| Key Takeaways |
|---|
| Average hourly rate for general contractors: $50 – $150 |
| Typical percentage markup of construction cost: 10% – 20% |
| Charges vary by project type and the scope of work |
| Includes various cost structures: hourly, daily, and pre-construction services |
| Important to get detailed estimates and understand rate structures before hiring |
Understanding the cost of hiring a general contractor is crucial for anyone planning a construction, remodeling, or renovation project. General contractors play a vital role in ensuring that projects run smoothly and are completed on time and within budget. But how much should you expect to pay for their services? Let’s delve into the details.
$50 – $150 Average Hourly Rate
Most general contractors charge between $50 and $150 per hour. These rates can vary based on the contractor’s experience, the complexity of the project, and geographical location.
10% – 20% Fee Percentage Markup of Construction Cost
General contractors typically add a percentage markup on top of the construction costs, which generally ranges from 10% to 20%. This fee covers the general contractor’s services for managing the project.
Average General Contractor Cost
The cost of hiring a general contractor may vary significantly depending on the type of project and the contractor’s pricing structure. Here’s a general overview:
| Charge Type | Average Cost |
|---|---|
| Percentage Markup of Construction Cost | 10% – 20% |
| Hourly Rate | $50 – $150 per hour |
| Daily Rate | $300 – $500 per day |
General Contractor Pricing Guide
The costs associated with general contractors also depend on the specific type of project you’re undertaking.
| Project | Average Project Cost | Additional Price for GC |
|---|---|---|
| Cost to build a house | $178,000 – $416,000 | $18,000 – $83,000 |
| Home addition cost | $22,500 – $74,000 | $2,200 – $15,000 |
| Cost to remodel a house | $19,800 – $73,200 | $2,000 – $15,000 |
| Bathroom remodel cost | $5,500 – $15,000 | $550 – $3,000 |
| Small bathroom remodel cost | $2,500 – $10,000 | $250 – $2,000 |
| Bathroom addition cost | $18,000 – $47,000 | $1,800 – $9,500 |
| Kitchen remodeling prices | $12,800 – $21,200 | $1,300 – $4,300 |
| Cost to finish a basement | $22,000 – $46,000 | $2,200 – $9,200 |
| Cost to build a garage | $19,600 – $28,200 | $1,900 – $5,700 |
| Cost to build a sunroom | $15,000 – $80,000 | $1,500 – $16,000 |
| Cost to build a pole barn | $4,000 – $35,000 | $400 – $7,000 |
| Drywall installation cost | $8,000 – $30,000 | $800 – $6,000 |
| Cost to build a brick or stone wall | $3,000 – $9,000 | $300 – $1,800 |
| Deck building cost | $4,400 – $10,000 | $440 – $2,000 |
| Concrete patio cost | $1,200 – $4,300 | $120 – $900 |
| Driveway installation cost | $1,700 – $6,900 | $170 – $1,400 |
| Fence installation cost | $1,600 – $3,500 | $160 – $700 |
| Support beam installation cost | $1,200 – $4,200 | $120 – $900 |
| Cost to raise a house | $10,000 – $40,000 | $1,000 – $8,000 |
Contractor Fees To Build A House
Building a house is one of the most significant investment projects, and contractor fees will vary according to the project’s complexity, duration, and materials required. It’s critical to receive a detailed breakdown of all costs involved.
Contractor Fees By Type
General Contractor Fee Percentage Markup
General contractors commonly apply a markup on top of the total construction cost to cover their management services. This markup typically ranges between 10% and 20%.
General Contractor Hourly Rate
Many general contractors charge an hourly rate, which can range from $50 to $150, depending on their experience and the project’s scope.
Contractor Builder Rates Per Day
Some contractors may offer a daily rate; typical charges are between $300 and $500 per day. This rate applies when working on prolonged projects or specific tasks requiring extensive time investment.
Pre-construction Services Contract Prices
Before actual construction begins, general contractors may provide pre-construction services, including project planning, cost estimation, and scheduling. These services are often billed separately and can range from $1,000 to $5,000 depending on the project’s size and complexity.
Contractor Labor Rates
General Contractors Charge For Estimates
General contractors often charge for providing detailed estimates. It is not uncommon to see a fee ranging from $100 to $500, which could be credited back if the project proceeds.
How Do General Contractors Get Paid?
General contractors typically operate on a payment schedule tied to milestones in the project. Common structures include a deposit at the commencement, progress payments tied to completed phases, and a final payment upon project completion.
When Do You Pay A General Contractor?
Payment schedules can vary, but usually, a down payment (around 10% of the project cost) is required to secure the contractor’s services. Subsequent payments are made as work progresses, with the balance due upon completion.
Commercial General Contractor Fees
Commercial projects often involve more significant costs and require specialized skills and equipment. Rates for commercial projects may include higher percentage markups, additional fees for specialized subcontractors, and more extensive pre-construction services.
General Contractor Cost Vs. A Construction Manager
Understanding the distinction between general contractors and construction managers is essential. While general contractors oversee day-to-day operations and subcontractors, construction managers often handle broader project management tasks and strategic planning, and their costs might differ.
What Does A General Contractor Do?
General contractors are pivotal in executing and managing construction projects. Their responsibilities include sourcing materials, hiring and managing subcontractors, scheduling work, ensuring compliance with building codes, and troubleshooting issues.
Getting Estimates From General Contractors
When seeking estimates from general contractors, it’s essential to compare multiple bids to ensure you’re receiving a fair price. Reviewing each contractor’s experience, previous work, and references can provide a better understanding of their capabilities.
What To Ask A General Contractor Before Hiring
- Experience and Credentials: Ask for details on their past projects and any relevant certifications.
- Licensing and Insurance: Verify their licensing and ensure they have general liability and worker’s compensation insurance.
- Project Timeline: Request a detailed timeline for project completion.
- Payment Terms: Clarify the payment schedule and terms upfront.
- Subcontractors: Inquire about the subcontractors they plan to use and their respective qualifications.
By understanding these details and being proactive in your communication, you can better manage your construction project’s costs and outcomes.
