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Extensions

How does payment work for an extension?

Anonymous user 28/02/2024 - 3.27 PM

We are doing a single story extension on our terraced house. We are in the process of gathering quotes from various companies. Can anyone let me know what the industry standard is for paying the quoted amount ? Is it upfront? or upon completion? or half and half?

Are you a tradesperson and able to answer this question?

2 Answers

Anonymous user

Its really down to you and the builder and about trust. Very rarely will it be full on completion. Usualy a 25-45% deposit will be taken to get materials ordered and wages paid etc. Its good to get a contract signed up between you and the builder, sometimes the builder may ask for weekly payments for more materials and wages because an extension isnt somethig done in a day. If you have a legal binding contract you know the builder wont "do a runner" as it is a binding contract where both parties sign. It mostly depends on the builders attitude towards payment then an agreement is in place. If a builder asks for more than 45% upfront i would definately consider a contract between both parties. Its the customer who is having the work done not the builder so rarely a builder will pay out of his own pocket for materials etc. I would normally work on a deposit upfront and a weekly payment for materials and wages leaving around 25% left on completion of works. Many thanks Sam S.K Owen & Sons LTD
Answered2 March 2017
2

Anonymous user

Hi there, you should not be paying the full cost up front. Normally the amount will be split into stage payments so that you're only paying for work that has been completed. You may have to make an initial payment for materials to get things going, this will depend on the contractor and whether they have credit accounts that allow them to get materials beforehand. Some contractors may want paying weekly. As long as you're only paying for completed work and materials needed then either of these methods is fine and fair to both the client and the builder. Best of luck with your project, Rob
Answered2 March 2017
2