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Change orders in remodeling: what they are and how to avoid budget overruns
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Change orders in remodeling: what they are and how to avoid budget overruns

October 10, 2026 6 min readUpdated October 10, 2026By Novara Construction

Why change orders happen, how they should be priced and approved, and practical ways Houston homeowners keep them — and their cost — under control.

Quick answer

A change order is a written amendment to the contract that changes scope, price or schedule after signing. They happen because of homeowner changes, hidden conditions found during demolition, or code requirements. The best ways to limit them: finish selections before construction, get a detailed scope, budget a contingency, and require every change in writing with cost and time impact before work proceeds.

Why change orders happen

Three common sources: you change your mind or add work, something hidden is discovered (rot, outdated wiring, slab issues), or an inspector requires a code upgrade.

How a change order should work

It should describe the change, the price, the schedule impact, and be signed before the work is done. Verbal changes are the main cause of disputes.

Reduce changes before you start

Make selections early, review drawings carefully, ask how hidden conditions will be priced, and walk the site with your contractor before demolition.

Use your contingency wisely

Reserve contingency for true surprises, not upgrades. Track it so you always know how much is left.

Planning a project? Read our Ask Novara answers, describe your project on the project request page, or call (281) 889-1068. Novara Construction serves Houston, Katy, Sugar Land, The Woodlands, Cypress, Pearland and Spring.

Change order sources and prevention

SourceExamplePrevention
Homeowner changeUpgrade tile mid-projectFinalize selections early
Hidden conditionRotted subfloor under tubContingency; inspection before demo
Code requirementRequired electrical upgradeAsk about code items up front
Unclear scopePaint not includedDetailed written scope

In pictures

Finished remodeled living space
Clear scope and early selections reduce changes. Illustrative image.

Frequently asked questions

Are change orders a sign of a bad contractor?
Not necessarily. Hidden conditions are common in remodeling. What matters is that changes are documented and priced before work proceeds.
Should I pay for change orders immediately?
Follow your contract. Many contracts add approved change orders to the next progress payment.
Can a contractor refuse a change?
They can decline work outside their scope or expertise, or that would violate code.
How do I avoid surprise costs from hidden damage?
Ask how hidden conditions will be priced, and keep a 10–15% contingency.

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