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Choosing Construction Companies: General Contractor or Builder?

When it comes to building a home of your own, there is no time better than now. In more ways than one, your home is one of the most important investments you can make. Not only is it bound to exponentially increase in value in the coming years, but it also gives you piece of mind knowing that you have something to call your own.

As you go along with the process, there are actually a number of things that you need to consider. In particular, you have to understand the difference between making use of a custom home builder and a general contractor. After all, like with any other investments, you have to be smart in the way you spend money.

What’s the Difference between a General Contractor and a Builder?

First of all, prospective clients need to have a full grasp of the difference between these two types. While they are both in the same industry, there are subtle differences between them. That being said let us put the matter in more concrete terms. Presented below is a quick guide to understanding how these companies work.

  • General Contractor – The way General Contractors work is that they organize the logistics behind the different aspects of the project. They oversee the whole construction yet they are not doing the work themselves. Instead, they bring in experts and subcontractors specializing in a particular trade. So, for example, let’s say you’re building a house in Charlotte, NC. A general contractor might bring in a local roofer, a Charlotte window replacement company, a deck builder, a plumber, and a whole host of other people to collaborate on a project. They do this throughout the different stages until the job is completed. They get profit from adding an additional charge for every finished subcontract.
  • Builders – This is the type of Construction Company that builds the project from the ground up, they do the whole housing project by themselves. They have their own crew who are more than capable of doing all jobs required in any home construction project.

There are also instances wherein subcontractors are brought in for parts of the job requiring special licenses such as plumbing and electrical works. However, unlike with General Contractors, they will not levy a separate charge for that. Additionally, since they will be in charge of the project all throughout, you will only have to deal with the one firm for the entire duration of the project.

Level of Involvement

When comparing these two types of construction companies, you also need to understand their level of involvement. While some of it has already been mentioned, it should be noted that the General Contractors are generally more detached from the project whereas the builders will be deeply involved the whole time.

For instance, during the earlier stages of planning, the builders will be there with you planning out the specifics. You will not get this from a General Contractor and you will most likely have to hire a separate architect before anything else.

Knowing the difference between these two types is crucial. Whichever option you decide to go with, keep in mind that client-contractor relationship is vital. This goes both ways, communication is vital to the success of your project.