Bid Defense Memo

Your contractor's bid has a math error.

A licensed GC (NYC + LA) will verify your contractor bid in 12 hours. Spot padded allowances, missing scope, and arithmetic gaps before you sign. Forward the memo to your contractor and watch the price drop.

How CostCheckGPT works
  1. Upload your contractor bid PDF, project ZIP, and contract total.
  2. A licensed GC checks the math, scope, allowances, license status, and market pricing.
  3. You get a forwardable Bid Defense Memo in 12 hours showing what to question, correct, or negotiate.
Get My Free Bid Defense Memo

20 free slots this month  ·  Active flippers only  ·  Bid PDF required

Licensed GC NYC (Metro Contractors, DCWP #2034005)  ·  LA (California Construction & Remodeling Experts, CSLB #1130438)
🚩 RED FLAG. $60,000 UNEXPLAINED
Stated Contract Total$287,450
Sum of Line Items$227,450
Unexplained Gap$60,000 (20.87%)
What We Check

What does CostCheckGPT check in a contractor bid?

Seven checks, one memo. Every Bid Defense Memo covers all of the following.

1 Line-item math versus the stated contract total
2 Missing, duplicated, or vague scope
3 Padded or underfunded allowances
4 License and contractor-credential issues
5 ZIP-level labor and material pricing concerns
6 Permit, demo, disposal, and trade-scope assumptions
7 Negotiation points you can send back to the contractor
How It Works

How does contractor bid verification work?

No meetings. No spreadsheets. Submit your bid, get your leverage.

1

Submit Your Bid

Upload the contractor's bid PDF through our intake form. Takes 90 seconds. We need the bid, the address ZIP, and the contract total.

2

We Run the Verification

A licensed GC reviews the bid against live permit data, ZIP-level labor and material rates, and the four-part forensic check: math, scope normalization, license verification, market calibration.

3

You Get a Bid Defense Memo

Delivered in 12 hours. Red flag, yellow flag, or green light. With the dollar figure. Forward it to your contractor if you want leverage. One client got $18K off the day they forwarded theirs.

Case Study

What does a contractor bid math error look like?

A 22-year-veteran contractor handed my client a bid for a 1,100 SF Upper West Side gut renovation. Professional presentation. Clean referral from the neighbor. Stated contract total: $287,450.

The line items summed to $227,450. A $60,000 gap. 20.87% of contract value. With no explanation.

When I flagged it, the contractor said "it's covered in overhead." Demo was already a separate line item on page 2. That wasn't an answer. That was a retroactive explanation.

My client forwarded the Bid Defense Memo to the contractor that afternoon. The corrected bid came back $41,000 lower by 4pm.

"Experience doesn't fix arithmetic."

🚩 RED FLAG. $60,000 UNEXPLAINED
Stated Contract Total$287,450
Sum of Line Items$227,450
Unexplained Gap$60,000 (20.87%)
Math CheckFLAGLine items sum to $227,450 vs. stated $287,450
Scope NormalizationREVIEWDemo line appears twice. P.1 and p.2
License VerificationPASSLicense active, no open complaints
Market CalibrationREVIEWLabor rate 1.4x ZIP 10024 median
Frankenbid Analysis

Why is the lowest contractor bid not always the cheapest?

Scope normalization changes the math. Here's the $28,000 hiding in a "general allowance" line.

ContractorStated BidNormalized BidDelta
Contractor A$94,500$94,500$0
Contractor B$118,000$118,000$0
Contractor C$79,800$97,800 – $107,800+$18K–$28K

Contractor C had a $10,000 "general allowance" that itemized to $18K–$28K in real scope.

Why It Matters

Why should you review a contractor bid before signing?

Budget overruns and contractor disputes are common, not rare. Three data points from public sources:

31%

Autodesk summarizes KPMG research indicating that only 31% of construction projects came within 10% of budget over a recent three-year period.

