Cost Estimate for Building should be the first step in a construction project. Cost estimation is a crucial process and it can be optimised by having proper control over cost in a project. It ensures the budget is accurate and the chances of financial loss are minimized.

The process of estimation includes figuring out the overall costs required to complete the project. Whether it’s direct or indirect costs, properly evaluating the total costs will ensure that the project is on the right path.

Cost estimating companies work to predict the cost of a building as accurately as possible. Bidding Estimate is a trusted estimating firm that provides precise estimates for every type of project whether it is residential, commercial, or industrial. So if you need residential or Commercial Estimating Services, you can rely on Bidding Estimates! 

Who Can Conduct an Estimate?

If you are a homeowner, you may be considering calculating costs yourself. Certainly, there is the option of DIY but it will only be accurate if you have intimate knowledge about the construction process.

On the other hand, it is wise to hire professionals as they will ensure to conduct of precise cost estimates. A contractor or an estimator will navigate through the complexities of cost management and create a unique budget just for you.

If you are a contractor, you can also outsource estimation to a reliable cost-estimating company. It’ll help you to win bids, gain loyal clients, and give you time to handle multiple projects at once.

Types of Estimates in Construction 

In the process of Cost Estimate for Building, various types of estimates are conducted at different stages of construction. This ensures that all the aspects are covered in detail. The following is the list of estimates:

• Intermediate Estimates
• Preliminary Estimates
• Substantive Estimates
• Definitive Estimates

Guide to Accurate Cost Estimate for a Building 

To ensure a thorough Cost Estimate for the Building there are certain steps to be followed such as:

● Assess the Proposal

The first step is to analyze the bidding proposal as this document contains all the information whether general or specific about a project. It serves as a foundation to better understand a project’s requirements. Only bid on a project if you have experience or expertise in the area. For example, if you mostly handle small-scale projects, bidding on an industrial building wouldn’t be the right choice. 

● Visit the Site

A site visit has its significance as it borders your perspective about cost estimates for a building and provides you with the map for logistics which gives a better understanding of the expenses associated with it.

● Use Historical Data

If the project at hand is similar to a past project, then an expert can use it to his advantage and look out for similarities in both projects. The data from the past project can save time as well as other resources. However, it is important to ensure that the data being used is reliable and accurate.

● Determine Direct Costs

In this step, the amount of resources required is determined to make sure that the project is streamlined throughout. Most professional cost estimators use Cost Estimating Software to calculate costs such as:

• Planswift
• Bluebeam
• Stack
• Quest Estimating
• On Screen Takeoff
• FastPipe
• FastDuct
• Trimble
• Con Est
• McCormick
• RS Means 

Material

To make sure that sufficient material is attained and there will be no shortage of material in the long term, a quantity takeoff is done by a cost estimator. Calculate the number of materials required for the project. Then calculate its cost. You should be aware of the recent market rates to create a precise budget.

It is important to note that determining the cost is one of the major steps in any construction project. To make sure that accuracy is achieved and maintained, an estimator can use RS Means software. It possesses an immense database of updated costs and pricing of all the necessary components needed for a building.

Labor

This step includes evaluating the skills of labour and their productivity level. Both of these factors will contribute to deciding the labour rate. Other than that, the time taken to complete the project and the number of workers required also need to be assessed. 

Equipment

Calculating the cost of equipment is also part of the cost estimate for a building. It is important to consider whether it is wise to rent or purchase the machinery. Also, other expenses such as maintenance, fueling, operating, etc must be taken into account.

● Review the Estimates

An estimation is not a definitive figure and can be changed because of unforeseen market conditions. That is why it is important to keep reviewing the estimates throughout the construction project. It will not only keep you updated about the market but also make sure that the estimates are adjusted as per the demand.

Bottom line

In summary, a Cost Estimate for Building must be accurate as all the other aspects in a construction project are associated with this. This will not only make sure that a professional is one step ahead but also keep other components in line. A reliable and accurate estimation process is the very first step in any construction project. Therefore, this article lists out the most essential steps for an estimate and various software that can be utilized to achieve and maintain the accuracy of the estimates.