Sample Home Builders Contract
When it comes to building a new home, having a written agreement between the homeowner and builder is crucial. A home builders contract outlines all the details of the project, including the scope of work, payment terms, and timelines.
To help both parties stay on the same page and avoid misunderstandings, it`s important to have a sample home builders contract to refer to during the drafting process. Here are some key elements that should be included in a typical home builders contract:
1. Scope of work: This section should clearly define what work the builder will be responsible for, including the materials and labor required. It should also specify any exclusions or limitations, such as landscaping or decorative finishes.
2. Payment terms: The contract should outline how much the homeowner will pay for the project, including any upfront payments or deposits. It should also specify the payment schedule, such as when payments are due and how much each payment should be.
3. Timeline: The contract should establish a timeline for the project, including start and end dates, as well as any milestones or deadlines that need to be met along the way.
4. Change orders: Inevitably, changes may need to be made to the original plan. The contract should specify how change orders will be handled, including any additional costs or delays involved.
5. Warranties: The contract should outline any warranties provided by the builder, such as a warranty on materials or workmanship. It should also specify any limits or exclusions to these warranties.
6. Dispute resolution: If a dispute arises between the homeowner and builder, the contract should outline the steps that will be taken to resolve it. This may include mediation, arbitration, or litigation.
Having a well-written home builders contract can protect both the homeowner and builder from legal and financial troubles down the line. At the same time, it helps ensure that the project is completed on time, within budget, and to the satisfaction of all parties involved.