction cost
Now you both can proceed to per square foot construction rate. Per square foot construction rate varies and depends on the quality of work and finishes. When you decide the finishes, builder will tell you the rate of construction. You can consult with other people to make sure that quoted rate is not too high.
Paper work or documentation
When work detail and construction rate is agreed upon, now both parties can proceed to paper work or documentation. This will be the construction contract agreement on the stamp paper. Just write down everything from finishes to mode of payment in this contract as it will be useful if any dispute arises in future.