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Original poster

Builders putting prices up last minute, can I haggle?

60 replies

JudyGemstone · 10/05/2022 21:12

I am about to do a loft conversion with work booked to start next weekend. Was quoted £47k last November.

End of last year got an email saying due to covid/brexit etc materials had increased so costs increasing by £4k or so. Not ideal but understandable. I could just about find this extra but it’s very tight and no contingency funds now.

Last week, so 2 weeks or so before start date I get another email saying due to situation in Ukraine/fuel prices etc costs will
be going up again by a further 15%!

I simply do not have any more money. The builders are coming out tomorrow morning for the pre start meeting. I feel like they’ve got me over a barrel and I have no choice but to try and put the rest on a credit card or something, but my dad reckons I should ask about balance of labour/material costs and haggle.

He sent me an article from a trade mag about how timber and steel prices have fallen for the 4th month running and basically thinks I should call their bluff.

I think that I need them to do this job more than they need to do it and so they have the whip hand.

Has anyone else been in a similar situation? Is it worth trying to negotiate? Don’t want to piss them off, but at the same time it does feel slightly like price gouging.

Its stressing me out!

OP posts:
Showit · 10/05/2022 21:14

Get another quote for comparison. To be far its not their fault prices have risen.

NeedAHoliday2021 · 10/05/2022 21:38

How many quotes did you have originally? I’d always get 3 for a big job. I’ve just had my 3rd kitchen quote and am so sick of kitchens from all the planning but I’m glad we got the 3rd quote as I think they’re actually the best option.

Original poster
JudyGemstone · 10/05/2022 21:46

I got 2 quotes last year and this was cheaper, I also had these guys recommended by another unconnected architect.

I could cancel and wait for costs to come down, but I kind of really need it done now, have been waiting 6 months as it is

OP posts:
Sprig1 · 10/05/2022 21:56

My work involves tendering for building work. The type of price increase you are seeing is typical at the moment. They are likely just passing on costs, not taking the Mickey. You are fortunate to have a builder ready to start work. Can you reduce cost by reducing the spec/size/just build the shell for the moment?

SkankingWombat · 10/05/2022 22:14

I'm a carpenter and have yet to see a reduction in any of the materials I use bar one, let alone reductions for 4 consecutive months. The item that has reduced is a sheet of MDF; it is now 4.5% cheaper than it was at the beginning of the year (still up 83% on 18 months ago though!), but this coincided with a noticeable reduction in quality. I'm still experiencing shortages of materials too.

You can ask the builder and try to negotiate (don't ask, don't get). They may have some wriggle room, but will be unlikely to want to hand over any of what would essentially be their contingency at a time of volatility IMO. Alternatively, they may be able to offer some changes to the spec which would reduce the costs. After that, your options are to suck it up or delay whilst you find another builder (who may or may not be cheaper).

NeedAHoliday2021 · 10/05/2022 22:33

I can’t imagine prices will come down. We have a £2m build at work that’s now going to be £2.8!

kitcat15 · 10/05/2022 22:36

We had a quote of 8.7k last year for the drive and back garden….our builders have honoured the quote although have gone to great lengths to say they will be out of pocket 🙄….. drives nearly done though and all good

RebOrHon · 10/05/2022 23:49

From the sequence of events you’ve described it sounds to me like they’re taking the proverbial BUT do you have a written contract or anything evidencing the agreed price at 47k ( or even the higher November price?). Have you put a deposit down on an agreed price?
if you have them that’s the contract price & they can’t change it on a whim. If you haven’t committed anything to writing, off ref paid a deposit the technically you’re probably stuffed. In that case the best you can do is to say you’re paying what you agreed ( in November? ) and you can’t afford to go any higher. They could walk away but it’s more likely they’ll do the job because being paid a bit less then they’re after us better than not being paid at all. It won’t be easy to find a project to replace yours at short notice.

Neverreturntoathread · 10/05/2022 23:54

I spoke to a builder friend a couple of weeks ago who said costs of mateirals have shot up and it’s basically impossible to honour quotes and also make a profit thst makes the job worth it.

CellophaneFlower · 11/05/2022 07:02

Was it actually a quote, or an estimate? If it's a quote, it's legally binding and they shouldn't have increased it at all.

NewHouseNewMe · 11/05/2022 07:09

Mid extensive renovations here and it’s true.

On my job we are exposed to some rising prices and the builders to others so I have seen this up close and personal. The build continued but with more of the variable covered by us, e.g. windows and doors which are extensive.

Your quote seems decent to me. Does that include a bathroom?

Is the building control paperwork in place?

NewHouseNewMe · 11/05/2022 07:12

CellophaneFlower · 11/05/2022 07:02

Was it actually a quote, or an estimate? If it's a quote, it's legally binding and they shouldn't have increased it at all.

They’re usually good for a time period though, like 3 months, and unless a deposit has been taken and contracts signed, they don’t need to honour it.

