ᐅ Is it still possible to negotiate the price with the general contractor?

Hello,

we are now close to finalizing the construction contract with our general contractor (GC). We are considering whether we should still negotiate the price. It should be mentioned that compared to other GCs with similar specs, this GC already offered the lowest price. The GC is giving us a fixed price guarantee for 12 months. Given the current situation, should we finalize the offer as soon as possible, or have you still tried asking for a discount? How did you proceed if you wanted to negotiate the price? Thank you very much!

Bauen2022 schrieb:

We are now close to finalizing the construction contract with our general contractor. We are now considering whether we should negotiate the price further.

So far, you’ve only asked about financing aspects; we don’t know your scope of work description or even the type of house you plan to build.
How can we comment on the price without knowing how, let’s say politely, “variable” the value offered really is?

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https://www.instagram.com/11antgmxde/
https://www.linkedin.com/company/bauen-jetzt/

I am not concerned about whether the house’s value corresponds to the price. The scope of work description and the contract were reviewed externally, and we were informed that everything is fine except for minor details. What interests me more is whether the recently signed homeowners have tried to negotiate the price further or if it is better to “keep quiet” and be glad to still receive a fixed price from the general contractor (GC). The current situation is not exactly easy, and we do not want to jeopardize our relationship with the GC. On the other hand, I worry that we might miss an opportunity to save some money simply because we did not ask.

If I were you, I would definitely try to negotiate. You never lose anything by asking if there is room to adjust the price. If nothing is possible, the general contractor will probably complain and say that there’s no more margin. However, it’s also possible that they might offer a small concession. With a bit of luck, you can quickly save a few thousand without being unreasonable.

Bauen2022 schrieb:

On the other hand, I worry that we might miss out because we didn’t ask, even if it means saving a little money.

And my bigger concern is that by focusing on saving money, you might end up losing even more value. What does the professional who compared this say about that aspect?

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https://www.instagram.com/11antgmxde/
https://www.linkedin.com/company/bauen-jetzt/

NatureSys schrieb:

If I were you, I would definitely try to "negotiate." You can never lose by asking if there’s any room on the price.

It’s good that you put negotiating in quotation marks because real negotiation works differently. Personally, as a seller, I always get frustrated when a potential buyer has no clear idea of their own price expectations but is absolutely sure that my price is too high. 🙄

Regarding the topic: If you’ve already compared offers and want to sign with the cheapest provider, on what basis would this "negotiation" take place? The cheapest provider probably won't tolerate excessive price pressure either. When we negotiated with the most expensive provider back then, we were able to save only a few thousand euros—and that’s reasonable if the initial offer was fair to begin with.