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Advice re choosing a builder

We have had plans drawn up and approved for an extension and have asked a few builders for quotes, based on a recommendation from our architect.

Most of the quotes are quite similar in terms of price, but of these:

- one builder has asked for a 10% deposit (all the advice online suggests this is a no no), also his company has been trading less than a year (looks as if he has had previous dissolved companies)
- one builder has got the quote wrong several times and his insurance certificate is in his personal name - not company name?
- the other builder has supplied no company details at all yet, therefore it is impossible to check history etc

There is another local builder who is very well regarded, lots of references, award winners etc, however their quote is quite a bit more expensive.

I think it's worth paying extra for that peace of mind - what do others think?
«1

Comments

  • Reece_
    Reece_ Posts: 291 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Generally speaking, you get what you pay for, the local builder with good references sounds a better bet providing it's still within budget, at the end of the project there will more than likely be evidence of the higher cost incorporated into the quality of work that you may not be getting with a lower quote.
    Deposits can be a tricky one, it's quite common for builders and other trades to be taking deposits especially once quotes reach a certain amount, from their point of view they don't want to book a job in for 20k and have materials delivered for then the homeowner to change their mind, start changing dates etc. It wouldn't necessarily ring alarm bells for me, but something to be careful with.
    However previous dissolved companies would be ringing alarm bells.

    If the builder with insurance in his personal name is a sole trader then that's quite common, I'm unsure about having it in personal name if it's a limited company.

    Having piece of mind with a local builder that comes recommended for me would be worth it providing you're not over stretching yourselves going for his quote.
  • tony6403
    tony6403 Posts: 1,257 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    There can be some protection in a JCT standard form of contract for minor works.
    Might not be what you want but worth a look.
    http://www.rics.org/uk/shop/JCT-2011-Minor-Works-Building-Contract-MW-18852.aspx
    Forgotten but not gone.
  • Doozergirl
    Doozergirl Posts: 34,082 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    tony6403 wrote: »
    There can be some protection in a JCT standard form of contract for minor works.
    Might not be what you want but worth a look.
    http://www.rics.org/uk/shop/JCT-2011-Minor-Works-Building-Contract-MW-18852.aspx

    JCT minor works might be overkill, depending on the cost. The FMB contract is perfectly good - the builder needs to an FMB member now to use the up to date version.
    Everything that is supposed to be in heaven is already here on earth.
  • System
    System Posts: 178,377 Community Admin
    10,000 Posts Photogenic Name Dropper
    No point in using the jct if the architects aren't being retained as someone else will have to be appointed to administer the contract/approve valuations etc which will add a fair costs onto the total project costs....
    Op, imo if you have one that is highly regarded, can you visit any previous jobs of the others? Fairly common to do that and gives you a chance to see the quality of work.
    How have the folk that want the deposit asked to be paid? Monthly or at certain stages?
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
  • teneighty
    teneighty Posts: 1,347 Forumite
    I would certainly steer clear of builder No.1.

    As for the other 2, I would not necessarily be put off from what you have written, a lot of small domestic builders are sole traders who would not have company details available. Also I have found many are not too hot on the paperwork so would not necessarily be too worried if it took a few attempts to get the quote totally sewn up.

    If they were recommended by the "architect" I would ask them how long they have known them and how familiar they are with their work. Also take up your own customer references and try to go and visit one of their recent jobs, preferably one in progress aswell. Usually the best evidence is how busy they are, the small firms I use are all booked up for at least 6 months ahead and usually 12 months so if someone says they can start next week it would ring alarm bells.

    As for using a building contract, The JCT Homeowner contract is very simple and can be adminstered by the homeowner without the need for professional input. The JCT Minor Works is quite complicated and I am not a fan of anything to do with "Federation of Master Builders" as it is more of an expensive marketing tool rather than a proper professional institution.
  • andrewf75
    andrewf75 Posts: 10,424 Forumite
    Part of the Furniture 10,000 Posts
    I'd go for the well regarded local one with references.
  • suebfg
    suebfg Posts: 404 Forumite
    Unfortunately the well regarded one will add approx 15% to the price of an already substantial sum and we will probably have to wait a long time as they are in such demand! That's why we are looking at other options too.

    We are proposing to use JCT contract and are steering well clear of anything to do with the Federation of so called Master Builders.

    Thanks for the advice.
  • Doozergirl
    Doozergirl Posts: 34,082 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    edited 11 March 2015 at 3:04PM
    I'm aware that some people on here aren't bothered about the FMB but to steer clear of it is a bit steep!

    Some of us are memebers because it does provide professional support, training, industry advice and regulation changes. It also provides peace of mind for clients because there is a dispute resolution service, because accounts have been checked and verified and a job inspected in progress, as well as the provision of a fair and free contract which is written in plain english. Oh, and the option to have an insurance backed guarantee on work carried out.

    There is marketing support included as well. They are desperate to improve the professionality of the SME sector of construction.

    With anything, you carry out your due diligence when you have people in your home but steering clear of the FMB? That's a first.

    What award did your recommended builder win? I would say that the prestigious one for small builders would be one of the FMB ones!
    Everything that is supposed to be in heaven is already here on earth.
  • suisidevw
    suisidevw Posts: 2,256 Forumite
    We reecntly paid about 8% more than the 'average' quote for our loft conversion because of perfect reviews from friends and we went with them for peace of mind and quality. After the excellent experience we had I would have no hesitation in doing this again..........
  • Piggywiggy
    Piggywiggy Posts: 452 Forumite
    If a builder is in demand it's a good sign, if someone said they could start tomorrow I'd be wondering why they have no other work on.
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