7 Mistakes You're Making with Contractor Bids (and How to Fix Them)
Getting bids for a home remodel in the Salt Lake Valley is more than just collecting numbers: it’s about finding a partner you can trust with your biggest investment. From a contractor’s point of view, I see homeowners make the same mistakes over and over. These errors don’t just lead to stress; they lead to half-finished decks, ballooning budgets, and "walk-around" contractors who disappear after the first check.
Here are the seven most common mistakes you're likely making with your bids and exactly how to fix them.
1. Obsessing Over the Bottom Line
The cheapest bid is rarely the best deal. If one quote is significantly lower than the others, it’s usually because something is missing: whether it’s quality materials, proper permits, or skilled labor.
What to look for: A bid that is 20% or more below the average of other quotes.
Why it matters: Lowball bids often lead to cut corners or "change order" traps where the price spikes once the walls are opened.
The Action: Ask why the price is low. Is it a smaller crew? Lower-grade lumber? No permit fees included?
2. Failing to Compare "Apples to Apples"
If you tell three contractors to "rebuild my deck," you’ll get three different projects. One might bid for a basic rebuild, while another includes a concrete patio underneath for extra living space.
What to look for: Discrepancies in the itemized material list.
Why it matters: You can’t compare a bid for composite decking against one for pressure-treated pine.
The Action: Provide a clear, written scope of work to every contractor so their bids cover the exact same tasks.
3. Ignoring the Payment Schedule
Never sign a bid that asks for 50% or more upfront before a single tool touches the ground. A reputable contractor doesn't need your entire deposit to start a standard project.
What to look for: Large upfront deposits or vague "pay as we go" terms.
Why it matters: Front-loading payments removes your leverage to ensure the work is finished to your standards.
The Action: Demand a progress-based payment schedule tied to specific milestones, like "completion of framing" or "after electrical rough-in."
4. Skipping the License and Insurance Check
In Utah, you can verify any contractor through the DOPL database. If they aren't listed, or their insurance is expired, you are taking a massive financial risk.
What to look for: Reluctance to provide a current COI (Certificate of Insurance).
Why it matters: If a worker gets hurt on your property and the contractor isn't insured, you could be liable.
The Action: Ask for a copy of their general liability and workers' comp insurance. Call the agent to verify it's active.
5. Taking "References Available Upon Request" at Face Value
Most people see "references available" on a bid and assume the contractor has them. Very few actually call them.
What to look for: Vague testimonials instead of real contact names.
Why it matters: Past behavior is the best predictor of future performance. You want to hear about the "ugly" parts of the project: how they handled delays or mistakes.
The Action: Ask for three references from the last six months. Call them and ask: "Did they stay on budget?" and "Would you hire them again?"
6. Accepting Vague Timelines
"We’ll start in a few weeks" isn't a timeline. In the Salt Lake Valley, weather and supply chains are real factors that need to be planned for.
What to look for: A bid with no start date or estimated completion date.
Why it matters: Without a timeline, your project can easily be pushed aside for a "bigger" job.
The Action: Get an estimated duration and a projected start date in writing before you sign.
7. Forgetting the "Surprise" Fund
Even the best bid can’t see through walls. If you’re doing a kitchen remodel or siding repair, something unexpected will likely come up once the demo starts.
What to look for: Bids that claim to be "all-inclusive" with no room for error.
Why it matters: Home design choices worth investing in shouldn't be derailed because you hit a hidden plumbing issue.
The Action: Always set aside a 10-15% contingency fund above the bid price. If you don't use it, you've got extra cash for furniture.
Choosing a contractor isn’t about picking a price: it’s about choosing a project manager. At Your Contractor Pros, we act as your single point of contact, managing the details from the first bid to the final walkthrough so you don't have to. Check out our remodel insights for more tips on planning your next Salt Lake project.
