What is the average cost to replace a roof?

by | Sep 1, 2018

Kirby Smith is an Engineer and General Contractor for Tennessee and North Carolina

Pricing Variables

NOTE: This article just establishes variable cost. Pricing will be different in
each market across the United States.

Pricing Variables

Variable 1: Insurance vs Retail for Reroofs

Additional ExpertsInsurance-funded roofing jobs can actually cause the price to increase from 25-50% depending on the contractor and insurance company.

The supplemental negotiation processes can cause numerous positive results and added value for a homeowner, including code upgrade/code compliance, changes to scope, and even better deliverable products to owners.

Additional Experts
Appraisers, public adjusters, engineers or even loss specialist attorneys can be called into speak, consult or negotiate on behalf of the claim holder. Usually, these specialists are the responsibility of your contractor to hire and pay for. Typically their fee is a portion of the settlement reached between the claim holder and the insurance company.

Variable 2: Roof Size

Roof SizeMost contractors bid roofing, siding, and gutters based on the amount of surface area or the linear footage (in case of gutters.) In roofing and siding terms a bid is usually submitted base on the amount of squares.

A square is a 100 square feet of material and usually bids anywhere from $275 to $400 in Tennessee and North Carolina.Roof sizes can often be measured from satelite imagery. Google even has a surface area measurement tool available on the Google Earth suite.

It is common for contractors to offer owners preliminary type estimates based on aerial measurements. This may assist the owner to consider a possible budget before meeting with their contractor.

Variable 3: Roof Pitch

Roof PitchShingles get installed starting at a 3:12 pitch all the way to vertical pitch or “Mansard.”

Usually the price increases look like the
following pricing groups:

3:12 – 6:12

This pitch range is considered a walkable roof and there is no increase in price for walkable roofing.

7:12 – 9:12

This pitch range starts at an additional $25 per square.

10:12 – 12:12

This pitch range starts at an additional $75 per square.

Steeper than 12:12

This pitch range starts at an additional $125 per square.

Variable 4: Roofing Material

Roofing Material

Demand

Homebuilding and storms are the real drivers of demand for roofing materials. Materials can increase more than 50% in a single year because of demand.

Supply

Roofing materials are made here in the USA. Tuscaloosa, AL, Baltimore, MD, and Peach Tree City, GA are a few of the southern factories. When the supply is heavy for a market, the prices will occasionally decrease.

Taxes and Tariffs

National taxes are not hue in the asphalt shingle costs, but it can cause big increases in other construction materials. They are certainly worth mentioning as a possible factor for shingle costs.

Raw Materials

For roofing shingles, one of the biggest, most recognizeable factors of price is the cost of tar. Fiberglass, laminates and 3M ceramic granules can also increase cost. As of July 2018, there have been 2 manufacture cost increases in this year and there is at least 1 more increase scheduled for 2018 because of increasing tar prices. There is a 50% increase in shingle pricing in 2018 alone!

Price increase from manufacturers can cause the cost of retail roofing to increase from $0 to $75 per square.

Take a look at how we educate our customers on roofing materials.

Variable 5: Warranties

Roofing WarrantiesRoofing warranties are approaching a 1 billion dollar market!

Manufacturers will charge the contractor a fee to register your new warranty. Manufacturers offer certifications for their contractors and in return the contractors can offer manufacture backed warranties. In some cases, the contractor can offer a manufacturer backed labor warranty as well.

The cost of these warranties will usually increase the cost of a job from $500 to $1,000. Upgraded materials including ridge caps, synthetic felts, and possibly other materials are a big driver for this cost increase.

Variable 6: Reputation & Quality of Contractor

Litespeed Construction IconThe longevity, reputation, company culture, vision, team environment, and ability to educate the customer should all be considered here.

The difference in cost between “Chuck in the Truck” or out of town type contractors and the Established Retail Roofer can be over $100 per square. This is not necessarily a cost difference in the labor, but in many cases this can be thought of as an overhead cost that the established company incurred for maintaining a stable presence.

In most cases, this will be a significant savings of both stress and dollars for the owner to choose a more stable, reliable business to handle their next roofing project.