Why Your Contractor Charges a 20% Markup and Why It’s Worth It

If you’ve ever reviewed an estimate from a contractor and noticed a 20% markup on materials or parts, you might have wondered: What exactly am I paying for?

At Room with a View, we believe in transparency. That 20% markup is not just about profit. It plays an important role in providing you with protection and peace of mind long after the job is done. Here’s how it works.

What Does the Markup Cover?

1. Warranty Support

When you purchase a part through a contractor, you are not only buying the product. You are also getting the contractor’s commitment to support that product after installation. That 20% markup helps cover the cost of:

• Troubleshooting and diagnosing any problems

• The labor and coordination involved in removing, replacing, or repairing the part

• Filing claims with the manufacturer and managing any necessary returns or replacements

In other words, you are not just paying for materials. You are paying for service and accountability. If a faucet leaks a month after installation or a shower valve malfunctions, we handle it, so you don’t have to.

2. Time and Expertise

Selecting the right materials, arranging deliveries, and checking products for defects all take time. Contractors rely on their experience to choose quality parts that are compatible with your project. This helps ensure everything works properly the first time and saves you from making costly mistakes.

3. Risk Management

If you choose to buy parts yourself and something goes wrong, the labor to fix or replace those parts might not be covered. When a contractor provides the parts, both the product and the installation are supported by the same team. This eliminates confusion, reduces risk, and protects your investment.

The Bottom Line: You’re Paying for Protection

The 20% markup is not a hidden fee. It functions as a built-in warranty and support system. It ensures that your project is completed with quality materials and that you will not be left on your own if something fails in the future.

At Room with a View Contractors, we stand by the products we install and the work we do. The markup helps us deliver that level of service and peace of mind to every homeowner.

Have questions about your estimate or upcoming project? We’re happy to explain every line. Contact us today to discuss more!