You get three quotes for a bathroom remodel. They come in at $9,000, $11,500, and $14,000. The instinct is to go with $9,000 or at least use it as leverage. The problem: those three quotes may describe three completely different scopes of work, and the lowest one may cost you the most in the end. Here's how to compare them correctly.
Make sure you're comparing the same scope
Before comparing prices, compare what's included. Does each quote include: the same materials and grades? Permit fees? Debris removal and cleanup? Dumpster rental if needed? Labor for all trades involved? The same warranty terms? A $9,000 quote that excludes permits, tile, and demo debris disposal is not cheaper than an $11,500 quote that includes everything -- it's more expensive once you add those items back.
Understand fixed vs. allowance items
Some quotes include line items as 'allowances' -- for example, 'tile allowance: $800.' That means they've budgeted $800 for tile, but if you choose tile that costs more, you pay the difference. Understand which items are fixed (the price is what it is) versus allowances (the price depends on your selections), and ask what happens if you go over an allowance.
What a suspiciously low quote means
A quote that's 30%+ below the other two is almost never because the contractor is more efficient. It typically means: lower-quality materials, key scope items are excluded, they intend to use less-experienced labor, or they plan to make it up with change orders once work is underway. The change order problem is real -- a contractor who wins a job with a low quote and then issues change orders for things any experienced contractor would have anticipated is one of the most common contractor complaint patterns.
The change order process
Ask every contractor how they handle changes to scope. A good answer: any change requires a written change order that you sign before the work proceeds, with a defined cost impact. A bad answer: 'we'll figure it out as we go.' Scope changes are unavoidable on most jobs; the question is whether the process is transparent and agreed upon upfront.
Bottom line
The best quote is the one that's comprehensive, clear, and from a contractor with verifiable credentials -- not necessarily the lowest number. Read the scope before you read the price.
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