FHB Logo Facebook LinkedIn Email Pinterest Twitter X Instagram Tiktok YouTube Plus Icon Close Icon Navigation Search Icon Navigation Search Icon Arrow Down Icon Video Guide Icon Article Guide Icon Modal Close Icon Guide Search Icon Skip to content
Subscribe
Log In
  • How-To
  • Design
  • Tools & Materials
  • Restoration
  • Videos
  • Blogs
  • Forum
  • Magazine
  • Members
  • FHB House
  • Podcast
Log In

Discussion Forum

Discussion Forum

Design costs in Design/Build

homebaseboston | Posted in Business on April 2, 2003 06:35am

This one’s for you design/build guys out there.  I had a guy ask me recently what the cost range was on the “design” phase of a typical (as if) Kitchen Remodel — gut rehab with minor structural work.  I realized I hadn’t the foggiest idea.  I know some of you guys treat design as a “loss leader” and others try to make it a profit center, and I realize that will probably make quite a bit of difference.  Still, I’d be curious what you experienced folks would see as a realistic range for something like that.  Any takers?

Please know that I realize the variables involved (specific job, geography etc), and have seen these questions get skewered on the boards when asked by price shoppers.  I’m in the game, I know the drill… just interested in some thoughts from guys who are doing it.

Thanks, as always, for your thoughts.

Brian

_____________________________
HomeBase
________  Kitchen & Bath Builders, LLC

Brian Roberts, Manager


Edited 4/2/2003 11:39:08 AM ET by homebaseboston

Reply

Replies

  1. RW | Apr 02, 2003 08:22pm | #1

    This probably seems simplistic, but it's my style and I've stuck with it for a few years now. Figure out (SWAG) how much time I'm going to spend ahead of time sketching, talking, price checking, etc to come to the point where HO and myself are both on the same wavelength and in agreement. X hours * whatever your time is worth. Give your own rough sketches to the archy and find out what the finished deal is going to run you for this project, and I'm assuming an architect is needed since your design phase is big enough to need to be a separate entity. A+B+10%= design price. I'm not particularly concerned with making design work a profit center. I spend enough time doing smaller bids that on something significant, I'm fairly content with covering the time it takes.

    " Blessed are the forgetful: for they get the better even of their blunders" - Nietzsche

  2. User avater
    Flathead | Apr 02, 2003 11:37pm | #2

    Brian,

    Bid it like anything else, figure your time times your rate.

    Here is the important thing - Be clear in your contract about what their money buys them. Put a limit on how many times they can go through the revision mill.

    In my preliminary phase I...

    - Draw the plan based on the the clients wants and needs as discussed in a meeting.

    - Present the plan to the client for their review.

    - Revise plans based on clients comments.

    - That ends the preliminary phase. If further changes are requested by the client it is at an hourly rate.

    I then proceed into construction documents.

    - Any changes in this phase are billed at my pre-specified hourly rate.

    My newest requirement is that I receive my preliminary payment in full up front.

    Then I receive my construction document payment in full up front prior to starting that phase.

    I changed my practice because I will be filing a lawsuit on Monday for nonpayment.

    WAHD

    View Image

  3. NPitz | Apr 03, 2003 02:13am | #3

    I don't think a kitchen remodel is necessarily that much simpler than building an addition, for instance, so I don't charge any less. I generally figure my design costs to be between 2-4% of the gross cost of the project, or what I estimate (SWAG) the gross cost of the project to be. If I thought it was a really simple project, I might charge 2%, but most of the time it is 3-4%. I think that $1800-2400 is a pretty fair price for designing a nice kitchen that costs $60k. And its a lot less than what an architect would charge. People who are looking for free design probably should shop elsewhere, and they are definitely going to get their money's worth.



    Edited 4/2/2003 7:15:53 PM ET by Nick Pitz

    1. Piffin | Apr 03, 2003 02:46am | #4

      I've had a lot of archys come up with executable plans for 6-7%. They want fifteen and up for full involvement and supervision. That's where the cost savings comes in for design-buiild firms - in the execution.

      I charge a 500fee plus the hourly rate and retrospectively I can say that I average close to that same six percent of the job budget for design. Average of three revisions.

