ᐅ Negotiating with Contractors – Getting Market-Style Price Advantages?

Hello everyone,

I wanted to ask how you approached negotiating or trying to get better prices with the various trades and contractors involved in building a house—from A to Z (that is, from structural work to plumbing, plastering, and even photovoltaic systems).

Some people consider haggling or bargaining to be inappropriate or rude towards the tradespeople or the companies involved. How is this usually handled in Germany when building a single-family home?

Do contractors or companies (for example, electricians or plumbers) typically include a small markup in their price that they are willing to lower if the customer asks for a better deal? If the customer doesn’t negotiate, they are happy with the price, but they still want to make a profit, of course.

Some might say, “We’re not at a market bazaar here.” Is it generally seen as disrespectful in Germany to try to shave a few percent off the price, or is this a common and accepted practice in the single-family home construction industry?

I’d love to hear about your experiences. I don’t want to come across as difficult to local companies since negotiating in the single-family home building sector might have a bad reputation.

Best regards
annab377

annab377 schrieb:

What are common practices in Germany when building a single-family house?

Yes, that’s true. Germans tend to be very cost-conscious! The main focus is on keeping costs low – but being cheap often doesn’t lead to the desired result.

Two options:

1: Negotiate the price with every tradesperson – which can be exhausting.
2: Maintain open communication with the tradespeople. Ask them to submit a reasonable offer. I don’t negotiate if the price is fair (and I feel the quality of work matches).

I have been sticking with Varia for a long time.

If you receive overpriced offers, look for a new contracting partner.
A fair price is acceptable to both parties, so there should be no need to negotiate and no reason to negotiate.
Live and let live.

I have always negotiated a little. A 2-5% discount or cash discount has often worked.

@seat88 If you’re not an expert, you often don’t know if the local quote is overpriced.

And as @Tassimat points out, if you consistently get a 2-5% discount, the cheaper offer can become even better for your budget. But even a seemingly “overpriced” local quote can end up being more affordable.

Obtained several quotes, and in the end, only one or two companies remained anyway. There wasn’t much room for bargaining. You can be grateful if anyone even sends a quote or has time within the next few weeks.