How do you handle a client's sticker shock?
Short answer. Give them time and your documented assessment with photos, and let them compare other estimates. Do not cut the price below what code-compliant work costs.
Work it through
You're the contractor. Pick what you'd do, then see how each choice plays out.
Carl Brennan
Retired engineer who started a renovation himself, made it worse, and is now calling you to fix it
Your estimate to demolish Carl's work and rebuild properly: $42,000. Carl nearly has a stroke.
"$42,000?! I already spent $8,000 on materials! You contractors are all the same — just trying to rip people off. I'll find someone who'll work with what I've got."
- Professional
Carl needs to process the sticker shock. Pushing him now will feel like a hard sell. Your documented assessment with photos gives him something concrete to show other contractors — who will tell him the same thing. When the third contractor says '$40-45K,' Carl will realize you were honest, not expensive. The ones who say '$15K, I'll work with what you've got' are the ones who'll put their license (or his safety) at risk.
- Compromising code
2x3 framing can't be 'reinforced' into 2x4 code compliance. Lowering your price means either cutting corners or losing money. If you reinforce non-compliant framing and the inspector rejects it, you demo and rebuild anyway — at your cost. Never let a client's budget pressure override code requirements. Your estimate is what proper work costs. Period.
All 13 running a compliant business questions
- What records should a Maryland contractor keep?
- How many projects can you take on before quality suffers?
- How do you estimate honestly for a flipper on a tight budget?
- Should you match a lowball bid to win a job?
- Who is liable when a client tells your crew to cut corners?
- How do you handle a client's sticker shock?
- How should you structure a payment plan for a returning client?
- Are weekly progress reports worth the effort?
- What grants help disabled veterans pay for home modifications?
- How does contractor burnout lead to MHIC complaints?
- What is the most important thing to know for the MHIC exam?
- What one habit keeps contractors out of trouble with the MHIC?
- What advice would you give a newly licensed Maryland contractor?