      Kitchens take a higher percent of the design time for a whole house job with good reason. A kitchen remodel only can easily cost more but then on high end kitchens the job cost will be high too so the percentage may still be the same. I've only been doing this way for maybe three years..

      Excellence is its own reward!

  4. xMikeSmith | Apr 03, 2003 02:59am | #5

    we don't use design as a profit center, more as a selling tool..

    on a typical addition, our fee is $3000.. non -refundable.. in 3 payments..with a seperate contract for the design.. and then another for the construction..

    the design fee just reduces our overhead, it doesn't really cover all of our costs.... while we're in the design phase we get to know our clients and  develop a strong relationship .. almost all of our design contracts become build contracts...

    Mike Smith   Rhode Island : Design / Build / Repair / Restore

  5. User avater
    JeffBuck | Apr 03, 2003 03:06am | #6

    $600 to $60K.

    How many changes are ya planning on making?

    Jeff

    Buck Construction   Pittsburgh,PA

     Fine Carpentery.....While U Waite                  

    1. homebaseboston | Apr 03, 2003 04:04pm | #7

      Guys, your insights are very much appreciated.  I know that Mike and Piffin are both in my neck of the woods, so very interesting to hear how you both come at it.  Couple of you guys mentioned kitchens being more of a PITA to spec, and that's been my experience too... just a lot of variables, even if the floor plan isn't changing much.  I've been planning, going forward, to start charging for the design/spec phase if I get involved at that point, and it sounds like most of you guys are charging at least a couple/few grand up front.  I just PM'd a high-end kitchen recently and had easily 40 unpaid hours in at the front end.

      For anyone who wouldn't mind taking this a bit deeper:  If/when you guys are billing yourselves hourly, what are you billing at?  I was thinking around $45 - $50 an hour would be a low entry point in this market... my understanding is that most kitchen designers around here (Boston Area) charge $60 - 250/ depending on experience.

      Anyhow, thanks again all.

      Brian_____________________________HomeBase________  Kitchen & Bath Builders, LLC

      Brian Roberts, Manager

      1. User avater
        JeffBuck | Apr 04, 2003 02:59am | #8

        I'm probably the smallest operation here...

        but here's what I do.

        I don't "charge" for kitchen design......I just work it into the price. I can kinda guess how long it's going to take for the basic design. It's the changes that add to the time..both up front and change orders along the way.

        The change orders along the way are easy.....

        I just play the game on the upfront changes. Sometimes win..sometimes lose. But to me..the over all cost/time isn't that much of a gamble.

        I meet with the customer a time or two......show them what I've come up with.....pretty much get the desing nailed down as much as possible.....I use my own price books to spec it all out myself and price it up with my discounts....

        I fully encourage changes up to this point......better to find out now than after we start...

        Then...I take the customers and the plan with measurements to my cab distributor.....and have them draw it up and WOW the customer with the fancy CAD drawlings and walk thru.

        All mine work is done as a floor plan drawn by hand on a big graph paper pad....and I can do the basic layout in just a few short hours.

        If I was doing the whole design on the computer and spending more time...I'd come up with a new plan of action.

        THis way...I get to design what I think works best......then the "professional kitchen designer" get's a quick review to catch anything I've missed..and the customer has one last chance to make easy changes...or switch things around.....

        I don't mind a second set of eyes or another opinion. Most of the stuff get's built almost directly from my sketch pad...but I do general remodeling..and have a coupla big "kitchen only" places.....maybe like your's!....that end up being the usual competition..and their radio and TV ad's all say they offer "Free Computer Design".....and this way..I offer the same...only I didn't have to buy or learn the CAD.

        Not yet at least...that's the next schooling..gotta wait till my wife finishes her degree...then back to night school for me.

        I bill myself at my regular rates.....hourly at $45. High for a sole prop carp....midrange for a company charge rate...probably low for a designer.

        JeffBuck Construction   Pittsburgh,PA

         Fine Carpentery.....While U Waite                  

        1. Piffin | Apr 04, 2003 04:51am | #9

          at the CGR design-build sessions last month, the class was about evenly split between those who charge separately for design and those who roll the cost into the total for the job completion. One or two charged for the design but credited that back when a build contract was signed or completed.

