(from MSN Realestate)
After a home inspection turned up everything from leaky toilets to termites, Cincinnati couple Hannah Powers and Ben Clinkinbeard thought about rescinding the $305,000 offer they’d made on a four-bedroom home. Instead, they got an estimate for the cost of repairs, and worked it out that the seller would pick up the $10,000 tab. “You can’t wash dishes and flush the toilet at the same time,” Powers, 28, says. “That’s a problem you’d think someone would mention.”

Read the rest for yourself and let us know what you think!

MSN Real-Estate…Home Inspections

Also take the time to explore the contractors and sub-contractors that you will be using on your project. We of course have a number of excellent contractors that we can provide for any project, BUT if you are using your own, make sure he (or) she is credible. Take the time to go and look at some of their work. Ask past clients what they think of the person you are contemplating using. And don’t be afraid to get multiple bids on your project. Even if you are set on using a particular contractor it never hurts to see how they stand up to another bid.

Be careful when you do get your bids…..cheaper does not always mean better. I have a good contractor friend who recently was out-bid by nearly $15,000 on a project. When researching the reasons as to why my friend was so much higher it turns out that he had done a cost plus bid and his competitor had turned in a flat fee bid. This is like comparing apples to oranges (you just can’t compare). My friend turned in a cost plus bid (meaning he factored in his price, which the owners pay for up front….but everything beyond that is subject to what the owners want and what the project may surprises them with) any money left over in the end goes back to the homeowner.  He had tried to put enough into his bid to handle any and all surprises on the 1920’s remodel job. His competitors bid was a flat fee bid (which means you pay a flat fee weather the contractor spends that much or not there is no ‘money back’ at the end). Also with flat fee bids, if you make any changes the contractor will charge you for it…and if he finds any surprises in construction…he will charge you for it.

Both bid styles have their good and bad points, but remember you need to compare apples to apples. If you are getting cost plus bids, they all need to be cost plus…and vise-a-versa with flat fee bids.