Author: admin

In the new world of Construction AI seems to be the new tool to help you in getting leads, estimating projects , designing projects, scheduling and communications . I am all for AI as I have used it in helping me outline the process for Marketing the EZestimater app . But I will defer the estimating to a real person. AI which stands for artificial intelligence is just that , intelligence that is artificially made. There definitely is a need for AI in certain circumstances where research on subjects that pertain to the subject in question maybe helpful . But in estimating construction projects that are primarily remodeling of an existing structure AI falls short. There is no research that will help AI to know the structure of the subject building that is being remodeled . The dimensions, structural properties, finishes and location are not something any AI program could research . This is where human interaction will be the most important tool in your tool belt . The EZestimater app is not AI , it gets material from a supplier like Home depot , Lowes , ferguson etc. The pricing is updated twice a week so the estimate is not a guesstimate. Only you as a contractor would know what labor could be involved in remodeling the existing structure . So ultimately there is a need for AI as long as you are aware of its limitations.

Are you still estimating the old way . Many Contractors now days do not use any specific program or method to estimate projects . It may be that changes are difficult for people to make and if they have been doing it one way for many years they are afraid to change . I understand but with much more competition in the marketplace customesr have more choices . Its important to estimate project quickly, professionally and accurately. You cant afford to underbid projects, if you forget something or underestimate material cost you could lose your slim profit . Our minds are very good but they can only hold so much information and its easy to forget something that may make the difference in your profitability. There are many estimating programs available to choose from, most of these are software based and you would need to estimate them on your laptop or desktop computer . Mobility with the EZestimater app makes the difference in presenting a line item professional estimate that will improve your chances of getting the sale and not forgetting something .

Be prepared your material cost may escalate in the next 6 months . The political climate , Tariffs that are being put on imported building materials are set to take place and this could cause a building material shortage . The recent fires in California that have 11,000 homes burnt down could case a shortage of materials ,along with the shortage will cause your material costs to rise and maybe even delay your project .You will need to be prepared . There are a few ways you can prepare yourself . EzEstimater app has a feature that updates material directly from Home Depot that updates twice a week. This will help you on new projects that you are bidding to make sure you have the most current pricing . The other protection would to have a escalation clause if the project starts later than 30 days after you sign the contract. Most large projects will definitely take more than 30 days because of plan check phase through the building department which can take 3 to 6 months or longer for approval. During the plan check process you may be surprised material may double in price and eat your profits.

A perfect estimate would have to involve a time machine where you could look in the future to see how much time it took to do the work and what is the cost of the material at that time. So a perfect estimate is unlikely but you can strive to be much closer to a perfect estimate by using the EZestimater Home Depot material update feature. The material database will update twice a week to confirm you are bidding material at the most recent price from Home Depot . Lowes and Ferguson will be added in the future. The perfect estimate will include every piece of material to do the job is accounted for and you can do this with the home depot material updater ie: Water heater installation you need a water heater cost, earthquake straps cost, water heater type D vent , vent cap, copper flex supply lines, gas valve , gas pipe, pressure temp relief valve, copper down pipe , drip pan, shelter , teflon tape. This should include everything . If you don’t include all material in your estimate you will end up donating it. Your labor cost wont accelerate like material so this may not affect your project . But you may want to include an “Escalation of Material” clause in your contract in the chance that your project may take too long to get started and material cost may go up. In my experience as a general contractor I always include some padding in the estimate to cover unforeseen circumstances especially on large projects.

Are you a project manager , sales manager or a contractor and you must approve your salesmen estimates ? You cant possibly be at the estimate location to confirm your estimator is bidding the project correctly ! Or can You ? With the EZestimator app you can see the estimate of your salesman in real time on your app. If you have the responsibility of reviewing the salesmen bids you can easily do this with the “USER” feature in EZestimater app. You can program your templates with all pricing you want to charge and all material so the salesman will use the templates you created . They cannot change pricing or adjust template pricing . You have the ability to review their estimate and make any changes to it and it will be reflected on their app also. You can change pricing , add templates and this will automatically be reflected on their app. Its as if you were looking over their shoulder while they are estimating the project.

What can we expect in the future of Construction ? Well with the cost of Construction going through the roof , technology may reduce the cost somewhat . Some materials are going down in price and some are going up . But the states are pushing the construction industry to the efficiency in energy savings. Recently we added a room addition and the Title 24 required us to install a bath exhaust fan in the hallway between two bedrooms? Very unusual but the energy code keeps changing and this will raise the cost of construction . I believe technology may reduce it but the states keeps raising the energy requirements. We always install insulation in the ceiling joist for energy efficiency and now they are also requiring it in the rafters on some projects. When will this stop ? California has some of the most stringent energy codes in the US , but with the recent fires over 11,000 home were burnt down in the Altadena and Pacific palisades area . We have the ability to fireproof homes but energy seems to be the area they want us to concentrate on ? So all of you estimators be aware of the energy code requirements and don’t be surprised of the additional requirements you may need to consider in estimating your projects. We have reached a peak in the construction industry where enough is not enough and they always want more so don’t expect the building costs to drop anytime soon.