Big Ideas,
Real Repercussions.
Driven by curiosity many homeowners consider acting as their own general contractor when building a home.
The idea is simple: hire subcontractors yourself and manage the project instead of hiring a builder. Some homeowners successfully take this approach, but it also comes with significant responsibilities. Understanding both the advantages and the challenges can help you decided what is right for your situation.
A general contractor typically handles:
Scheduling subcontractors
Ordering materials
Coordinating inspections, city, county, state, and for financial disbursements.
Managing the construction timeline. Who is needed and WHEN can make or break a project.
Troubleshooting job site problems. Who is responsible when “X” happens?
Ensuring work meets building codes.
Controlling budget and change orders.
Manages warranty responsibilities.
Paying everyone and everything on time and in coordination with draws from the bank.
Many GC’s receive and or make 20-30 calls mostly every day for a single project like building a home. So if this is something you are considering tackling yourself, please be aware of the time commitment involved as it can become overwhelming. Especially overwhelming if you are not on site and able to be a part of the process as it unfolds daily.
We have witnessed projects where the subs would not show up and were “friends”, “family”, or “neighbors” of the homeowners and the projects were completely halted for months waiting on one sub. By being your own GC you are assuming the risk of that sub and the changes to the timeline to completion.
Many experienced subcontractors prioritize builders they already work with regularly. So someone who will only likely hire them once may not be a top priority.
Understanding building systems, code requirements, and sequencing can be difficult without prior construction experience.
Unexpected issues often arise during construction, requiring quick decisions and coordination between trades. Are you set up with all of the equipment and time to handle the things that fall under the GC’s purview?
Many newly built homes are financed by the bank and oftentimes the construction window is only 12 months. That may sound like a lot of time but it is not when things do not go smoothly with weather, subcontractors, and material delays.
When acting as your own GC, you may be responsible for addressing issues that arise after the home is completed.
Lastly, do you know what things should actually cost? Getting 2-3 quotes from subs and believing you have it right can still be wrong. Some phase may only require $14,800 as a GC, but you had quoted it with several folks and they all averaged over $30,000 so you just cost yourself a lot of money in a single phase for simply not knowing.
We are often asked if we will let someone be their own GC. We leave that up to you. We currently do not charge a GC fee, so we are unsure why you would want the responsibility. By being on site from day one until its finished we are building your home at each phase with few, but highly trusted subcontractors. We want each build to be completed as smoothly as possible and by acting as the GC ourselves we take the stress off of the customer.
