If you’re a contractor or looking to begin a DIY home improvement project, accurate and timely estimating is key to budgeting properly and staying within your financial means. Even if you’re an experienced builder, construction cost estimation can be difficult since so many factors come into play such as material costs, labor rates, professional fees, and more. 

Fortunately, there are ways to easily make efficient estimates something that can save money both in the short-term of your current project and in the long-term too by helping develop better financial habits for the future. Let’s jump into Royal Estimation’s helpful hints so we can get started saving money now!

Here are a few simple tips that can help you save money on your estimates.

Tip 1: Know Your Costs:

The first step to ensuring your construction project comes in on budget is understanding your costs. This means having a clear picture of both the direct and indirect costs associated with the project. 

Direct costs are those that are directly related to the work being done, such as materials, labor, and equipment. The indirect costs are those that are not directly related to the work being done but still need to be considered, such as overhead, insurance, and permits.

Once you have a good understanding of all the costs involved in the project, you can start to look for ways to save money. One way to do this is to get multiple bids from different contractors. This will allow you to compare prices and find the best deal. 

Tip 2: Use Accurate Measurements & Quantities:

When it comes to construction, there is no room for estimation. Inaccurate measurements and quantities can lead to big problems down the road, so it is important to be as accurate as possible when taking measurements and calculating quantities.

Here are a few tips to help you get accurate measurements and quantities:

1. Use a tape measure when taking measurements. This will help ensure that you get an accurate measurement.

2. When calculating quantities, be sure to use the correct conversion factors. This will ensure that you are using the right amount of material.

3. Make sure that you take into account all of the materials that will be needed for the project. This includes things like nails, screws, and other fasteners.

4. Keep track of your measurements and calculations so that you can reference them later if needed. This will help prevent any mistakes from being made.

5. If you are unsure about anything, don’t hesitate to ask for help from a professional. They will be able to answer any questions or concerns that you may have.

Tip 3: Compare Quotes from Different Suppliers:

It’s important to compare quotes from different suppliers before purchasing your construction project. By doing this, you can be sure that you’re getting the best possible price for the materials you need. Here are a few tips to help you compare quotes:

1. Take the time to review each quote carefully. Make sure you understand what is included in each quote and what is not.

2. Pay attention to the terms and conditions of each quote. Some suppliers may have different terms and conditions than others, so it’s important to read through them carefully before making a decision.

3. Ask each supplier questions about their quote. If there’s something you’re not clear on, make sure to ask for clarification.

Tip 4: Consider the Impact of Inflation on Your Estimate:

It is important to consider inflation when you are estimating the cost of a construction project. Inflation can have a significant impact on the total cost of your project, as prices for materials and labor often rise over time. Make sure to factor in potential future price increases when you estimate the costs for a construction job. 

By accounting for inflation and market conditions, you can ensure that your estimate is as accurate as possible. This will help you avoid any costly surprises down the road. In this way, you can stay on top of changes in material and labor costs and ensure that you don’t end up paying more than necessary.  

Tip 5: Track Changes in the Market Prices:

Construction is a competitive market and the prices of materials are always in flux. It’s important to stay up-to-date with current market prices for materials, labor costs, and other expenses associated with construction projects. 

Keeping track of changes in material costs can help you avoid overpaying for construction items as well as spot opportunities to save money on new products or services. Researching current prices and keeping track of trends in the market can help you stay ahead of the game when it comes to estimating costs for construction projects. 

By staying up-to-date on market prices and trends, you can ensure that your construction estimates are as accurate as possible and you’re getting the best deal for your money. 

Tip 6: Apply Contingencies for Unexpected Issues:

No matter how well you plan, there are always going to be unexpected issues that come up during a construction project. That’s why it’s important to have contingencies in place to cover these unforeseen costs.

One way to do this is to build a contingency fund into your budget. This will give you some financial wiggle room if something comes up that you weren’t expecting.

Another way to deal with unexpected issues is to have a line item in your contract for them. This way, if something does come up, you can negotiate with the other party on who will be responsible for paying for it.

Whatever method you choose, make sure you have a plan in place for dealing with unexpected issues. That way, you can avoid any costly surprises down the road.

Tip 7: Make Sure You’re Working with Reliable Contractors:

Before you even start looking at numbers, make sure that any contractor you’re thinking of working with is reliable. You’ll want to check their references and reviews as well as look into what kind of experience they have in the type of work your job requires. 

Don’t be afraid to ask questions that will help you get a feel for how experienced they are and how trustworthy they are. You should also make sure they have any necessary licenses and certifications in place before starting any work. 


Mastering the skill of estimating correctly can help keep your construction business on track and save a great deal of money. It is essential to take the time and thought necessary to assess the costs accurately. Use these 7 best estimates tips to ensure that you get it right and help you save every penny possible.

You Can Also Read:
Benefits of outsourcing quantity takeoffs
Common mistakes of contractors and how to avoid them
Tips to hire an expert commercial building contractor

Harry Thomas
Harry Thomas

I know what you’re thinking. You’re a busy contractor with no time to estimate, right? Well guess who has your back?”

Our estimating service is designed with one goal: To help our clients win projects and ultimately be successful!

“It’s no surprise that many contractors are leaving money on the table,”
We’re here to provide you with a more accurate cost estimate and to take care of everything from start-to finish


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