Source: Autodesk / KPMG ↗
$200

NYC states that home improvement contractors performing work costing more than $200 must have a DCWP license. Yet not all bids include a verifiable license number.

Source: NYC 311 / DCWP ↗
Top 4

Cost overruns, change orders, permit issues, and payment disputes are among the most common sources of construction disputes for homeowners and investors.

Source: Ansbacher Law ↗
Pricing

How much does contractor bid review cost?

Investors closing 3 to 12 deals a year get a subscription. Single bids always available at entry level.

Or get your first memo free. 20 slots this month. Apply here →
Single Bid
Bid Defense Memo
$249

Full forensic review of one contractor bid. Delivered in 12 hours. Forward it to your contractor.

  • 1-page Bid Defense Memo
  • Verdict with dollar exposure
  • Top 5 flags identified
  • Missing scope list
  • Negotiation script included
  • 12-hour delivery
Buy a Memo

Learn more about the Bid Defense Memo  ·  Learn more about Investor Pro

The Founder

Who reviews your contractor bid?

I'm Richard Golding. I run Metro Contractors in New York and California Construction & Remodeling Experts in Los Angeles. I'm a licensed General Contractor in both markets. CSLB #1130438 in California, DCWP #2034005 in New York. I built CostCheckGPT because I sat across from too many investors who were about to sign bids with $40K, $60K, $100K problems in them that no one was going to catch until the project was half-done. If you have a bid in hand right now, send it to me.

🏛️ Licensed GC (2 states)
🛡️ $1M / $2M Insurance
🔨 22+ years construction
📍 Serving NYC, LI, LA, OC, SFV
FAQ

What should you know before submitting a contractor bid?

What is CostCheckGPT?
CostCheckGPT is a contractor bid verification service that produces a licensed-GC-reviewed Bid Defense Memo to help homeowners and real estate investors spot math errors, padded allowances, missing scope, and market-pricing issues before signing.
What is a Bid Defense Memo?
A Bid Defense Memo is a concise, forwardable review of a contractor bid that identifies the most important pricing, math, scope, license, and market-calibration issues so you know what to question or negotiate. It is designed to be sent directly to your contractor.
Is the first Bid Defense Memo really free?
CostCheckGPT offers a limited number of free first memos each month for qualified active flippers who have a real bid PDF, a real project starting within 60 days, and at least one prior flip. No credit card required.
How fast is the turnaround?
Free Bid Defense Memos are positioned for 12-hour delivery. Investor Pro subscribers receive priority 6-hour turnaround.
Can I share the memo with my contractor?
Yes. That is the point. The memo is written to be forwardable. Most contractors revise their bid within 24 hours of receiving one. You can show the contractor the specific items that need clarification, correction, or negotiation.
What does CostCheckGPT check in a contractor bid?
CostCheckGPT checks bid math, scope normalization, missing or duplicate scope, contractor license status, allowances, and whether quoted labor and material costs appear reasonable for the project market. See the full checklist above or read about common contractor bid red flags. For a step-by-step self-review checklist, see the contractor bid review checklist.
How do I know if my contractor estimate is overpriced?
The clearest signals: line-item rates above ZIP-level market norms, allowances set too low for the spec, a contract total that does not reconcile with the sum of line items, and scope that appears more than once across bid sections. A Bid Defense Memo checks all of these and returns a verdict with the dollar exposure. For a full walkthrough, see how to know if your contractor estimate is overpriced.
What happens if the contractor bid is clean?
If the bid is clean, the memo returns a green-light result and gives you more confidence before signing. That certainty is worth the review price on its own.
Who is CostCheckGPT for?
CostCheckGPT is for homeowners, active flippers, real estate investors, hard-money borrowers, and capital partners who want a contractor bid checked before committing to a renovation contract. See how to review a contractor bid for more context.
What does the Investor Pro plan include?
Investor Pro includes up to five Bid Defense Memos per month, priority 6-hour turnaround, quarterly market calibration reporting for your ZIP, and rollover unused bids. It is $499/month.
Does CostCheckGPT work with hard-money lenders and capital partners?
Yes. Enterprise arrangements are available for hard-money lenders and capital partners who want bid verification built into their underwriting workflow. Contact [email protected] to discuss. For background on what lenders look for in a rehab budget, see how hard money lenders evaluate rehab budgets.
Learn More

Contractor bid review resources

Deep-dive pages on specific topics.

