The BuildBook Construction Glossary

An allowance is an amount of money set aside in a construction project to cover the cost of materials and services that have yet to be determined.

An assembly is a cost item that may include the labor, material, and equipment needed to construct a project component.

A Change Order in residential construction is a legal document that can be used to alter or modify an already existing contract between two parties.

A construction estimate is a document prepared by a contractor or estimator that provides a potential client with an estimated cost for their proposed construction project.

Construction estimating software is an application designed to help streamline and improve the estimating process for construction projects.

Construction management is the comprehensive planning, coordination, execution, and control of all processes involved in the development and completion of a construction project.

Construction management software is an application that assists in the creation and implementation of construction projects.

A construction manager is an individual with specialized expertise and knowledge in managing various aspects of construction projects.

Construction scheduling software is an application used to create, manage, and optimize working timelines for construction projects.

A cost category is an individual division that allows you to organize your cost codes with numeric alignment.

A cost code is a classification used to map individual project costs for accounting as well as financial reporting.

A cost library or price book is a list of standard construction costs for items, products, and services that are offered.

A cost-plus fee contract is an agreement whereby the client agrees to pay all of the project costs plus a set fee to the contractor for managing the project.

A daily log is a written record of the progress and activities of a construction project on any particular day.

Dependencies are items within a construction project where one item is dependent on the completion of another item in order for it to begin.

Design-build is a process whereby a single entity, such as an architect, builder, or contractor, is responsible for both the design and the construction of a project.

A fixed-fee contract is an agreement between a homeowner and a contractor to complete a project for agreed-upon set amount.

A Gantt chart is a type of bar chart used in project management to illustrate the timeline and progress of residential construction projects.

A general contractor is an individual or company responsible for managing the overall process of a residential construction project.

Job costing is a method of accounting used to track all the costs associated with a specific construction job or project.

Lean construction is a method of optimizing the building process to eliminate or minimize waste and maximize efficiency.

A lien waiver is a legally-binding document which relinquishes one parties right to enforce a lien against another party for services rendered or goods provided.

Material selections describe the choices and decisions a homeowner makes in regard to the way the home will look when it’s finished.

A payment schedule is a document that outlines the terms and timeline of payments on a construction project.

A phase in a construction project is a series of distinct steps taken to complete the entire construction process.

A production builder is an individual or company that specializes in constructing a large numbers of homes in a housing development.

A punch list is an itemized list of tasks that need to be completed in a construction project before it can be declared as complete.

A request for information (RFI) is a document to ask specific questions about essential aspects of a particular construction project.

A request for proposal (RFP) is a document that is created and submitted by a potential contractor to a homeowner or property owner in order to secure a project.

Scope creep is when changes or additions are made to an existing project, which have not been included in the initial agreement between the contractor and client.

A Scope of Work (SOW) is an agreement between a contractor and a homeowner, specifying the details of the work to be performed.

A spec home is a term that refers to an unoccupied house built by a builder or developer before the sale of the home has been arranged.

A subcontractor is a person or business hired by a general contractor to provide some of the labor, materials, or services required for the overall completion of a construction project.

A submittal is a document or package of documents intended to provide detailed information about the products and materials being supplied for a construction job.

A construction takeoff is the process of accurately determining and calculating all materials, products, services, and labor required to complete a construction project.

Tasks are the individual items within each phase of a construction project that need to be completed in order to continue progress.

A trade school is a specialized educational institution that focuses on equipping students with the skills, knowledge, and hands-on training required for various professional trades.