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A new Know Before You Hire series - Procuring Good Renovation Quotes
April Maintenance
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Kitchen Renovation Pricing Doesn’t Make Sense?
How to Source Apples to Apples Quotes
You've just received three quotes for your kitchen renovation. One is $45,000. One is $72,000. One is $61,000. All three contractors walked through the same kitchen, heard the same wish list — and somehow came back with numbers that are $27,000 apart.
This isn't unusual. It's the norm. And it's not because one contractor is dishonest and another is cutting corners (though that certainly happens). It's because in residential renovation, there's no standard format for how contractors price work. Without one, you're not comparing quotes. You're comparing interpretations.
What the Professionals Do Differently
In commercial construction — the world of hospitals, office buildings, and large-scale renovations — no project over a few thousand dollars goes out for bid without a formal bid package. A bid package is a standardized set of documents that defines the exact scope of work, material specifications, quality standards, and contractor responsibilities. Every bidder responds to the same document, line by line. The result is something homeowners almost never get: genuinely comparable numbers.
A professional bid package typically contains:
A scope of work document specifying materials, brands, model numbers, and finishes
Drawings or sketches showing the proposed layout and changes
A bid form — a structured template each contractor completes with their pricing, broken out by component
In the commercial world, a general contractor who submits a lump-sum bid without supporting line-item detail is usually disqualified outright. Homeowners tolerate exactly this format every day and wonder why the numbers don't add up.
Why the Numbers Are So Different — and What's Hidden
When a contractor hands you a single lump-sum number, that number buries everything. It buries whether the quote includes your kitchen island or assumes you decided against it. It buries whether "new cabinets" means semi-custom or stock builder-grade. It buries whether appliances are supplied by the contractor or assumed to be owner-furnished. It buries their profit margin, sub-contractor markups, allowances for fixtures you haven't selected yet, and assumptions about decisions you haven't made.
The $45,000 quote may be low because it excludes the range hood ventilation, uses allowances for countertops and fixtures that will evaporate the moment you pick what you actually want, and doesn't include permits. The $72,000 quote may include all of that — plus a dedicated project superintendent, daily site cleanup, and a workmanship warranty. Or it may just be a higher margin. Without a line-item breakdown, you cannot tell.
This is the single biggest problem in residential renovation procurement, and it costs homeowners thousands of dollars in change orders, rework, and misaligned expectations every year.
The Bid Form Approach
A bid form forces every contractor to price the same scope, the same way. You define your specifications upfront — the cabinet line, the countertop material and edge profile, the appliance brands and models — and every contractor prices against that specification. When one comes in high on cabinets and low on labor, you can see it. When another has excluded permits entirely, you'll catch it. When one uses a much higher allowance for backsplash tile, you'll know to ask why.
This accomplishes two things that are enormously valuable. First, it makes true comparison possible. Second, it opens a productive, professional conversation with each contractor about where they see opportunities to optimize, where they'd recommend spending more, and what trade-offs exist within your budget.
In construction management, this process of reviewing bid components and adjusting specifications to achieve a project goal is called value engineering. It doesn't mean cheapening the project. It means optimizing the specification without sacrificing the result — and it's a conversation you can only have when you have itemized data in front of you.
What to Specify Before You Bid
Before sending the bid form to contractors, you need to make decisions on the major components. For each category, note your specification — or flag it as an allowance (a budget placeholder) if you haven't decided yet.
A word of caution on allowances: contractors routinely set them low to win the bid. You will make up every dollar of that difference in change orders once you select actual materials. The more specific you are upfront, the more accurate and comparable your bids will be. At minimum, decide on:
Cabinets: Brand, door style, and finish. Semi-custom or fully custom?
Countertops: Material (quartz, quartzite, granite, marble), thickness, and edge profile
Appliances: Brand and model number — ranges in particular can swing $2,000 to $15,000+
Flooring: Material, plank size, finish, and brand line
Lighting: Recessed layout, number of pendants, under-cabinet type
Backsplash: Material, tile size, and pattern
Plumbing fixtures: Faucet brand and finish, sink brand and gauge
The more specific you are, the more useful and comparable your bids will be. If a contractor tells you it's too early to be this specific, that's worth noting.
The Change Order Problem
One final concept worth understanding: the change order. A change order is a written amendment to a contract that documents a change in scope and its associated cost. In commercial construction, change orders are expected and managed formally. In residential renovation, they are often the mechanism by which a low bid becomes an expensive project.
When a contractor prices an allowance too low, or assumes a scope item you thought was included, the correction arrives as a change order — after work has started, after you've committed, and after your leverage has largely evaporated. A thorough bid form and a well-specified bid package dramatically reduce the conditions under which change orders can surprise you.
Using the Bid Form
Attached below is the KnowYourHome Kitchen Renovation Bid Form — a two-page document designed to bring professional-grade bid discipline to your residential renovation project. Fill in your specifications in the Homeowner's Specification column before distributing it to each contractor. Ask every bidder to return it with every line item priced. A contractor who refuses to provide line-item pricing is telling you something important.
When the bids come back, compare them line by line — not total to total. The differences will tell a story. That story will help you make a smarter decision than any gut instinct formed during a thirty-minute kitchen walkthrough.
Adam Rich is a licensed Professional Engineer (P.E.) and Real Estate Salesperson in Ohio, with a background in engineering, construction management, property management, and real estate investing.
If you missed it, I previously featured a checklist for hiring contractors. Check it Out Here. Each trade (plumbers, roofers, carpenters, etc.) come with special considerations.
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The KnowYourHome Newsletter For Serious Homeowners seeking Practical Solutions. |
I’m Adam Rich, a licensed Professional Engineer (P.E.) and Real Estate Salesperson in the state of Ohio. I help discerning homeowners like you take control of the complexity behind your home.
With a background in engineering, property management, construction, and real estate investing, I specialize in helping understand the systems that make your home work.
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Whether it’s a one-time consultation or an ongoing relationship, I offer homeowners peace of mind through clear insights, practical planning, and calm expertise.
I am available to consult on home maintenance and improvements, new construction decisions and options, real estate investing or purchases, real estate engineering matters, and other home systems matters. Whether you're planning major renovations, systems upgrades, assessing long-term maintenance, or just want to get a handle on your home’s true condition, I deliver expert-level answers in clear, practical language.
The content of this newsletter is for informational purposes only and does not constitute professional advice. Always perform your own due diligence before making any financial decisions.