Jessejuice · 11/05/2022 07:12

If you have already chosen these guys to do the job there's no backing out,even though you may have no written contract your verbal communication is seen as such.Talk to them and see if you can come to a better agreement on price or as someone else suggested lower your spec to save money.

CellophaneFlower · 11/05/2022 07:22

Perhaps builders should be estimating slightly higher seeing as they're seemingly well aware prices are rising. They could always reduce the price if materials don't increase (yeah, right). But no, they are getting work by producing the lowest estimate, then increasing right before work starts?

If I posted on here that I was selling a house but prices had increased massively since I had accepted the offer, therefore I was going to ask for more money 2 weeks prior to exchange they'd be uproar! And yes, not the same situation I know, but the principal is similar. They've increased once, not your fault they didn't increase it enough. They should just suck this up this close to the build.

Hteng · 11/05/2022 07:22

Quoting for jobs is a nightmare at the moment, steel jumped nearly 50% in one day a couple of weeks ago. My quotes are only valid for 24hrs at the moment, sadly its the only way I can do it with the way prices are jumping.

JuneOsborne · 11/05/2022 07:30

I guess it's about the alternative. If it's an estimate and the materials have increased by that much, what would the builders do? Take half pay? Only build three quarters of the loft room?

Builders are in huge demand, often booked up for months and months. They could drop onto another job and not do yours at all.

I'd think carefully about how much you want this work done and if the cost increase is too much to bear, are there things you could forgo rather than not having it done at all?

Nightmare for you and a nightmare for the builders.

ODFOx · 11/05/2022 07:37

We're having work done at the moment and last night the builder showed me an email from his supplier (National chain) stating that prices for several components of our build went up by 15% on 1st May.

They are honouring agreed quotes but all new orders will include the change. It's the second one in 6 months.
If your work hasn't started yet then the increase will apply and the builder will have no option but to pass those costs on to you.
I feel your pain, but it is the state of the industry at the moment.

FourTeaFallOut · 11/05/2022 07:44

Yeah, my db saw similar increases between having quotes for building works and it starting now. If you can't afford it you should cancel it. I don't see that you are in a position to negotiate.

CellophaneFlower · 11/05/2022 07:45

They are honouring agreed quotes

As they should with OP, providing it's an actual quote. It's irrelevant whether the work has commenced already.

ItsSnowJokes · 11/05/2022 07:51

Hteng · 11/05/2022 07:22

Quoting for jobs is a nightmare at the moment, steel jumped nearly 50% in one day a couple of weeks ago. My quotes are only valid for 24hrs at the moment, sadly its the only way I can do it with the way prices are jumping.

How can a quote be valid for 24 hours! Do you come and start work the next day if they say yes? What if you can't fit them in for 3 months?

ReviewingTheSituation · 11/05/2022 07:54

Is the quote broken out by materials and labour?
Only the materials element should be going up, based on the fact they want to put it up due to increased costs. That's where I'd start in a conversation with them. And check which materials have gone up - I know everything has gone a bit mad but you've probably got brick, glass, wood and steel in there (at the most basic level), not all of which will have gone up to the same extent (although I know glass has gone up loads).

CellophaneFlower · 11/05/2022 09:17

ItsSnowJokes · 11/05/2022 07:51

How can a quote be valid for 24 hours! Do you come and start work the next day if they say yes? What if you can't fit them in for 3 months?

Show quote history

I was wondering this! Pointless quoting at all really. "It will cost this much, but tomorrow it might be double?!".

I booked some flights 5 months ago. Am I to expect an email telling me I've got to pay more due to fuel increases? Of course not. Actually shocked how many people would possibly receive a quote, which when agreed would form the start of a contract, but roll over when told prices have increased. And anybody thinking their builder is 'nice' by honouring their quote... they're not being lovely, it's the law!

CasperGutman · 11/05/2022 11:05

If they've provided a quote and done the work, then there's no way they can demand more money and expect to have a legally enforceable claim. If they haven't started any work then there's no way they can be forced to do it at the price they've quoted: no court would force specific performance on a contract like that (especially not at a price where the trader would make a loss) so the idea that a builder "must" honour a quote because "it's the law" seems dubious.

DappledShade · 11/05/2022 11:08

Steel and timber have definitely gone up in the UK, perhaps the article your dad has read relates to elsewhere or to global prices etc? It is annoying, we are having a build done currently and get receipts for everything bought, prices are rising on virtually every item, we've checked and they are getting a better deal than we could, but still building is just getting more expensive. Quotes, unless fixed do tend to be more of a guide for building works, it is worth asking the to see if they can do anything to help bring costs down though.

SomethigWentBang · 11/05/2022 11:32

Cost's won't go down -- actually the opposite. If you cancel and book someone else for 8 months time, then you will likely encounter the same situation and end up paying more still.

After all we know fuel costs are rising another 50% again in autumn -- this will drive prices higher. Brexit issues are hardly improving The global fallout from Ukraine will get worse. Inflation is soaring. The list goes on...

Best advice is sort your loft now so you have somewhere decent to hide.