Keeping The Budget

As I completed paperwork on another custom project recently, I reported to the Owners that we finished the project under budget. I was as happy to report it as they were to hear it. It is my commitment to always complete projects at or under budget, and so far, we have completed 100% of our custom project under budget. Going over budget is endemic to the construction industry, so how do we accomplish this?

Detailed and Conservative Estimating: When I prepare bids on a project, I use a very detailed Item List in my Quickbooks Accounting software to ensure that all costs are captured. Fixed quotes are also obtained for all significant scopes of work. My process ensures a thorough and conservative estimate up-front. When I was an Engineer at McGuire Nuclear Station, our mantra was “conservative decision making and a questioning attitude”. This guidance has served me well in my business as well as in my personal life.

Holding vendors to their quotes: In building custom projects, issues always emerge by doing something that has never been done before. The risk of “cost creep” is always present as issues are faced that were not anticipated up front. My contracts with my trades require them to obtain written approval for any job scope changes before the work is done. One of my cardinal rules is to never allow any vendor to assume that they have a blank check. To paraphrase the words of Warren Buffet: Always get it in writing up front – when you have the most leverage.

Responsible management of change orders: In the event that deviations from the plans and specifications are desired, change orders are used to track such changes and to reset the budget. Change orders can increase – and can also decrease – the budget. My goal is to get a detailed estimate of the cost of such changes up front (again while my leverage is the greatest), and present the change order to the clients before the work is done. That way, there are no unpleasant surprises that are so often faced by Owners in the custom home building process.

Tracking actual costs against estimated costs: With my Quickbooks Accounting software, I can easily generate reports to track in detail actual costs against the original budget.
I run these reports periodically and share them with clients upon request to help ensure that we stay under budget.

My commitment to hold to the budget is tenacious. One reason is because I was conditioned that way when I built my first home which was my own. Naturally, I was not happy whenever I felt that was going over budget, and I still respond that way. On my last project, I was so determined to keep the budget that I performed some of the work myself. It is always a happy occasion to report to my clients that that we are under budget, and I intent to always keep it that way.




The lovely interior of a home designed by E. Frank Smith Residential Design that we recently completed. The mantle is hand-carved marble, and the firebox is reclaimed Ludowici tiles cut and installed in a herringbone pattern. This project, like all custom projects built by Goodwin Classic Homes, was completed under budget

2011: A Very Busy Year for Goodwin Classic Homes

As 2011 comes to a close, I’d like to share with you of some exciting projects that we’ve worked on this year. It has been quite a long time since my last posting, and I regret the long absence. Perhaps I've spent too much time in the business and not on the business. Whatever the case, I am committing to more frequent postings. It is the time for new years’ resolutions, after all!

We completed two major projects, and are about to complete a third. All were beautifully designed by E. Frank Smith Residential Design. Earlier this year, we built a pool pavilion and terrace with an outdoor kitchen. The stone pavilion features a barrel tile roof that is simply magnificent. By a stroke of luck, we found reclaimed “Spanish S” barrel tiles manufactured by the Ludowici Tile Company almost 100 years ago. The broad color range mimics that of authentic Spanish barrel tiles. Having visited Spain in January and seeing the broad and beautiful color range of Spanish barrel tiles, it was a privilege to deliver such tiles to my clients. And no worry, these permanent, 100 year-old tiles have only begun their useful life!

We also had the privilege to complete structures for a lovely English home in Myers Park consisting of a quaint guest cottage, a garage with upstairs apartment, and extensive garden structures including a large and lovely Koi Pond.

The third project is multi-faceted, consisting of a loggia/patio/outdoor cooking area, a detached addition (we call it the “hockey house”), and last but not least, a synthetic ice hockey rink complete with professional dasher boards. It has been a great pleasure to deliver such a unique project to my hockey-loving clients.

Given the precipitous drop in new home construction, Goodwin Classic Homes has adapted by building unique and technically challenging projects for outdoor living spaces and entertainment areas as well as additions and renovations of existing homes. In 2011, we also created our Restoration and Repair Services division for small residential projects for which demand has been very high.

Latest Project by Goodwin Classic Homes is Awarded Gold Certificate for Green Building

A green home building project recently completed by Goodwin Classic Homes was certified gold through the National Green Building Guidelines. This is the highest rating attainable through the guidelines. The program requires third party inspections to ensure compliance with the guidelines to maximize energy efficiency, water efficiency, indoor air quality, resource efficiency, and other green building focus areas. The home features spray foam insulation, a high-efficiency tankless water heater with built-in recirculation pump, a hybrid heat pump, low VOC paints, formaldehyde-free building materials, recycled materials such as Buckingham roofing slate, and many other green building features.

With regard to energy efficiency, the Energy Star index for this home was 62, meaning that it is significantly more efficient than a certified Energy Star home meeting minimum Energy Star standards. The summer, 2010 power bills for this home were remarkably low (approximately $200) given the large size of the home (almost 7000 square feet) and the abnormally hot summer weather.

Goodwin Classic Homes is committed to aligning green building practices with the client's vision in order to minimize overall cost to homeowners as well as the environment.


This finely architected home was built to the highest of standards by Goodwin Classic Homes. The project was certified gold through the National Green Building Guidelines.

Phil Goodwin Earns Certified Green Professional (CGP) Designation

Green Building is much more than a trend. It is the future of building.

