

Price differences often show most notably in size and features.Performance in such areas is based on experience, pride of workmanship and the ever-present budget.

Many steps in construction allow the builder and the buyers to exercise their discretion. Codes make no attempt to set standards for aesthetics.Codes require that all homes meet the same level of safety. Code books do not include one set of regulations for homes up to $200,000 and another for those over $200,000. Building codes make no distinctions based on price.For perspective on this important subject, keep these points in mind: Trust and information are vital to your peace of mind at such times. Or you may not have the technical knowledge to judge the quality of every stage of the work and wonder if it is done well. No matter what the price of your home, you may reach a point where your standards exceed everyone else’s. However, no matter how strong the commitment of the builder and all the inspectors, the desire for a high quality home will be strongest for you, the eventual owner. Building inspectors, warranty insurance companies, FHA, VA, or your lender may also inspect the home. Many builders have developed formal inspection procedures. GRT is calculated in the county where the construction project is being built/remodeled.Īgain, USE CAUTION AND HIRE A REPUTABLE CONTRACTOR! Quality and Warranty Consumers should expect to have GRT added to the progress payment. Even if the contract doesn’t mention it, the contractor is obligated to pay Gross Receipts Tax to the State on each of these progress draws. Consumers should ask for a “draw schedule” for milestones of when funds should be provided to the contractor. The same goes for any custom windows that may be ordered.Ĭustom homes and room additions may require a first draw at the time of pouring the slab/foundation (also generally 30%) from the bank.Īn important part is the deposit request must be in a written contract. For instance, kitchen cabinet suppliers generally request 50% down to place an order. It is customary for a contractor to ask for funds up to 30% for a remodel to order materials. YOU SHOULD EXPECT a request for a cash/check deposit on residential remodel projects. What if the Contractor Asks for a Deposit? Click on the town closest to you for contact information. Our website has a map to assist you in finding the Local Home Builders Association nearest you. Members of New Mexico Home Builders Association join through one of nine “Local” associations around the state.

One way to know if a contractor values professionalism is to see if he is a member of a trade association.

Don’t hire just anyone! Use this checklist to select a contractor you can trust with your most valuable asset. Do your homework before work is done on your home.
