Bill BrownFounder of ServiceTitan Hacks community (9k+ pros) | INC 5000 Contractor | Helping contractors win with AI & Automation

Builder Volume vs. Homeowner Leverage #shorts

11 Jun 2026 · 1 min

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A contractor had to submit a detailed pricing sheet to a builder showing raw material costs, supplier prices, and profit margins for every line item. The builder's high volume gives them leverage to demand this transparency from suppliers. Homeowners lack that purchasing power and can't get the same breakdown.

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Now remember the contractor bringing me in and he said, hey, we need to look at the pricing on these systems because I got to fill out this sheet for the builder. And when I looked at the sheet for the builder, it had all the raw material costs. You're like, how much are you paying for this item from the manufacturer? How much are you paying for this sheet metal from the distributor? And it had the dollar amount and the percentage amount of profit and income that would go to the owner of the company, right? On like the most detailed line item you could possibly ever see. How much is the owner of this company going to make off this particular house? And The reason I bring that up is the only reason that was possible, the only reason that was appropriate, and the only reason someone complied with that was because the builder had so much volume and leverage, right? Homeowner has a— the homeowner has the leverage, but they need a little something, right? They need a little something.