Wealthy Builder

Blog Article:

Why Most Custom Home Builders Are Losing Money By Bidding Against Other Builders (And What To Do Instead)

In today’s competitive market, too many custom home builders find themselves trapped in a cycle of bidding against other builders. They spend countless hours preparing detailed proposals, only to lose out to lower bids or, worse, win projects with razor-thin margins that leave little room for inevitable challenges.

But what if there was a better way?

Dave Reagan, a 35-year veteran builder, discovered a system that completely eliminates the need to bid against other builders. Instead of competing on price, he gets paid upfront and maintains healthy margins on every project.

The Secret? Pre-sold Custom Homes

The traditional model of bidding against other builders is fundamentally flawed. Here’s why:

  1. You’re Starting from a Position of Weakness – When you’re one of multiple builders bidding on a project, you’re immediately commoditizing your services. The conversation becomes primarily about price rather than value, expertise, or relationship.
  2. You’re Investing Time with No Guarantee – Every hour spent preparing a bid is time you could spend building relationships with future clients. Most builders spend 15-20 hours on each bid, with success rates often below 25%.
  3. You’re Accepting Unnecessary Risk – When you win a bid by being the lowest price, you’re starting the project with minimal margin for error. Any supply chain issues, weather delays, or scope changes can quickly turn a tight profit into a loss.

The Better Approach

Instead of competing on price, successful builders are:

  • Building trust before discussing price
  • Getting paid upfront for their expertise
  • Maintaining control of the entire building process
  • Creating partnerships instead of transactional relationships
  • Scaling their businesses without risking their own capital

Real Results in Action

Consider Dave Tetlow of Tetlow Homes, a first-time builder in Connecticut who used this system to land a $1 million project with zero money down and no bidding required. Or Jeff Walsh of Walsh Design & Build in Illinois who secured an 16 lots using the same strategies and pre-sold a $1.3 million custom home.

These aren’t isolated successes. Builders across America are using this proven system to:

  • Close deals faster
  • Maintain higher margins
  • Reduce stress and uncertainty
  • Build their reputation in their local market

Ready To Get More Custom Home Deals While Minimizing Your Risk & Needing Little To No Capital?

If you’re tired of losing money and time in bidding wars, there’s a better way. Our Fast Track Ready-to-Go Toolkit shows you exactly how to:

  • Position yourself as the trusted builder in your market
  • Get paid upfront without using your own money
  • Build a sustainable, profitable custom home business

For just $50 – less than the cost of a tank of gas – you can get immediate access to our complete system and start transforming your building business today.

Click here to learn more about the Toolkit and how to get access.

 Click ‘START HERE’ to watch Dave explain exactly how our Fast Track Ready-To-Go Toolkit System works and get all the details about getting started with it.