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What is a “Time and Materials Basis” contract?

We generally only use a “time and materials basis”
if  we are not able to estimate the job because of
unseen factors, such as hidden plumbing pipes or
hidden electrical wiring that we have no way of
locating ahead of time. Basically this type of
contract benefits the contractor more than it does
the homeowner. The contractor will give you an
estimated ballpark figure; however they will bill you
for labor and materials as it is accomplished. The
problem with this system is that you have no
guarantees from the contractor that you won’t
have cost over runs. It is very risky, for you the
homeowner. We generally prefer to go with a Fixed
Price Contract. After all, our entire goal is to have
a satisfied customer.
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