Contracts are the homeowner’s only line of defense. Much like the credit card and bank loans that homeowners have, you have to know what is in the fine print and what is not written. The residential construction industry is not as regulated by Construction Documents and Contracts as the commercial construction industry…therefore, homeowner beware.
Most contractors and subcontractors provide Proposals for their work where they include a brief description of what they will provide and the cost for the work. These Proposals are very informal, non specific, general in nature and are written to protect the contractor.
As a homeowner, you need a Contract that spells out the obligations and responsibilities of the Owner, Contractor, and Subcontractors. The contract should identify the cost, the construction schedule, and the process for change orders. The Contract along with the contractor and subcontractor Proposals and the Drawings will constitute the Construction Documents that will protect the contractors, the homeowner, and the bank.
Let Prairie States Inc helps you with the creation of the Construction Documents and the Contract for your new house. We use both AIA and AGC Documents that have been used by construction professionals for many years and are already court tested. Contact Prairie States Inc to learn more about Contracts.
