The Perfect Storm: How Global Disruptions Are Reshaping Construction Costs and Timelines
Download MP3Key Topics Covered:
- Hidden supply chain problems beyond just lumber prices affecting home building, general contracting, and remodeling projects
- Critical building components at risk of delays including garage doors, gutters, paint, adhesives, caulking, and roof supplies
- Bottleneck effects where missing single components like garage doors can prevent certificate of occupancy and project completion
- Domino impact on scheduling when one delayed part affects entire work crew schedules and subsequent trades
- Contractor relationship management and the importance of having flexible subcontractor arrangements to "play tetris" with schedules
- Contractual risks including potential builder contract exits, repricing clauses, and cost escalation provisions
- Equipment rental costs escalating when projects face 30+ day delays from supply chain issues
- Substitute materials concerns and risks of accepting inferior products when standard supplies aren't available
- Alternative sourcing strategies including online purchasing and retail outlets like Home Depot when commercial suppliers fall short
What Homeowners Can Do:
- Demand contingency planning from contractors before starting projects
- Ask specific questions about how builders plan to handle supply chain disruptions
- Avoid blank check agreements that allow unlimited cost increases
- Ensure contract protections against defective equipment or materials substitutions
- Verify builder experience in managing supply chain challenges and project delays
Key Takeaway:
Supply chain disruptions affect more than just pricing—they can derail entire project timelines, trigger contract issues, and force material substitutions that compromise quality. Smart homeowners need contractors with solid contingency plans and flexible scheduling capabilities.
Supply chain disruptions affect more than just pricing—they can derail entire project timelines, trigger contract issues, and force material substitutions that compromise quality. Smart homeowners need contractors with solid contingency plans and flexible scheduling capabilities.
