What Is a Pre-Construction Service Agreement?

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The process of building a custom home may involve many terms and concepts that are unfamiliar to you. One possible example is a pre-construction service agreement. If you’ve never heard of this type of agreement before, read on to learn what a pre-construction service agreement is before starting your project in central Pennsylvania.

Components of a pre-construction service agreement

A pre-construction service agreement is a detailed document that outlines an achievable plan for a new construction project. It typically includes architectural plans, structural plans, drawings, specifications and allowances that fit within a predetermined budget. It may also include geotechnical survey results and homeowners association architectural approval. With all of this information, clients will be able to make an informed decision on whether to proceed with the project as laid out, as well as obtain any necessary permits.

Purpose of a pre-construction service agreement

Creating a pre-construction service agreement defines the scope and goals of a construction project. This requires collaboration from architects, subcontractors, structural engineers, interior designers and landscape architects, all of whom will provide their indispensable professional expertise in shaping the project. By establishing a budget, schedule and construction plan with clear expectations for various inputs and labor, a pre-construction service agreement can help a project stay on the right track.

Benefits of a pre-construction service agreement

A pre-construction service agreement usually requires a fee and a few months to complete, but it might be well worth the additional time and cost. Unlike a free estimate, a pre-construction service agreement requires careful scrutiny of the design and construction plan for a better understanding of what to expect throughout the project.

The transparency that comes with more exact cost estimations for labor and materials may provide the homeowner with better peace of mind with regards to how their money will be spent. After all, a home is often the biggest investment that we ever make, so it’s understandable if someone wants to know exactly what they’re paying for.

A pre-construction service agreement can also act as a guiding document for the construction process. By developing this agreement, the homeowner and the builder may discover irreconcilable differences in priorities before any work gets started, rather than realizing the incompatibility when the work is already underway.
It’s better to go into a project with everybody’s expectations and priorities clearly established and agreed upon, instead of being surprised by the discovery later on. In fact, a pre-construction service agreement might even motivate the homeowner to choose another builder that’s better suited for them, which would save time, money and effort for all parties involved.

Are you still unsure about what a pre-construction service agreement is, and how to incorporate one into your central Pennsylvania project? WSL Incorporated is a full-service design and build company with more than 35 years of experience in residential and commercial construction. Our expert team will guide you through every step of the process to bring your vision to life. Contact us today to learn more about our services and get started on your project!

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