Legal Agreement

Terms of Service

The terms that govern our construction, development, and design services.

Last updated: July 2026

Construction Services Terms

Terms governing home building and construction projects.

1. Scope of Work & Service Agreement

These terms apply to all residential construction services provided by True Cost Homes (the "Company"). The scope of work for each project is defined in the Pre-Construction Service Agreement and the Construction Contract executed prior to commencement of work. Any work not explicitly described in the executed agreement is considered out of scope and may be subject to a Change Order with associated costs.

2. Estimates & Pricing

All estimates provided are based on current material and labor costs, the selected finish level, and the specifications outlined in the project quote. The Company offers open-book pricing with full transparency into project funds. Final project costs may vary due to Change Orders, material price fluctuations, site conditions, or owner-requested modifications. The total budget established in the Construction Contract represents the agreed project cap unless modified by written Change Order.

3. Deposits & Payment Schedule

An initial deposit is required to begin pre-construction services, including detailed plans and subcontractor bidding. The deposit is applied toward the total project cost. Progress payments are due according to the draw schedule outlined in the Construction Contract. All payments are deposited into a project-specific account, separated from Company operating funds, to ensure full transparency and accountability.

4. Change Orders

Any modifications to the agreed scope, materials, or design must be documented via a written Change Order signed by both the Owner and the Company. Change Orders may impact project cost and timeline. Work associated with a Change Order will not commence until the Change Order is approved and signed. Verbal requests or instructions do not constitute authorization for additional work.

5. Project Timeline & Delays

Construction timelines are estimates based on normal working conditions. The Company is not liable for delays caused by factors beyond its reasonable control, including but not limited to weather, material shortages, subcontractor availability, permit issuance delays, acts of God, or Owner-directed changes. The Company will communicate any anticipated delays promptly and adjust the schedule in good faith.

6. Warranties & Defects

The Company provides a limited workmanship warranty on construction as outlined in the Construction Contract. Warranty periods vary by component (e.g., structural, mechanical, finish). Warranty claims must be submitted in writing within the applicable warranty period. The warranty does not cover damage caused by normal wear and tear, Owner negligence, improper maintenance, modifications by third parties, or natural disasters.

7. Site Conditions & Access

The Owner is responsible for providing reasonable site access and ensuring the lot is buildable and properly zoned. If unforeseen site conditions (e.g., unsuitable soil, buried debris, rock) are encountered that were not disclosed or identifiable at the time of contracting, additional costs may be incurred and will be documented via Change Order.

8. Termination

Either party may terminate the Construction Contract for material breach upon written notice and an opportunity to cure. In the event of Owner-initiated termination, the Owner is responsible for payment of all work completed, materials ordered, and reasonable costs incurred up to the date of termination. Deposits and payments made are non-refundable except as expressly provided in the Construction Contract.

Land Development Terms

Terms governing land development and real estate deals.

Home Plan Design Terms

Terms governing custom home plan design services.

General Terms

These Terms of Service govern the use of True Cost Homes' services across all divisions: Construction, Land Development, and Home Plan Design. By engaging the Company for any service, you agree to the applicable terms above as well as the terms outlined in your specific service agreement (Pre-Construction Service Agreement, Pre-Development Service Agreement, or Home Plan Design Agreement).

These terms are governed by the laws of the Commonwealth of Kentucky. Any disputes shall be resolved in the courts of competent jurisdiction within Kentucky. The Company reserves the right to update these terms at any time; changes are effective upon posting to this page.

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