Conceptual estimating occurs early on during the pre-construction phase of a building project and is a preliminary estimate of total construction cost. The estimate is intended to provide generalized cost information before any construction work begins. This allows for plans to be made with future costs in mind.
What is conceptual level cost estimate?
Conceptual cost estimating is done during the pre-construction stage of a project. The estimate gives the owner greater insight to manage the overall cost control program. The conceptual cost estimate will provide the first check against your project budget.
What are the three types of construction cost estimates?
- Design Estimates. Design estimates are first prepared at the very outset of a project – during the pre-design and design phases of the project.
- Bid Estimates.
- Control Estimates.
What is the concept and construction of project cost?
Project Cost is the total funds needed to complete the project or work that consists of a Direct Cost and Indirect Cost. The Project Costs are any expenditures made or estimated to be made, or monetary obligations incurred or estimated to be incurred to complete the project which are listed in a project baseline.
What is conceptual in construction?
Conceptual estimating is the first predesign effort made to determine a project's cost and is usually a part of the feasibility analysis of a project. It tells the owner the anticipated costs before contemplating a project's feasibility and further development.
How do you structure a construction estimate?
- A detailed project scope outline/description of work being done from prep to cleanup.
- List of materials needed.
- Itemized breakdown of material, labor, equipment rental, overhead, and profit margin costs.
- Total cost of the job.
- Payment terms and due dates.