          I think the least I have done on a design is about twelve hundred dollars.

          .

          Excellence is its own reward!

  6. McDonnel3 | Apr 04, 2003 05:21am | #10

    Typical......$2,500.00 min.

    And this is always over and above the job cost. Non-refundable. Never had a client blink............yet.......

    1. xMikeSmith | Apr 04, 2003 06:15am | #11

      hey mark... nice to see your smiling face

      i saw one blink.. when i got to $5K... but they wanted a really complicated plan..

       and another never gave a 2d interview when i wanted $2k  to price their house from their plans...

      but in neither case, did i invest 100 hours with nothing to show for it.. as i used to do in the past before i finally decided my time was worth money...Mike Smith   Rhode Island : Design / Build / Repair / Restore

      1. McDonnel3 | Apr 05, 2003 12:34am | #12

        Hey pal.......I wore your hat all over Florida last week. Had a great time...........

        Yeah, Last summer I asked and received a design fee of $8,700.00 for a $220,000.00 addition. Best to get them to blink rather than to go without funds.

        1. User avater
          JeffBuck | Apr 05, 2003 01:23am | #13

          Or as a manager I worked for while selling cars would say...

          when a new guy would ask what to tell the customers the first time they asked....

          "How much?''.....

          Tell'em sticker! Slap them back to reality first...then negotiate from there.

          If someone wants a bid before making any selections...I give the allowances from the top end of the scale.....get's their attention....give a quick reality check that this stuff costs real money.

          If they are tire kickers....they run away. If they are serious..we start taking away the fluff and fitting things into their budget.

          This trick also gets to the root of the budget if they haven't been forthcoming with a real figure.

          JeffBuck Construction   Pittsburgh,PA

           Fine Carpentery.....While U Waite                  

        2. Piffin | Apr 05, 2003 02:16am | #14

          If they blink on the design fee, they'll stink on the final payment. Design-build is a great way to qualify them..

          Excellence is its own reward!

Log in or create an account to post a comment.

Sign up Log in

Become a member and get full access to FineHomebuilding.com

Video Shorts

Categories

  • Business
  • Code Questions
  • Construction Techniques
  • Energy, Heating & Insulation
  • General Discussion
  • Help/Work Wanted
  • Photo Gallery
  • Reader Classified
  • Tools for Home Building

Discussion Forum

Recent Posts and Replies

  • |
  • |
  • |
  • |
  • |
  • |
View More Create Post

Up Next

Video Shorts

Featured Story

Installing Prefinished Cabinet Molding

Use these assembly techniques when installing crown risers and molding to minimize visible gaps and nail holes.

Featured Video

How to Install Cable Rail Around Wood-Post Corners

Use these tips to keep cables tight and straight for a professional-looking deck-railing job.

Related Stories

  • Affordable Scans, Accurate Plans
  • FHB Summit 2025 — Design, Build, Business
  • A Summer Retreat Preserved in the Catskill Mountains
  • Fine Homebuilding Issue #332 Online Highlights

Highlights

Fine Homebuilding All Access
Fine Homebuilding Podcast
Tool Tech
Plus, get an extra 20% off with code GIFT20

"I have learned so much thanks to the searchable articles on the FHB website. I can confidently say that I expect to be a life-long subscriber." - M.K.

Get home building tips, offers, and expert advice in your inbox

Signing you up...

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
See all newsletters
See all newsletters

Fine Homebuilding Magazine

  • Issue 331 - June 2025
    • A More Resilient Roof
    • Tool Test: You Need a Drywall Sander
    • Ducted vs. Ductless Heat Pumps
  • Issue 330 - April/May 2025
    • Deck Details for Durability
    • FAQs on HPWHs
    • 10 Tips for a Long-Lasting Paint Job
  • Issue 329 - Feb/Mar 2025
    • Smart Foundation for a Small Addition
    • A Kominka Comes West
    • Making Small Kitchens Work
  • Issue 328 - Dec/Jan 2024
    • How a Pro Replaces Columns
    • Passive House 3.0
    • Tool Test: Compact Line Lasers
  • Issue 327 - November 2024
    • Repairing Damaged Walls and Ceilings
    • Plumbing Protection
    • Talking Shop

Fine Home Building

Newsletter Sign-up

  • Fine Homebuilding

    Home building tips, offers, and expert advice in your inbox.

