The True Cost of Cheap Construction: Why Cutting Corners Can Cost You More in the Long Run

When planning a commercial construction project, cost is always a major factor. Business owners and developers naturally want to keep expenses low, but choosing the cheapest contractor or materials can often result in long-term financial headaches.

At Construction, Design, and Management (CDM), we’ve seen firsthand how low-cost construction decisions can lead to expensive repairs, project delays, and even lost revenue down the line. Here’s why cutting corners on quality can end up costing you more in the long run—and how investing in the right construction partner ensures lasting value.

1. Cheap Materials = Higher Maintenance Costs

One of the easiest ways for low-cost contractors to reduce their bid price is by using cheaper materials. While this may save money upfront, it often leads to higher repair and replacement costs later.

🔹 Examples of Cheap Material Failures:
❌ Low-Quality Flooring: Thin, subpar flooring materials wear out quickly, leading to cracking, peeling, and expensive replacements.
❌ Inferior Roofing Systems: Cheaper roofing materials often leak or degrade faster, leading to costly water damage and mold issues.
❌ Substandard Insulation: Low-quality insulation results in higher heating and cooling costs, increasing energy bills over time.

📌 The Long-Term Cost: You might save 5-10% upfront on materials, but spend 2-3x more in repairs and replacements within a few years.

✔ CDM’s Approach: We balance cost and durability, recommending cost-effective yet high-quality materials that minimize future maintenance expenses.

2. Poor Workmanship Leads to Structural Issues & Safety Hazards

Low-cost contractors often cut labor costs by hiring inexperienced workers or rushing through the job. This can lead to serious structural and safety issues.

🔹 Common Workmanship Failures:
❌ Weak Foundation & Framing: Poorly constructed foundations and framing can cause cracks, shifting, and long-term instability.
❌ Improper Electrical & Plumbing Work: Cheap installations can lead to code violations, fire hazards, or water damage.
❌ Unsealed Windows & Doors: Poor sealing results in air leaks, water infiltration, and higher energy costs.

📌 The Long-Term Cost: Fixing poor workmanship often requires tearing down and rebuilding major components, doubling or tripling original costs.

✔ CDM’s Approach: We use skilled, experienced tradespeople to ensure long-lasting structural integrity and compliance with all building codes.

3. Cheap Bids Often Lead to Costly Change Orders

Some contractors submit low bids to win projects, knowing they can make up the difference with change orders once construction is underway.

🔹 How Low Bidders Trick Clients:
❌ Bidding Low to Win the Job: They intentionally underprice the project, then claim certain work was "not included" later.
❌ Vague or Incomplete Contracts: Key project details are left out, forcing clients to pay extra for necessary work.
❌ Exploiting Design Flaws: They identify missing specifications and charge inflated prices for "unexpected" work.

📌 The Long-Term Cost: You may think you’re getting a great deal, but unexpected change orders can add 20-40% to the total project cost.

✔ CDM’s Approach: We provide clear, transparent pricing upfront, so clients know exactly what to expect with no hidden costs.

4. Cheap Construction Causes Project Delays & Business Disruptions

Low-cost contractors often lack the resources, skilled labor, or project management experience to keep construction on schedule.

🔹 Why Cheap Construction Often Leads to Delays:
❌ Missed Deadlines: Poor scheduling and understaffing lead to months of unnecessary delays.
❌ Failed Inspections: Cutting corners often results in code violations, requiring expensive rework.
❌ Supply Chain Issues: Low-cost contractors may use unreliable suppliers, leading to material shortages and stalled work.

📌 The Long-Term Cost: Delays don’t just cost money—they delay move-in dates, impact revenue, and disrupt business operations.

✔ CDM’s Approach: We use detailed project scheduling, reliable subcontractors, and proactive management to keep projects on time and on budget.

5. Cutting Corners Now Can Hurt Property Value Later

Low-quality construction doesn’t just cost more in repairs—it can reduce the overall value of the property, making it harder to sell or lease in the future.

🔹 How Poor Construction Lowers Property Value:
❌ Frequent Maintenance Issues: Prospective buyers or tenants will notice ongoing maintenance problems and low-quality finishes.
❌ Lower Energy Efficiency: Buildings with cheap HVAC, insulation, and windows are expensive to operate, making them less attractive to tenants.
❌ Outdated or Poor Aesthetic Appeal: A cheap-looking building may require a full renovation sooner than expected to stay competitive in the market.

📌 The Long-Term Cost: A building with a history of issues can sell for 10-20% less than a well-built competitor.

✔ CDM’s Approach: We focus on building for long-term value, using durable materials and expert craftsmanship to create high-quality, high-value properties.

How to Avoid the Pitfalls of Cheap Construction

To ensure your commercial project is built right the first time, here’s what to look for when selecting a contractor:

✔ Choose Quality Over Price: The lowest bid isn’t always the best value—look at reputation, experience, and past projects.
✔ Request Transparent Pricing: Avoid vague estimates—ask for detailed cost breakdowns to understand what’s included.
✔ Check References & Reviews: A reputable contractor should have a strong track record of successful projects.
✔ Verify Licenses & Insurance: Ensure the contractor is properly licensed, bonded, and insured to avoid liability risks.
✔ Ask About Materials & Workmanship Warranties: A good contractor will stand behind their work with warranties and guarantees.

📌 Thinking about a commercial project? CDM ensures your building is constructed to last—with quality, integrity, and value at the forefront.

📞 Contact us today to discuss your project!