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April 21, 2026

Why I Avoid Cost-Plus Contracts

Quality homes at honest prices — our mission since 2007Quality craftsmanship without the markup gamesThe same commitment to quality we'd expect for our own homesQuality homes at honest prices — our mission since 2007Quality craftsmanship without the markup gamesThe same commitment to quality we'd expect for our own homes
Quality homes at honest prices — our mission since 2007Quality craftsmanship without the markup gamesThe same commitment to quality we'd expect for our own homesQuality homes at honest prices — our mission since 2007Quality craftsmanship without the markup gamesThe same commitment to quality we'd expect for our own homes
Why I Avoid Cost-Plus Contracts
  • April 21, 2026
  • 1 min read

Some builders prefer cost-plus contracts because they eliminate risk for themselves—any cost increase, inefficiency, or mistake becomes the customer’s problem. I’ve chosen a different path with fixed-price contracts, a conviction based on fairness and transparency.

Fixed-price contracts require me to excel at estimating accurately, building efficiently, and managing costs carefully. If a mistake occurs or materials cost more than anticipated, it’s my responsibility, not yours. This approach aligns both of our interests. We both enjoy the outcome when projects run smoothly, and I shoulder the burden if they don’t. Cost-plus contracts reverse this dynamic, allowing builders to profit from rising costs, which creates an incentive structure that can work against the customer.

After building 2,000+ homes, I’ve shown that fixed-price contracts are not just workable—they’re essential when you’re truly skilled at your craft. If I wasn’t good at estimating costs or managing projects, I’d have gone bankrupt years ago. My commitment to fixed pricing reflects my confidence in delivering honest results while providing you with the peace of mind you deserve.

If you’re considering building a home and want to ensure fairness and transparency in your contract terms, give me a call at (469) 853-7952 to discuss how we can create a super solid house together at a fair price.

Frequently Asked Questions

Why does your company avoid cost-plus contracts?

Cost-plus contracts shift risk to the customer and create incentives for higher costs, which doesn't align with our values at S. Clements Homes. We believe in fairness and transparency, supporting this with fixed-price contracts.

What are the benefits of fixed-price contracts?

Fixed-price contracts ensure all responsibilities for risks lie with the builder, encouraging accuracy and efficiency. At S. Clements Homes, this means customers pay what they expect, no matter what.

How does S. Clements Homes build trust with customers?

We use fixed-price contracts to promote transparency and reliability. Our customers know what they'll pay, and we've proven our commitment to honesty by successfully building over 2,000 homes this way.

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Quality homes at honest prices — our mission since 2007Quality craftsmanship without the markup gamesThe same commitment to quality we'd expect for our own homesQuality homes at honest prices — our mission since 2007Quality craftsmanship without the markup gamesThe same commitment to quality we'd expect for our own homes
Quality homes at honest prices — our mission since 2007Quality craftsmanship without the markup gamesThe same commitment to quality we'd expect for our own homesQuality homes at honest prices — our mission since 2007Quality craftsmanship without the markup gamesThe same commitment to quality we'd expect for our own homes

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