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Installed Services: The New Trend in Building?

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By the DoItYourself.com Staff

Installed services can provide many benefits if you are building or remodeling a home.  Traditionally, labor is performed by a contractor and materials are supplied separately.  Problems can arise between the lumberyard and contractor with accountability issues, incorrect shipment of products, and billing.  As a way to diverse their businesses, large home improvement stores are now offering installed services for framing, windows, doors, roofing, finish and décor items, and flooring.

 

Why consider installed services?  These services should be considered because it places direct accountability on one entity – often with more resources and responsibility than an individual contractor.  For example, a contractor may provide a labor and materials bid for roofing, but when it comes time to order, the bid jumps up drastically.  He says it is because he forgot to estimate an extra five squares of roofing.  At this point, there are few options for a homeowner besides absorbing the extra cost or hiring a new roofer.  However, if a large improvement retailer quotes installing the roof, they are 100% accountable for the materials estimated and the necessary labor.  Any estimation mistakes on their part must be absorbed by the store.  Because they are in business to make a profit, they are very thorough in their estimations.  Installed services put accountability directly on the retailer, often giving the homeowner more leverage in challenging situations.

 

How do installed services work?  The first step is contacting a large retailer in your area and inquiring about installations.  Services vary from area to area, so verify the store can install the products you desire.  The next step is to meet with a sales representative and review your home plans and product selections.  Several days later, you will be supplied with a bid for labor and materials.  The quote should also include a description of the warranty for work performed on your project.  Do not be surprised if the quote lists a “grand total” as opposed to a detailed breakdown.  So, it may be difficult to see how much the labor and materials will cost.  This may be unsettling, but it is important to compare it to what a contractor would provide.  Most likely, a contractor would supply a final price and give no detailed breakdown of the cost of nails, shingles, or lumber.  So, when comparing an installed services quote to a contractors bid, make sure they are an “apples to apples” comparison.

 

A common misconception is that installed services “cost more than hiring a contractor and supplying materials on my own.”  During the initial price gathering stage, this may be true.  The retailer may provide a bid slightly higher than you can find on your own.  But it is important to understand why this takes place.  When a retailer provides a bid, they are price locking the materials (something a contractor cannot do), price locking the labor costs (something a contractor cannot do), and taking responsibility for any overages (something a contractor cannot do).  So, a contractor’s bid may be less initially, but if he needs extra materials, you will need to pay.  Selecting a retailer to install your products is about peace of mind.  The construction industry can be a scary place with ever-changing bids, price increases, and shoddy workmanship.  Removing these doubts will cost money, but it pales in comparison to firing a contractor, dealing with mechanic’s liens, ordering new materials, etc.

 

Selecting a reputable home improvement store to do work on your project is a big decision.  But the rewards greatly outweigh the costs.  When you consider the peace of mind and accountability offered by the retailer, you are in the winner in this situation.  Contact your local home improvement store to see if this service is right for you!

© 2006 DoItYourself.com


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