This question is basically impossible to answer – Kinda like the “How much does a car cost” question. But I thought it might make for some interesting discussion anyway.
I once told someone that I figured 100 man hours went into estimating an average house. They told me I was nuts. So I got to wondering if it was possible to come up with an estimate of what it would take.
I realize a lot of these numbers are just a shot in the dark. But here’s my take on it. Cal it a SWAG:
Let’s say a HO takes a plan to 3 GCs. I think it would be reasonable to assume that they take 10 hours each to estimate a job.
Let’s say the GCs take the plan to two or three lubmeryards each. There would probably be some overlap, so let’s say that 5 yards do material takeoffs. If they spend about 4 hours per yard, that’s another 20 hours.
If the yards get truss bids, let’s say there are 4 truss companies that bid the job at 4 hours each. Add another 16 hours.
Then the GCs get bids for plumbing, electrical, and HVAC. Let’s say 4 of each of these subs bid the job at 3 hours each. That’s 36 hours.
Then there’s the foundation guy. Maybe 3 of them at 2 hours each is another 6 hours.
That leaves roofing, masonry, framers, kitchens, etc. Some GCs do their own framing and roofing. And they may just throw in an allowance for a kitchen. But lets say just for the heck of it that SOME of the GCs need to get bids on stuff like this, so throw in another 12 hours for misc. stuff.
That adds up to 120 hours. If everyone charged $50 an hour for estimates, that would mean the HO would have to pay $6,000 to get estimates for his house. I doubt anyone would do that.
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Like I said – I know this is just a wild shot in the dark. There is no “average” house.
But I think it’s interesting to estimate how much time really goes into estimating.
The best way to escape from a problem is to solve it.
Replies
"But I think it's interesting to estimate how much time really goes into estimating."
Kinda like the Mac vs PC guy, huh? Would you rather count beans or have some fun! LOL
An "average" house would take me about 2 to 4 hours.
Edited 4/30/2007 11:42 am ET by T White
2 to 4 hours and you'd be ready to sign a fixed price contract??
On an average house? Yes.
Please share your technique. I am very interested as my efforts usually are in the Boss Hog range.
Bruce
Boss,
Never having built "your average house" I take a lot of time in my bids.
Doing it using the method I have always used would yeild a figure higher than yours.
I sit down and mentally build the building one stick at a time if needed.
I do my material take offs first, I don't let lumber yard do that .
After the take offs are done I have an idea of how the peices go together , so then it is "Build time" , then off to the subs and suppliers. I can easily eat up a whole day just dropping prints off, discussing the the job with a once over then with each player then back to the office to field the inevitible questions .
To get an accurate cost breakdown for me will require the individual suppliers line item out each item, so they will have anywhere from one to five hours in it each.
I don't use sq. ft pricing on anything for a bid. For an estimate I will .
I think a lot depends on who is doing the estimate. is it someone who normally builds houses or is it joe lunch-bucket looking to break into the building market.
joe lunch-bucket might have all the know how needed but the guy who builds on a regular basis should know what the subs are going to charge and most of the hard costs within a couple of percentage points.
I dont build new very often but I have in the past. without dropping off the plans at a lumber yard I think I could spend one day at my desk making up a material list in Excel, then a day costing it out.
I'm only being a little facetious; but my choice of bids is to find skilled people and tell them to get the project completed, ie. no bids.
Old school from small town Iowa roots.