CostCheckGPT is a contractor bid review and estimate verification service. A licensed General Contractor — Richard Golding, Metro Contractors DCWP #2034005 (NYC) and California Construction & Remodeling Experts CSLB #1130438 (CA) — reviews each bid and delivers a forwardable Bid Defense Memo within 12 hours. Every review covers line-item math errors, scope normalization, padded or underfunded allowances, contractor license verification, and ZIP-level market pricing. CostCheckGPT is used by homeowners, active flippers, real estate investors, and hard-money borrowers before signing renovation contracts. Single reviews are $249 per bid. Active flippers may qualify for a free first review. Investor Pro ($499/month) covers up to five reviews per month at priority 6-hour turnaround.
Bid Defense Memo What it is, what it checks, and how to order one. Contractor Bid Review How to review a bid before signing. Checklist included. Investor Pro Monthly subscription for active flippers and investors. Scope Normalization Why the cheapest bid often isn't. With the LA example. Contractor Bid Red Flags 10 warning signs to look for before you sign. Bid Review in NYC NYC-specific contractor licensing and bid review context. Bid Review in Los Angeles LA-specific licensing, allowances, and bid review context. Where to Get a Contractor Bid Reviewed Licensed GC vs. AI vs. general estimate services. What actually works. Best Contractor Estimate Review Services How the main options compare and when to use each one. What Is a Bid Defense Memo? A plain-language explanation of what the memo covers and why it works. Can AI Review a Contractor Bid for Overcharges? What AI tools get right and wrong when checking contractor estimates. How to Review a Fix-and-Flip Renovation Budget A practical checklist for investors reviewing rehab contractor bids. Is My Contractor Estimate Overpriced? Four signals that a contractor bid is priced too high — and one that gets missed. Contractor Bid Review Checklist A step-by-step printable checklist for reviewing any renovation bid before signing. House Flipper Rehab Bid Checklist What investors need to verify in a contractor bid before approving a rehab budget. Licensed GC vs. AI Contractor Bid Review Tools What each option actually catches — and when a licensed GC review is the right call. How to Negotiate Contractor Bid Overcharges A practical guide to pushing back on overpriced line items once you have the flags. How Hard Money Lenders Evaluate Rehab Budgets What lenders look for in a rehab budget — and how a bid review supports loan approval. How Accurate Are Contractor Estimates? Estimate variance, overrun risks, and how to tighten a bid before you sign. What a GC Looks for in a Renovation Bid How a licensed GC reviews scope, allowances, permits, math, and risk. What Should Be in a Kitchen Remodel Bid A kitchen-specific scope and allowance checklist for reviewing bids before signing. Realistic Bathroom Remodel Allowances Bathroom-specific allowance benchmarks and red flags for low allowances. Does Your Renovation Bid Include Permits? How to identify permit responsibility, fees, exclusions, and inspection risk. What Is Scope Normalization? A construction-specific guide to scope normalization and why it changes bid comparisons. Red Flags in a Home Renovation Bid The most common warning signs in renovation contractor bids and what each one means. Hidden Costs in Contractor Estimates Line items and exclusions most likely to generate change orders after signing. How Investors Review Rehab Bids The investor-specific checklist for evaluating rehab bids before committing capital. How to Check Contractor Allowances How to evaluate whether stated allowances are adequate for the project spec and market.
Ready

Your next contractor bid is about to change.

Submit the bid. Get your memo in 12 hours. Know exactly what to push back on before you sign.

Get My Free Bid Defense Memo