Why Three Bids Matter (And Why They’re Not Enough)

Most architects tell you to get three bids after design is complete. I’m going to tell you why that advice is half right—and how the other half can save you tens of thousands of dollars.

The Problem with “Design First, Bid Later”

Here’s what typically happens: You hire an architect. They design your dream home. Drawings are finalized. Then you send those drawings to three general contractors and ask for bids.

Two weeks later, the bids come back. And they’re all over the place.

One contractor says $750,000. Another says $1.1 million. The third says $950,000.

Which one is right? None of them. And all of them.

Construction Cost Isn’t a Fixed Number

There’s a reason those bids are so different—and it’s not because two of those contractors are trying to rip you off.

Construction cost varies depending on who’s hired to do it. There’s no “typical” cost for anything. There are ranges. For every little thing.

One contractor has relationships with framers who give him a better rate. Another contractor’s electrician is booked out six months, so he has to use a more expensive sub. The third contractor just finished a project with leftover materials he can use on yours.

Those ranges add up. A few hundred dollars here, a few thousand there. By the time you’re adding foundation, framing, roofing, plumbing, electrical, finishes, and fifty other line items, you’re looking at $100K+ differences between bids.

And did you think those couple weeks of bidding and chasing subcontractors for numbers was enough to capture every nuance of a design that took months to come together?

The Real Question Isn’t “Who’s Cheapest”

When you get three wildly different bids, most homeowners panic and pick the middle one. Or they pick the lowest one and hope for the best.

But the real question isn’t “who’s cheapest.” It’s “who actually understands what they’re building?”

When a contractor has two weeks to price out a set of drawings they’ve never seen before, they’re guessing. They might lowball items they think are straightforward and pad items they’re unsure about. Or they might not catch details that matter.

That’s not their fault. They’re doing their best with limited time and limited information.

How I Do It Differently

I bring contractors into the process early. Not after design is done—during design. And not for competitive bidding—for the client to choose a partner.

Here’s why that matters:

Early in the process, I introduce clients to two or three general contractors I trust. The client picks one. Then that contractor works with us through design.

They’re not bidding on drawings in two weeks. They have months of getting to know my design and your expectations.

They see how I think. They understand what you care about. They flag concerns before they become expensive problems.

When we finally arrive at construction drawings, the contractor already knows what they’re building. The number isn’t a guess. It’s a budget we’ve been building together for months.

What This Looks Like in Practice

Picture this. Clients wants a custom home on a steep waterfront lot. Complex site, great views, strict zoning.

We do feasibility first. Then I bring in two contractors for initial conversations. The clients picked one to move forward with.

Month two: “If you move that deck five feet west, we can avoid expensive retaining walls.” We move it. Save $30K.

Month four: “We can hit your budget if we use engineered lumber for the roof instead of timber framing.” We make that call early, not when it’s too late to change.

By the time we have construction drawings, the contractor has been part of dozens of decisions. The final number? No surprises. No “oops, we forgot to include X.”

Why Not Wait and Bid at the End?

Here’s what actually happens when you design first and bid later:

Contractors know they’re competing. They know they have maybe a 33% chance of getting the job. So they protect themselves.

They pad numbers where they’re uncertain. They leave out site visits because those cost time and money. They submit the bid and move on to the next one.

I just watched this happen with a metal subcontractor. When he thought he was working with us as a partner, he offered to meet on site to walk through details.

When he found out there were other bidders? Suddenly his bid included charges for every site visit. He wasn’t being unreasonable. He was being smart. Why invest time in a project he might not get?

When the contractor is chosen early, they invest differently. Site visits aren’t billable line items—they’re part of building the project together.

But How Do I Know I’m Getting a Fair Price?

You’re choosing the contractor early, but you’re choosing them the same way you’d choose after getting three bids—based on their track record, their communication, their approach to your project.

The difference? You’re making that choice when everyone’s focused on collaboration, not on winning a bid. You see how they think, how they problem-solve, how they communicate. That tells you more than three numbers on a spreadsheet.

And the number you get at the end? It’s built on months of decisions you made together. Not padded guesses to cover unknowns.

A competitive bid is a time consuming risk for contractors; one they’ve become accustomed to taking, and adding buffers to mitigate. 

The Hidden Benefit: Fewer Change Orders

Here’s the other reason this matters.

When a contractor bids on drawings they barely understand, they leave things out. Not on purpose—they just didn’t catch them.

Then construction starts. And suddenly there are change orders. “We didn’t include X in the original bid.” “This detail is more complex than we thought.”

Each change order costs you time and money. And frustration.

When the contractor has been involved from the beginning, they’ve already thought through those details. Change orders still happen—construction always has surprises—but they’re smaller. And rarer.

And when you pick a contractor early, they become a partner in the overall project; reducing animosity. You also avoid getting charged a “CYA’ tax on a bid.

The Bottom Line

Competitive bidding makes sense when you’re buying a commodity. When projects are identical and you’re just comparing price.

Custom homes aren’t commodities. Every site is different. Every client has different priorities. Every project has variables that take time to understand.

Bringing contractors in early—and choosing one to partner with—turns guesswork into collaboration. It aligns everyone’s expectations before money gets spent. And it protects your budget when it matters most—before construction starts.

Does this approach mean you don’t get to compare three final bids? Yes.

Does it mean you get a number built on months of collaboration instead of two weeks of guessing? Absolutely.

Make sense?​​​​​​​​​​​​​​​​

Next
Next

5 Zoning Mistakes That Kill Custom Home Projects (Before You Even Start)