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Subcontractors Equal 75 Percent of Costs for Home Builders

Posted by Maria Shayna Tzouvelekis on Wed, Feb 03, 2016 @ 07:00 AM

Subcontractors are a crucial resource to the home building industry. In a study conducted by the National Association of Home Builders (NAHB), three-fourths of construction costs in an average single-family home were attributed to subcontractors. Seventy percent of builders surveyed reported using between 11 and 30 subcontractors to complete home construction. 

number of subcontractors used to build a home

Due to the diversified needs and complex nature of building a new home, subcontractors are a necessity for both small and large companies alike. Certain jobs are contracted out by nearly all builders regardless of the company's size, including security systems, carpeting, electrical wiring, HVAC, plumbing and drywall. 

how often builders use subcontractors

Successful home builders invest time in building and maintaining relationships with subcontractors. Furthermore, the ability to schedule larger numbers of specialists and complete projects on time may be based on the diversity of subcontractors in one’s network.

As a builder's network of home owners and subcontractors grows, so will the amount of contracts being paid for by check. CrossCheck's Standard Check Guarantee  allows businesses to flourish without worrying about returned checks or collecting payment. To learn more, click below.

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Tags: Building Materials, Construction