What are the types of moving estimates?
(Binding VS. non-binding)
Moving your house is a very stressful job. So you need to plan everything ranging from finding professional movers to packing and getting everything set. In the entire relocation process, handling your expenses properly can be the most challenging task. Fortunately, you can get multiple estimates from different out-of-state movers to find out the best moving company within your budget.
Choosing the best quote can be quite difficult if you don’t know the ins and outs of your moving estimates. Therefore, neither agree to a moving quote blinding nor sign a contract until you assess it thoroughly and know the type of offered estimate first.
In this article, we will explain in detail what are the types of moving estimates.
What are their pros and cons?
After reading this guide, you will be able to choose the best option out of the three. Let’s get started…
What are the Different Types of Moving Estimates?
The amount you pay for hiring professional movers depends on different factors like distance between the current location to a new destination and the weight of the shipment, etc. Moving companies use these factors to calculate your moving costs. So your prices can range from a few hundred dollars to several thousand.
A moving estimate is a way that gives you almost an accurate guess of how much your move is going to cost. There are different types of moving estimates like binding estimates and non-binding estimates that we will discuss in this article ahead.
The working principle of these rules is almost the same for both long-distance moving companies and local professional movers. It’s totally optional to go with any type of estimate you want. Regardless of how small or big, your move is, you can still get a moving estimate from different movers. Let’s discuss all three types of estimates one by one…
1. Non-Binding Estimates
A non-binding estimate is a rough estimate of how much your move might cost. If you share the accurate information of your things with movers, they will give you an estimate much closer to the actual value.
You can get this estimate whether in-home or over the phone free of cost. In this way, you may get almost an accurate estimate near the actual value. It helps you to plan your budget accordingly.
The downside of this estimate is that the price isn’t set, as the moving cost can change on a relocation date. So you aren’t 100% sure about the actual price you’d have to pay after a successful move.
In simple words, if the actual price of the shipment goes up or down than the estimated one, you’d have to pay the amount equal to the actual price.
2. Binding Estimates
A binding estimate is when out-of-state movers guarantee a fixed amount based on the estimated shipment weight. In this type of agreement, both you and the moving company are bound to that price legally. Therefore, you have to pay the originally quoted amount to the state-to-state moving companies or others after a successful move.
The upside of this estimate is that you know exactly how much amount you’ll have to pay for moving. Plus, you won’t have to pay an extra amount even if your belongings exceed the estimated weight.
However, if your items end up weighing less than estimated, still you’ll have to pay the agreed price. Remember you can’t add more items after signing the agreement. You will have to make changes in the original contract by informing out-of-state movers when adding additional items. Otherwise, you may have to pay penalties due to breaking the agreement.
In simple words, you will have to pay the initially estimated price no matter weight goes up or down after a successful move. For this type of estimate, you should ask cheap moving companies to send their representative for an in-home estimate. Because most online estimates aren’t accurate.
3. Binding Not-To-Exceed Estimates
The majority of the people prefer to go with the binding not-to-exceed estimate because it’s more cost-effective than those mentioned above. It’s much popular among long-distance moving companies than local movers because these moves are more time-sensitive.
In this estimate, you won’t have to pay an extra amount even if the shipment weight exceeds the original estimates. Another plus point of this quote is that if your belongings weigh less than actually calculated, you will have to pay the amount equal to the shipment’s actual weight.
In simple words, if the weight of the load exceeds the initial estimate, you will pay for the amount equal to the initial estimate. However, if the load weighs less than the initial estimate, you will have to pay the amount equal to the actual value.
You can’t add more belongings after finalizing your contract with the state-to-state moving companies. If you want to add more items, you will have to talk to out-of-state movers so that they will give you a new estimate.
What is the Best Type of Moving Estimate?
All types of estimates have different pros and cons. However, a binding not-to-exceed estimate is the most popular and desirable option for the majority of the customers. In this case, professional movers take more time to make an accurate estimate. Therefore, you should go with it if you have enough time for a residential move.
If you don’t have enough time, you can go with the non-binding estimate. It is the best option for those lacking enough time. Finally, if you want to know the exact budget you need for a successful move, you can go with the binding estimate option. It will give you a reasonably accurate relocation value.
Wrapping Up
All types of moving estimates are useful depending on your particular situation. However, it’s good to get in-home estimates instead of over-the-phone estimates. You must share all the necessary information like size and number of items you want to ship and distance to destination, etc. It will help them to calculate reasonably accurate costs for your move.
Plus, you should also ask them to provide different types of moving estimates that they can offer. Take everything in written form when getting an estimate and consider it when finalizing the deal.
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