At Widesky Homes, we believe in giving our clients the flexibility to choose the pricing model that best suits their needs. Whether you prefer the certainty of a Fixed Price contract or the transparency of a Cost Plus contract, we provide both options with full honesty and clarity.
FIXED PRICE CONTRACT
A fixed price (or lump sum) contract ensures that you pay a predetermined amount for your home build or renovation. This option provides cost certainty but may come with trade-offs in flexibility and quality.
COST PLUS (TIME & MATERIALS) CONTRACT
A cost-plus contract means you pay the actual costs of materials and labor, plus a builder’s fee. This option provides full transparency and flexibility but may introduce uncertainty in final costs.
Fixed Price Contract | Cost Plus Contract |
---|---|
✅ Defined scope of work | ✅ Full transparency in costs |
✅ Defined deadline | ✅ Typically costs less than fixed price |
✅ Defined payment schedule | ✅ Flexibility to start without a detailed plan |
✅ Small involvement required | ✅ Monthly payments rather than large lump sums |
❌ Takes time to finalize details before starting | ✅ Lower builder markup |
❌ Builder may substitute alternative materials to meet budget | ❌ Budget fluctuates as work progresses |
❌ Less flexibility for changes | ❌ Uncertainty in final cost |
❌ Larger scheduled payments | ❌ Additional time required for reviews and approvals |
Builder Pros & Cons: | Builder Pros & Cons: |
✅ Higher markup | ✅ No need to pad costs for unexpected changes |
✅ Less time involved to manage changes | ✅ No formal change orders required |
✅ Predictable project management | ✅ Can adjust work as needed without penalty |
❌ Risk of financial loss due to incorrect estimates | ❌ Monthly budget reviews required |
❌ Less accountability to the homeowner | ❌ No incentive to strictly control costs |
❌ Limited ability to accommodate changes | ❌ Potential stress in client-builder relationship |
We understand that your home is one of your most significant investments, and we are committed to helping you make the best financial decision. Together, we will determine which contract structure aligns with your expectations, timeline, and budget.
Want to talk to a real person with real answers? Call us: 403-388-3184
If you are thinking about a new build or renovation, we’d love the opportunity to talk further about your dreams for your home. We look forward to talking soon!