How to compare renovation quotes: an Ontario homeowner’s example

Give every contractor the same starting point

Prepare one brief containing the property, measured rooms, current condition, intended result and product requirements. Include access restrictions, occupied areas, disposal arrangements and the work you will commission directly. If one contractor inspected the building and another only received its floor area, their figures have different levels of certainty.

Request an itemised written proposal with quantities, units, rates where appropriate and clear totals. Ask for exclusions and assumptions in their own section. “Complete renovation” cannot tell you whether protection, connection of owner-supplied appliances or permit administration is included. The federal consumer guide provides useful questions for the initial contractor conversation; the legal examples below apply to Ontario.

Understand the difference between a price and an allowance

An allowance is an amount included for a selection that is not yet settled. Record which product it covers, the quantity, tax basis and whether related labour is inside or outside it. CHBA’s contract guide distinguishes allowances and documents attached to a renovation agreement.

Suppose a quote already includes $1,500 for fixtures, but the common comparison specification uses $4,000. If the quantity and tax basis are the same, the allowance difference is $2,500. Adding the full $4,000 to that quote would count its existing $1,500 twice. Ask the contractor to confirm the revised package and any associated installation change rather than silently editing their price yourself.

A worked comparison: the initial difference disappears

The four clarifications add $5,000 to A, so both defined packages reach $45,000 before tax. This does not mean either proposal includes the authority’s actual permit charge: the example line is an administration service only. Record the official charge separately if it is outside both offers. Where the tax basis differs, reconcile that too before comparing final amounts.

If an excluded item is still unpriced, show “unresolved”. A provisional total with a visible gap is more useful than a precise-looking ranking built from guessed additions. Do not select the apparent cheapest contractor until the important scope differences have been resolved.

Ontario’s estimate rule is not a standard extra charge

Ontario’s home-renovation consumer guidance says contracts worth more than $50 must be in writing. It also explains the protection where an estimate forms part of the agreement. Section 10 of the Consumer Protection Act, 2002 addresses charges more than 10% above an included estimate and subsequent agreements for additional or different goods or services.

That rule is not a routine 10% charge to add to every invoice. Include the estimate in the agreement, identify its scope and document accepted changes. If opening a wall reveals a problem, first establish the facts and responsibilities; a new owner request, an unforeseen condition and correction of defective work are not automatically the same type of extra. A disputed contract needs advice on its actual circumstances.

Check the business behind the proposal

• Match the legal business name, contact details, contract signatory and payment recipient.
• Ask for recent references for similar work and discuss how scope changes and defects were handled.
• Establish who supervises the project and coordinates subcontractors.
• Confirm the insurance and any relevant coverage or exemption for the actual work.
• Check regulated trade credentials with the relevant regulator, rather than relying on a logo.

For commissioned electrical work in Ontario, verify the responsible Licensed Electrical Contractor. A general contractor may coordinate the project without being the electrical contracting business. If GST/HST is charged, the CRA registry can help confirm the supplier’s registration using its business details and transaction date. Registration or a licence is not a guarantee of workmanship; it is one part of identifying who is responsible.

Turn the chosen proposal into an executable agreement

Clarify what the contractor needs from you: product decisions, access, availability or a temporary move. If the schedule assumes you choose tiles next week, record that deadline. If it assumes the condo board has already agreed, verify the assumption. A programme that ignores dependencies is not made reliable by a completion date written in bold.

Choose on the full evidence, then preserve the baseline

Once prices cover the same result, assess organisation, relevant experience, references and the quality of the answers. More expensive does not automatically mean better, and equal totals do not imply identical responsibilities. Ask unresolved questions before paying an advance, while changes to the intended scope are still easy to make.

Keep the accepted documents separately from abandoned drafts. Give later amendments a date and link them to the affected work. Use Reno Pro or another register to organise stages, product decisions and recorded payments, retaining the actual agreement alongside it. Your useful baseline is the version both parties understand, not simply the last spreadsheet someone emailed.

Sources and scope

• Office of Consumer Affairs — Home renovations
• Government of Ontario — Your rights when starting home renovations or repairs
• Government of Ontario — Consumer Protection Act, 2002
• Canadian Home Builders’ Association — Contracts: Get it in Writing
• Electrical Safety Authority — About Licensed Electrical Contractors
• Canada Revenue Agency — Confirming a GST/HST account number

Sources reviewed on 18 October 2026. All amounts are Canadian dollars (CAD). Worked figures and contingency percentages are editorial teaching examples, not market averages, quotations or prescribed allowances. Ontario and Toronto rules are identified where used; check the rules and requirements for your property and jurisdiction.