I'm really confused about these insane contractor prices lately. Last March, I got three quotes to build a 16 x 24 cedar deck, and all were around $35k. I couldn't justify that, so I did my own research on permits and codes and built the deck myself for just $6k. Now, I'm getting quotes for 170 feet of vinyl privacy fence, and once again, all three quotes are coming in at a shocking $25k. That means they want $21k just for labor! I live in a low cost of living area, and this seems way out of line. Is this normal now, or am I just getting ridiculously high quotes? Am I missing something here?
5 Answers
Financing has really messed things up too. Contractors who work with financing companies often inflate their prices by at least 30%. Since many homeowners opt for financing to manage costs, they end up paying inflated amounts because they see it as manageable monthly payments, which drives prices up even further.
There are a few reasons why contractor prices are sky-high right now. First off, inflation has driven up business costs across the board—everything from materials to insurance has gone up. Plus, contractors have to deal with wage inflation. If fast food places are paying $15/hour, they need to pay more to attract workers for physically demanding jobs. Also, there’s a current shortage of contractors. As long as their schedules are booked, they won’t feel the need to lower prices. So unfortunately, unless there’s a significant drop in demand, these prices might stick around for a while.
Not surprised you’re saying that—it sounds like a classic contractor justification.
It's unfortunate, but there’s enough demand among affluent clients who are willing to pay these prices. Contractors are going to keep charging whatever the market will bear. If you’re consistently seeing outrageous quotes, it might be worth trying to negotiate or seek out smaller local contractors who might offer better deals.
I can relate—when I got quotes for new doors, the big companies wanted $13k, $13k, and $17k; one even quoted $38k! I found a local family business that did it for $5.8k for the same materials and added a storm door. They did great work on a previous project, so it pays to shop around.
I totally get wanting to DIY; it's becoming increasingly common. If you find a contractor, just manage them closely. I feel like I have to babysit them to ensure they’re using quality materials and not cutting corners. It seems like we’re returning to a time when families built their own homes—it might not be that extreme, but having some basic skills can save you a ton of cash nowadays.
Absolutely! I mean, if you have the time and the know-how, it’s definitely the best route these days.
Exactly! It might be smart to brush up on some carpentry skills, or at least get a basic toolkit together.
Yeah, I'd really like to see what's actually included in those overhead costs. I’ve been self-employed for decades, and there’s no way that fence job takes more than 5 days for two workers. Charging over $2000 per worker per day just doesn’t add up.