Quote vs Contract

A quote tells you what the builder thinks the job will cost. A contract is what binds you both. The two numbers are not always the same, and once you sign, the contract governs.

A quote is a fixed-price offer

A quote is generally understood as a fixed-price offer for the work described. It is distinct from an estimate, which is typically a non-binding approximation. However, a quote is not, by itself, the full building contract.

A contract is the binding bargain

The contract price, scope, terms and conditions are what you are actually held to once signed.

The numbers can differ

The quote figure and the contract price are not always identical. Check them against each other before signing.

Scope must carry across

Ensure everything you understood to be included in the quote is captured in the contract documents.

Verbal promises are not the contract

If something was promised during quoting, make sure it appears in the signed documents.

Questions to ask before signing

Does the contract price match the quote?

Is all quoted scope in the contract?

What has changed between quote and contract?

Are verbal promises documented?

The key lesson

Once you sign, the contract is what governs - not the quote. Reconcile the two before you commit.

Before You Sign

This guide provides general educational information for South Australian homeowners. It is not personalised legal advice. The effect of any issue depends on the wording of your own contract, schedules, Special Conditions, plans, specifications and the facts of the project. A good builder and a well-understood contract should work together. Before committing to one of the largest financial transactions you may ever undertake, consider having the actual contract reviewed so you understand the obligations, notice requirements and consequences before they are tested on site.

Before You Build. One Signature. One Chance.