  • Green Building Advisor

    Building science and energy efficiency advice, plus special offers, in your inbox.

  • Old House Journal

    Repair, renovation, and restoration tips, plus special offers, in your inbox.

Signing you up...

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
See all newsletters

Follow

  • Fine Homebuilding

    Dig into cutting-edge approaches and decades of proven solutions with total access to our experts and tradespeople.

    Start Free Trial Now
    • Facebook
    • Instagram
    • X
    • LinkedIn
  • GBA Prime

    Get instant access to the latest developments in green building, research, and reports from the field.

    Start Free Trial Now
    • Facebook
    • YouTube
  • Old House Journal

    Learn how to restore, repair, update, and decorate your home.

    Subscribe Now
    • Facebook
    • Instagram
    • X
  • Fine Homebuilding

    Dig into cutting-edge approaches and decades of proven solutions with total access to our experts and tradespeople.

    Start Free Trial Now
    • Facebook
    • Instagram
    • X
    • LinkedIn
  • GBA Prime

    Get instant access to the latest developments in green building, research, and reports from the field.

    Start Free Trial Now
    • Facebook
    • YouTube
  • Old House Journal

    Learn how to restore, repair, update, and decorate your home.

    Subscribe Now
    • Facebook
    • Instagram
    • X

Membership & Magazine

  • Online Archive
  • Start Free Trial
  • Magazine Subscription
  • Magazine Renewal
  • Gift a Subscription
  • Customer Support
  • Privacy Preferences
  • About
  • Contact
  • Advertise
  • Careers
  • Terms of Use
  • Site Map
  • Do not sell or share my information
  • Privacy Policy
  • Accessibility
  • California Privacy Rights

© 2025 Active Interest Media. All rights reserved.

Fine Homebuilding receives a commission for items purchased through links on this site, including Amazon Associates and other affiliate advertising programs.

X
X
This is a dialog window which overlays the main content of the page. The modal window is a 'site map' of the most critical areas of the site. Pressing the Escape (ESC) button will close the modal and bring you back to where you were on the page.

Main Menu

  • How-To
  • Design
  • Tools & Materials
  • Video
  • Blogs
  • Forum
  • Project Guides
  • Reader Projects
  • Magazine
  • Members
  • FHB House

Podcasts

  • FHB Podcast
  • ProTalk

Webinars

  • Upcoming and On-Demand

Podcasts

  • FHB Podcast
  • ProTalk

Webinars

  • Upcoming and On-Demand

Popular Topics

  • Kitchens
  • Business
  • Bedrooms
  • Roofs
  • Architecture and Design
  • Green Building
  • Decks
  • Framing
  • Safety
  • Remodeling
  • Bathrooms
  • Windows
  • Tilework
  • Ceilings
  • HVAC

Magazine

  • Current Issue
  • Past Issues
  • Magazine Index
  • Subscribe
  • Online Archive
  • Author Guidelines

All Access

  • Member Home
  • Start Free Trial
  • Gift Membership

Online Learning

  • Courses
  • Project Guides
  • Reader Projects
  • Podcast

More

  • FHB Ambassadors
  • FHB House
  • Customer Support

Account

  • Log In
  • Join

Newsletter

Get home building tips, offers, and expert advice in your inbox

Signing you up...

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
See all newsletters
See all newsletters

Follow

  • X
  • YouTube
  • instagram
  • facebook
  • pinterest
  • Tiktok

Join All Access

Become a member and get instant access to thousands of videos, how-tos, tool reviews, and design features.

Start Your Free Trial

Subscribe

FHB Magazine

Start your subscription today and save up to 70%

Subscribe

We hope you’ve enjoyed your free articles. To keep reading, become a member today.

Get complete site access to expert advice, how-to videos, Code Check, and more, plus the print magazine.

Start your FREE trial

Already a member? Log in