Change orders — what they are and how to handle them
This article is for educational purposes only and is not a substitute for professional advice. Local codes, regulations, and best practices vary by region.
Changes happen during projects. You want a different color. Walls come down and reveal unexpected damage. You decide to expand the scope. A change order documents these changes and their cost and timeline impact.
Without change orders, disputes arise. “You said this was included.” “No, that’s an extra.” A change order prevents this by documenting what’s changing and what it costs.
What a Change Order Is
A change order is a written agreement that modifies the original scope of work. It specifies what’s changing, the cost impact, and the timeline impact.
Both you and the contractor sign it before the work proceeds.
A change order protects both of you by making agreements clear.
When Change Orders Happen
You request a change. “Instead of that cabinet style, I want this one” or “Can we add a window in that wall?”
The contractor discovers something unexpected. “There’s rot in the subfloor that needs replacing” or “The existing pipes are in a different location than we expected.”
Conditions require adjustments. “We need to install a support beam, which wasn’t in the original scope.”
You want to add work. “While you’re doing the kitchen, can you also paint the hallway?”
What Should Be in a Change Order
Description of the change. What exactly is being added or modified.
Cost. How much the change costs. Be specific: “$500 additional for upgraded cabinet handles.”
Timeline impact. How long the change takes and how it affects the project schedule. “Adds 2 days to completion.”
Reason. Why the change is happening (homeowner request, unexpected condition, etc.). This is helpful context.
Signatures. Both you and the contractor sign and date.
Both parties keep a copy.
Common Change Order Mistakes
Not getting it in writing. A verbal agreement about a change almost always leads to disputes. Always document changes.
Not confirming cost before proceeding. If the contractor says “We’ll figure out the cost later,” that’s a red flag. Cost should be agreed before work starts.
Vague descriptions. “Fix the problem” doesn’t describe what problem or what the fix is. Be specific.
Not confirming timeline impact. If a change adds a week, you need to know that upfront.
Letting changes accumulate. Multiple small changes add up. Each one needs documentation.
When Contractors Suggest Changes
If the contractor identifies necessary changes, they should present a change order before doing the work.
Read it carefully. Understand what’s changing and why. If the reason is unclear, ask.
If the cost seems high, ask for justification or get a second opinion.
You have the right to decline a change if you don’t want it. But declining might leave the problem unresolved, so understand the implications.
When You Request Changes
Request changes in writing if possible. Email or text, not just verbal.
Be specific about what you want.
Ask the contractor how much it costs and how long it takes.
Once the contractor provides a change order, review it carefully before signing.
Don’t expect free changes. Changes cost money (materials and labor) and time (schedule impact). Budget for these.
Budget Management During Changes
Set aside a contingency budget (usually 10-15% of the project cost) for unexpected changes.
If changes exceed the contingency budget, you need to cut scope or add budget.
Track changes and their costs. Multiple changes add up fast.
Say no to unnecessary changes. Not every change improves the project. Some are nice-to-haves that don’t justify the cost and delay.
Preventing Excessive Changes
Finalize the scope before work starts. The clearer the original scope, the fewer surprises and requested changes.
Make decisions promptly. Waiting on decisions doesn’t prevent changes; it just delays everything.
Stick to the plan. Once the contract is signed, resist the urge to constantly modify things.
Expect some changes (unexpected conditions) but minimize optional changes.
The Reality
Some changes are necessary. Some are improvements you genuinely want. Both are fine, but they need to be documented and budgeted.
Undocumented changes lead to disputes. A change order is your protection.
A contractor who resists documenting changes is problematic. Professional contractors document everything.
© The Whole Home Guide