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Change order markup
Change order markup is the percentage the builder adds to cover overhead and profit on change work.
Why it matters
Markup affects final cost. Clear markup rules reduce conflict when changes happen.
Where people get this wrong
Markup is normal. The key is agreeing on fair markup up front. A flat change fee can punish normal changes.
Real-world example
You add a 1,000 dollar fixture upgrade. The invoice shows 1,250 because the builder adds markup. If markup is defined up front, that conversation stays calm.
Where this hits your build
This comes up early, before construction starts. It affects your contract, your budget, or both. Misunderstanding it can cost you money or leverage.
Most people do not just struggle with terms. They struggle with the decisions tied to them.
See how HouseChalk helps with the decisions behind terms like this