Square Footage Pricing Discussion from “Builder” Magazine

remodeling-cost-per-quare-footFrom Builder magazine:

“How do you avoid having your prospects ask, ‘What’s your price per square foot’.” –Rick Storlie

-The loaded question. And the one we all hate. I tell people that ‘cost per square foot’ is smoke and mirrors. Something as simple as kitchen appliances can¬† change that number greatly. Instead we focus on ‘cost to construct’ in our discussions. That’s a number…that can be revised based on the client’s personal choices, lot development, complexity of the home etc. But until the building industry as a whole just refuses to answer that question, we’re probably stuck with going through this explanation every time we meet with a client. – Bonnie Pickartz, President, Goshen Timber Frames

-Why would you want to avoid that question? That is a dream question for someone to ask you. If they are not interested in price then they are not interested in making a purchase. Simply ask them what price they are comfortable with and let them qualify themselves. If you build in that price range, sell them a (construction project)… – Jon Ball, Digital Marketing Consultant, Builders Digital Experience

From Mayer Building Company:

While Mr. Ball has a point about questions of price leading to sales, I think that just about any¬†construction or renovation product merits an in-depth estimate, take-off and subcontractor bidding. I tend to agree with Ms. Pickartz that variations in project scopes are very real variations in a square foot price. My goal, as an open-book contractor is to be as clear on pricing as the owner’s vision allows and let the square foot price fall out where it falls. With detailed estimates, the owner should be able to adjust up or down certain elements of scope or value to achieve an acceptable square foot price.

Posted on 8,Jan | Posted by rmayer