The Environmental Protection Agency estimates that buildings in the US account for 39% of total energy use, 68% of total electricity consumption, and 38% of carbon dioxide emissions. And most of that energy is wasted unnecessarily. Dramatic improvements in energy efficiency are gaining momentum, as well as other green building focus areas such as indoor environmental quality, resource conservation, water efficiency, and environmental impact.

I recently earned my designation as a Certified Green Professional. This program is sponsored by the National Association of Homebuilders, and it is endorsed by the American National Standards Institute (ANSI). Given the ANSI endorsement and its user-friendly methodology, it is rapidly gaining popularity in residential homebuilding.

My goal is to incorporate green building principles in homebuilding while lowering overall cost so that my homes are more efficient, healthier, and are of significantly less impact on the environment. Green building is no trend. It is the future of building, and Goodwin Classic Homes is proactively and aggressively embracing that future.

Goodwin Classic Homes to Showcase Myers Park Model Home in First Annual Luxury Lifestyle Home Tour

Goodwin Classic Homes was recently selected by the Home Builders Association of Charlotte to participate in Charlotte's first annual Luxury Lifestyle Home Tour. The Tour is a showcase of the combined talent of residential design professionals and master builders. Guests will view a beautiful palette of interior and exterior architecture and finishes, rare architectural elements, and artwork. Other attractions include an art show, a wine and cheese tasting, and a jewelry show at select homes.

The self-guided tour features nine decorated and furnished luxury homes and townhomes in magnificently landscaped settings with prices ranging $1 million and over. Goodwin Classic Homes will feature an English cottage in a Cotswold-inspired village in Myers Park near the Myers Park Country Club. With architecture by E. Frank Smith Residential Design and interior design by Mark Phelps Interiors, the home is a timeless work of art.

The event is planned for the last two weekends in October and the first weekend in November (Oct. 24 – 25, Oct. 31 – Nov. 1 and Nov. 7 – 8), Saturdays 10am – 6pm and Sundays 1 – 6pm.
Each home on the tour will be featured in the Home Builders Association's first edition of Luxury Home Magazine. Over 20,000 copies of Luxury will be distributed at key locations. Tickets for the event will be available at participating Harris Teeter stores. The ticket price is $10 and includes admittance to all homes on the tour.

A portion of the proceeds benefit the Levine Children's Hospital.

Build Better, Build Quicker, and Build at Significantly Less Cost!

As more signs of economic recovery appear on the horizon, those who want to build a custom home or remodel an existing home should consider taking advantage of some of the most favorable construction conditions ever.

In the past year, I have been inundated with sales calls from trade contractors and suppliers looking for business. Goodwin Classic Homes has remained financially strong during the recession, and word has spread that we honor all commitments to our vendors and pay reliably and promptly. There has never been a lien filed against Goodwin Classic Homes, and I am committed to keep it that way. As a result, many of the trade contractors calling are the very best craftsmen and artisans in Charlotte and surrounding areas. Previously in short supply during the building boom, these artisans are eagerly looking for new opportunities in the luxury home market. And they are available readily to facilitate construction on a streamlined basis.

In the past couple years, with the willingness of area vendors to negotiate pricing, I estimate that the cost of building a new home has dropped somewhere between 10 and 20% . With my cost-plus construction process, all such savings are passed to the homeowner. Buyers are emerging and finding significant discounts on existing homes, but significant savings can also be obtained in custom homebuilding or remodeling projects.

I've read that over half of the companies in the Dow Jones index were started during a recession. In this difficult period, many new opportunities are being created, and timing is everything. With signs of recovery in front of us, I am convinced that now is the best time to build or remodel your dream home. I would be happy to discuss with you the advantages in building today - better, quicker, and at significantly less cost!

Goodwin Classic Homes is Committed to Green Building Practices

The heightened focus on green building practices that we have observed lately is only gaining momentum. The green building movement is in high gear - not only in the U.S but around the world. Given the enormous impact on the environment arising from home construction and home energy and water use over the lifetime of the structure, it is of paramount importance that builders utilize green building practices.

Green building encompasses a wide variety of environmental considerations such as land development, solar heating and cooling, material selections and durability, water efficiency, indoor environmental quality, and energy efficiency. And of these considerations, energy efficiency is probably of greatest impact to the environment. Even with significant improvements in home energy efficiency over the past several years, there is still much room for improvement! New technologies and building techniques such as spray-foam insulation and Energy Star fixtures and appliances are making significant new improvements possible.

I am committed to obtaining the Energy Star certification on every home that I build. The results are easily quantifiable. My detailed specifications require conformance to Energy Star standards, and I have a third party inspect and test my homes to ensure compliance with those standards. The third party is specially qualified as a HERS (Home Energy Rating System) rater. The HERS rating on the last home I completed earlier this year was a 72. This score means that the home is almost twice the efficiency than that required for Energy Star Certification!

The immediate benefits of increased efficiency (and of green practices in general) are great: significantly lower energy bills, healthier interior environment, increased homeowner comfort, and less maintenance. And the long-term benefits to the environment - and therefore to our children - are priceless.

This equipment is used by the qualified Energy Star rater to quantify the whole house leakage - a major component of the Energy Star rating. Behind the white disc is a fan that creates a very strong vacuum, and pulls air through places you'd never suspect!