How to Compare Three Remodel Bids

The Nevada State Contractors Board recommends getting at least three written bids for a project. Three bids are only useful if you can compare them fairly, which means looking past the total to what each bid actually includes. This guide shows a simple method.

Key takeaways

  • Give every contractor the same written scope.
  • Compare bids line by line, not just by the total.
  • Treat a bid far below the others as a question, not a bargain.
Paint color samples spread on a table

Start with the same scope

The Board advises giving contractors accurate plans or drawings so they can determine the scope of work and costs. A written scope with numbered lines is the easiest way to get bids you can compare. If you have not written one yet, start with How to Write a Scope of Work Before You Ask for Bids.

Build a comparison sheet

Make a simple table with your scope lines down the left and one column per contractor. For each line, note whether the bid includes it, excludes it or treats it as an allowance. Add rows for permits, clean-up, schedule, payment terms and warranty.

What to compareWhy it matters
Each scope line included or excludedMissing lines often become extra charges later
Allowances for undecided itemsDifferent allowances make totals look different
Permits and who obtains themSkipping permits is a red flag
Schedule: start date and days to completeThe Board lists both as contract items
Payment scheduleTied to stages of work or not
License classification and monetary limitMust cover the job and the contract amount

Watch for the low outlier

The Board warns to beware of any bid substantially lower than the others, because it may mean the contractor made a mistake or did not include all the work quoted by others. If prices differ by a wide margin, the Board suggests you may consider getting additional bids. Ask the low bidder to walk through what is included before you decide.

Check the contractor behind each bid

A bid is only as good as the contractor. For each bidder, check the license status, classification and monetary limit, and ask for written references. The Board suggests calling previous customers, asking if they were satisfied and looking at the work yourself. See How to Check a Nevada Contractor License.

Ask clarifying questions in writing

Send each contractor the same short list of questions about unclear items, and ask for written answers. Written answers become part of your record and help you compare fairly. File them with the bids in your How to Set Up a Remodel Project Binder.

Tip: Ask each bidder the same final question: “What is most likely to change the price once work begins?” The answers show who has thought about hidden conditions.

Compare schedules, not just prices

The Board lists the start date and the number of days for completion among the items to look for in a contract. A bid that is cheaper but much slower may cost you more in disruption, especially if you are living in the home or have scheduled cooling downtime. Ask how many crews and trades each bidder expects to use.

Compare payment terms

Look at when each contractor expects to be paid. Payment tied to completed stages keeps your money in step with the work. For pools, the Board tells homeowners never to pay the full amount up front, and it lists a detailed payment schedule among the items worth including in any contract. More in Deposits and Payment Schedules: Paying for a Remodel in Stages.

Scoring the bids

Some homeowners give each bid a simple score for completeness, clarity, schedule, payment terms and communication, alongside the price. The goal is not to find a perfect number but to make the trade-offs visible. The most complete and clearly written bid is often a better choice than the lowest total.

Meeting the bidders

A site visit tells you as much as the paper. Notice whether each contractor measures, asks about the scope lines, looks under sinks and into the attic where relevant, and explains how they would sequence the work. A contractor who asks good questions is usually pricing the job you described. Take notes at each visit and file them with the bid, so you are not relying on memory when three bids arrive in the same week.

When to ask for a revised bid

If you change the scope after bids arrive, send the change to all bidders and ask for revised bids. Comparing an old bid with a new one on different scopes defeats the purpose.

Common mistakes

Choosing on total price alone is the most common mistake. Others include accepting verbal bids, not checking licenses until after choosing, and letting one contractor’s suggestion change the scope for only that bid.

Frequently asked questions

Do I have to get three bids?

No, but the Board recommends at least three written bids, and it is good practice.

Should I share one bid with another contractor?

Share your scope, not another contractor’s pricing.

Can I negotiate?

Yes. Put any agreed change in writing and in the final contract.

Once you choose, read What a Nevada Remodel Contract Should Include.