In 1884, Sarah Winchester began construction on her San Jose estate and didn't stop for 38 years. She built continuously — adding rooms, stairways, and doors that opened to walls — until her death in 1922. The result was a 160-room mansion with no master plan, no end date, and no coherent design logic.
The Winchester Mystery House is an extreme example of what happens when a construction project has no defined scope. But the underlying dynamic — work expanding beyond its original intent, costs climbing past the original budget — is something far more homeowners encounter in a more ordinary form: the change order.
Change orders don't have to be a nightmare. But understanding why they happen is the first step toward managing them well.
What Is a Change Order?
A change order is a formal amendment to the original construction contract. It documents a modification to the agreed-upon scope of work, adjusts the project cost accordingly, and typically affects the timeline. Both the homeowner and the contractor sign off before any new work begins.
That last part matters. A legitimate change order is a written agreement, not a verbal conversation at the job site. It specifies what changed, what it costs, and how many days it adds to the schedule. If you're ever handed a bill at the end of a project for work you don't remember approving in writing, that's a problem — and it's one of the reasons understanding the change order process up front protects you as a homeowner.
5 Reasons Change Orders Happen
1. Hidden Structural or Code Issues
Open a wall in a 1970s Minneapolis bungalow and you might find knob-and-tube wiring that hasn't been touched since the Eisenhower administration. Pull up a bathroom subfloor and there's a reasonable chance of finding rot that wasn't visible during the initial walkthrough. These discoveries aren't anyone's fault — they're just the reality of working on older homes.
When hidden conditions surface, they typically have to be addressed before work can continue. A building inspector won't sign off on a kitchen remodel with non-compliant wiring behind the new cabinets. A contractor can't install tile over a compromised subfloor. The work has to happen, which means the scope expands.
Why It Matters:
- Code compliance is non-negotiable — inspectors require issues to be corrected regardless of the original project scope
- Structural problems compound if deferred; addressing them mid-project is almost always cheaper than addressing them after the fact
- Discovery timing affects cost — finding issues early in demolition is better than finding them after new materials are already installed
- Documentation protects both parties — a clear change order ensures the homeowner understands exactly what was found and why it's required
Timeline Impact: Electrical upgrades, foundation repairs, and structural corrections can add days to weeks depending on the severity and permit requirements. Work may pause while inspections are scheduled.
2. Client-Driven Design Upgrades
This is the most common — and most controllable — source of change orders. The project is underway, and you see the space taking shape. Maybe the tile you picked looks different in real light than it did on a sample card. Maybe you walk through the framing and realize you actually do want that window moved. Maybe the countertop upgrade you talked yourself out of three months ago is suddenly very appealing now that you can see the finished kitchen in your mind.
These decisions are completely understandable. But mid-project changes cost more than pre-project changes, almost without exception. Framing that's already been built has to be torn out and rebuilt. Materials that have been ordered may not be returnable. Labor schedules shift.
Why It Matters:
- Timing multiplies cost — changes made during demolition are cheaper than changes made after framing; changes after framing are cheaper than changes after drywall
- Material lead times reset when you switch products, which can stall the project
- Cascading effects — one change often requires adjustments to adjacent work (move a window, repermit the wall; change the tile, adjust the substrate)
- Budget clarity suffers — frequent small upgrades can add up faster than a single large one because each feels individually minor
Timeline Impact: Design-driven changes vary widely. A finish swap might add a day or two. A layout change could add a week or more, especially if it requires new permits.
3. Material Unavailability and Substitutions
Supply chains are more fragile than they appear. A tile that was in stock when you made your selections three months ago may be backordered by the time your project reaches that phase. A specific appliance may have a 12-week lead time that wasn't flagged at the outset. Lumber prices fluctuate. Custom cabinetry runs late.
When a specified material isn't available, someone has to make a decision: wait for it, or substitute. If you wait, the project sits idle. If you substitute, the new material may have a different cost, different installation requirements, or simply a different look than what you originally approved — all of which need to be documented in a change order.
