Why the figure moves
Most renovation budgets do not grow because someone is dishonest. They grow because the quote described a different project from the one that gets built: a choice left open, a wall that turns out to be worse than expected, a change asked for on site and never priced. In an old building, and above all in Venice, the second kind of surprise is certain. The question is how much of it the budget already expects.
How a quote is built
- The bill of quantities (computo metrico estimativo) lists every item with its quantity and unit price. It is the only basis on which two quotes can be compared fairly. Ask for it, and for the drawings it was measured on.
- Lump sum or by measure. A price a corpo is fixed for the works described; a price a misura is paid on the quantities actually carried out. Lump sums give certainty only if the description is complete.
- Regional price lists. Each region publishes reference prices for building works. They are useful to judge whether a unit price is reasonable.
- What is left out. Scaffolding, protection of finished surfaces, waste disposal, transport and, in Venice, boats and the fee for occupying public ground often sit outside the main quote.
Changes during the works
Every change should be written, priced and agreed before it is carried out, with its effect on the date. A change accepted by phone on site is the most common way a budget is lost. Keep a running list of approved changes next to the original quote, so the current total is always known.
Set aside a contingency for what nobody can see before opening the walls. In an old building, ten to fifteen per cent of the works is a common starting point; for a listed building in poor condition, more.
Paying as the work progresses
Works are usually paid in instalments against measured progress (stato avanzamento lavori), checked by the works director. Keep a final share until the snags are closed and the certificates are delivered. Pay only against invoices, and by traceable bank transfer.
VAT and tax credits
Renovation works on homes often carry reduced VAT at ten per cent, with limits for some valuable goods; other works carry the standard twenty-two per cent. Owners who pay Italian tax may also claim a renovation tax credit spread over ten years, at a rate that depends on the year and on whether the home is a main residence. Rates and rules change with each budget law, and the payments must follow a set format, so confirm them with your accountant before the first invoice.
Keeping it in hand
The owner's protection is simple: a complete description before the quote, one list of changes, payments tied to progress, and someone on your side who checks the figures against the site. That is part of what Gibson does on every renovation it manages.
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