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2019 Idaho Real Estate Blog

What do you get with the LOW bidder? Main Idaho Real Estate Insights

Buying a home and a lot like shopping at a retail store. As long as  you know the reputation of the brand, you will probably get what you pay for.

Many builders go through a painful process of developing a reputation so they don't have to compete on price. It is like having a restaurant and every plate must  go out looking great with quality ingredients

On the other hand many builders are more interested in profit and take the low bidder for every element of the home from concrete to roofing. There is nothing wrong with this as long as you want a cheap home.

The problem with taking the low bidder for a builder is that there is no room for error and the only way to make it more profitable is to either do it faster or cut corners? While many might say the in a free market, the consumer is the winner but that is probably more true for products, not homes. If a product goes bad, you can return it and never buy that brand again or shop at that store.

In a home, if something goes wrong, what if the builder files bankruptcy? What is you are beyond the one year warranty. More realistically, you start realizing around year 5 that everything is showing signs of wear.

For example, the low bidder probably installed the lowest grade carpet with poor padding. The electrical put in only what is required by code for outlets and put the cheapest covers on them (yes it would have been nice if the cable wire was in multiple locations in the major rooms?). The low bidder put in 10 year shingles not 20. The appliances, well they got your food hot? Storage, that woudl have required more square footage or at least more doors to be hung which was over biudger.

Pleanty of reasons to shop smart but when somehting seems to good to be true, there is a reason!

Trey Langford

 
Posted by tlangford at 8/28/2013 8:10:00 PM
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Michelle Penick, Build Idaho Client Real Estate Services

Michelle Penick

Idaho REALTOR ®
208.629.0217 | Michelle@FullSailBoise.com
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