Why It Matters:
- Price differences between original and substitute materials are captured in the change order — up or down
- Installation differences matter; some substitutions require different substrates, adhesives, or framing
- Aesthetic approval should always be in writing — a substitution you didn't explicitly approve in writing is harder to dispute later
- Lead time transparency upfront can prevent mid-project surprises for known long-lead items
Timeline Impact: Waiting for backordered materials can stall a project for weeks. Substitutions with compatible install requirements may add minimal time; those requiring substrate changes add more.
4. Unforeseen Site Conditions
Different from hidden code issues, unforeseen site conditions are physical surprises that emerge once work begins — a cracked foundation wall that looked fine during walkthrough but reveals movement once the basement is opened up, grading issues that direct water toward the foundation, or soil conditions that affect a planned addition. In older Minnesota homes, you can also add asbestos-containing materials, lead paint in pre-1978 houses, and radon to this category.
Some of these are discoverable with a thorough pre-construction inspection. Others genuinely aren't visible or testable until demolition begins. When they appear, they require professional assessment and often remediation before the project can safely move forward.
Why It Matters:
- Safety-related conditions (asbestos, lead, radon) require licensed remediation and can't be worked around
- Structural conditions affect the integrity of whatever is being built — ignoring them creates liability for both contractor and homeowner
- Environmental testing may be required before certain work can proceed, adding both time and cost
- Insurance and permit implications can surface depending on the nature of what's found
Timeline Impact: Remediation and structural repair timelines vary significantly. Asbestos abatement can take several days; foundation repair can stretch to weeks depending on the scope.
5. Gaps in the Initial Scope of Work
This one is a contractor accountability issue as much as anything else. A vague or incomplete scope of work — one that says "remodel kitchen" without specifying what's included — leaves room for legitimate disagreement about what was and wasn't covered. When the homeowner assumed demolition and disposal were included and the contractor assumed they weren't, someone ends up with a change order.
Gaps in scope are most common in projects where the planning phase was rushed, where drawings weren't detailed enough to catch every condition, or where allowances were set too low to reflect actual product costs. They're largely preventable with thorough upfront documentation.
Why It Matters:
- Allowances set below market create near-certain change orders when real selections are made
- Undefined demolition scope is one of the most common sources of billing disputes
- Permit responsibility — who pulls them, who pays for them — should be explicit in the contract
- Exclusions should be listed — a good contract says not just what's included but what isn't
Timeline Impact: Scope gaps discovered mid-project can cause delays while the parties align on what work is actually required and at what cost.
Change Order Prevention Checklist
No project is entirely change-order-proof — hidden conditions happen, and sometimes homeowners change their minds. But most change orders are reducible. Use this checklist before construction begins:
- [ ] Detailed scope of work in writing — line-item specificity, not general descriptions
- [ ] All material selections finalized before demo — tile, fixtures, appliances, cabinetry, countertops
- [ ] Long-lead items identified and ordered early — custom cabinetry, specialty tile, appliances with extended lead times
- [ ] Allowances set at realistic market rates — not optimistic low-end figures
- [ ] Pre-construction inspection completed — especially for older homes; consider electrical, plumbing, and structural assessment
- [ ] Asbestos and lead testing done on pre-1978 homes before demolition begins
- [ ] Permit responsibilities documented — who pulls them, who pays for them, what's required
- [ ] Contingency budget established — industry standard is 10–15% of total project cost for remodels
- [ ] Change order process agreed upon in writing — what triggers one, how it's priced, and that both parties sign before work proceeds
- [ ] Design decisions locked — any changes after this point go through a formal change order
Experience Doesn't Eliminate Surprises — It Manages Them
Thirty-eight years of construction chaos gave the Winchester Mystery House 160 rooms and no coherent exit. A well-run remodel gives you a finished space, a clean final invoice, and a clear record of every decision made along the way.
At Honey-Doers, our 27 years of Twin Cities remodeling experience means we've seen most of what walls and floors can hide — and we build that knowledge into how we plan projects from the start. Our transparent process is designed to surface potential issues early, set realistic allowances, and keep you informed before anything becomes a surprise.
Browse our project gallery to see the results, then reach out to our team to start a conversation about your project. The best change order is the one you never have to write.