Working drawings are submitted to the respective suppliers and sub-contractors who will provide bid proposals for all major cost categories, i.e., lumber, windows, plumbing, heating, drywall. Although it is a laborious and time-consuming task, it is a critical component that will assure both builder and homeowner that they have arrived at a realistic estimate of the cost of constructing the residence. If the bids come in higher than anticipated, changes and revisions will be suggested to reduce costs. Beginning the project with realistic budget constraints will minimize these difficult decisions.
Once the construction cost estimate is completed, a construction contract will be executed and included with the cost breakdown and material specifications that will be submitted to your lender. To minimize the lead-time to start construction, working drawings are submitted to the city or county building and planning departments for permit application at the same time the construction package is submitted to the lender. Construction funds are disbursed monthly on a percent-of-completion basis.