Milestone Payments: Pay Your Builder as the Work Is Done
Every QuoteMyRenovation builder agrees to milestone payments, so you only pay as each stage of your renovation is completed. We check in with you at every stage.
Paying a builder is the moment most homeowners worry about. Pay too much up front, and you have little leverage if the work slows down or the builder disappears. Pay too little and good builders won’t take the job.
Milestone payments solve that. Instead of large sums in advance, you pay in agreed stages, each one tied to a visible piece of finished work: foundations in, roof on, first fix done. Your money follows the progress of the job, and the builder is paid fairly and promptly for what they have delivered.
Every builder in the QuoteMyRenovation network agrees to work this way. This page explains how milestone payments work, gives a typical payment schedule for each type of renovation, and shows what we do at each stage to keep the project on track.
What are milestone payments?
Milestone payments, also called stage payments, split the cost of your project into instalments. Each instalment becomes due only when a defined stage of work is complete and you are happy with it.
A milestone payment schedule has four parts:
- A modest deposit to secure the start date and cover early materials, usually around 10% of the contract price
- Stage payments linked to clear, visible pieces of work, not to dates on a calendar
- A retention, usually around 5%, held back until a few weeks after completion so any snags are fixed
- A written contract that sets out the stages, the amount due at each one and what “complete” means
Paying this way keeps both sides fair. You never pay far ahead of the work, and your builder knows exactly when the next payment is due and what they need to finish to receive it.
How milestone payments work with QuoteMyRenovation
- You receive your matched quotes. Each quote from a QuoteMyRenovation builder includes a proposed milestone payment schedule, so you can compare how each builder wants to be paid as well as the price.
- You agree to the schedule in a written contract. We recommend a standard contract such as the JCT Homeowner Contract or the Federation of Master Builders’ Plain English contract, with the stages and amounts written in.
- Your builder completes a stage and sends photos. When a milestone is reached, your builder tells you and us, with photos of the finished stage.
- We check in with you. Before each payment is due, we contact you to ask whether you’re happy with the work so far.
- You pay your builder directly. If you’re happy, you pay the stage amount straight to your builder. If you’re not, tell us before you pay, and we’ll help you sort it out.
We don’t hold your money at any point. Your contract and your payments are directly between you and your builder. Our role is to make sure milestone payments are agreed from the start and to support you at every stage.
Typical milestone payment schedules by project
These schedules are a starting point. Your builder may suggest different stages to suit your project, and that’s fine as long as each payment is linked to finished work and the deposit stays modest.
House Extension
| Stage | Payment |
|---|---|
| Deposit on signing (materials and scheduling) | 10% |
| Foundations complete and approved by Building Control | 15% |
| Walls built to roof level | 20% |
| Roof on and watertight | 20% |
| First fix complete (electrics and plumbing) | 15% |
| Plastering and second fix complete | 15% |
| Retention, paid 4–8 weeks after completion once snags are fixed | 5% |
| Total | 100% |
Loft Conversion
| Stage | Payment |
|---|---|
| Deposit on signing | 10% |
| Scaffold up and steels installed | 15% |
| Dormer or roof structure built and watertight | 25% |
| Staircase installed and first fix complete | 15% |
| Insulation and plastering complete | 15% |
| Second fix and any en-suite complete | 15% |
| Retention, paid 4–8 weeks after completion | 5% |
| Total | 100% |
Kitchen Renovation
| Stage | Payment |
|---|---|
| Deposit on signing | 10% |
| Strip-out and first fix complete | 25% |
| Plastering and making good complete | 15% |
| Units fitted | 30% |
| Worktops, appliances and second fix complete | 15% |
| Retention, paid 4–8 weeks after completion | 5% |
| Total | 100% |
Kitchen units are often ordered months ahead. If your builder needs to order units early, ask whether you can pay the kitchen supplier directly so the money goes straight to the company making your kitchen.
Bathroom Renovation
| Stage | Payment |
|---|---|
| Deposit on signing | 10% |
| Strip-out and first fix complete | 25% |
| Waterproofing and boarding complete | 20% |
| Tiling complete | 20% |
| Sanitaryware fitted and second fix complete | 20% |
| Retention, paid 4–8 weeks after completion | 5% |
| Total | 100% |
Full House Refurbishment
| Stage | Payment |
|---|---|
| Deposit on signing | 10% |
| Strip-out and structural works complete | 15% |
| First fix complete throughout | 20% |
| Plastering complete | 15% |
| Kitchen and bathrooms fitted | 20% |
| Second fix and decoration complete | 15% |
| Retention, paid 4–8 weeks after completion | 5% |
| Total | 100% |
On larger or longer projects, your builder may propose more frequent stage payments, for example, every two to four weeks, based on a valuation of work done. That’s normal, provided each payment matches work you can see.
What to check before you pay each stage
You don’t need to be a builder to check a milestone. Before each payment, ask yourself:
- Is the stage visibly finished? For example, the roof is fully on and watertight, not “nearly done”.
- Has Building Control signed off where needed? Foundations, drainage and structural steel are usually inspected. Ask your builder for confirmation.
- Do the photos match what you can see on site?
- Is the work in line with the drawings and the contract? If something has changed, has the change and its cost been agreed in writing?
- Is the site safe and tidy? It’s a good sign of how the rest of the job will go.
If you’re unsure about any of these, tell us before you pay. Holding back a stage payment while a genuine concern is resolved is reasonable; holding it back for work that is clearly complete is not.
Warning signs to watch for
Any of these should make you pause before signing or paying:
- A deposit of more than 25% before any work starts
- Requests for payment before a stage is finished
- Pressure to pay in cash or to a personal account that doesn’t match the company name on the contract
- No written contract, or a contract with no payment schedule
- Large extra charges that weren’t agreed in writing
Every QuoteMyRenovation builder agrees not to ask for payment ahead of work done, apart from an agreed deposit and materials. If a builder from our network does any of the above, please tell us.
Paying safely
- Pay by bank transfer to the company account named on your contract, and keep a record of every payment.
- Consider paying the deposit by credit card. Under Section 75 of the Consumer Credit Act, card payments for single items between £100 and £30,000 can give you extra protection if something goes wrong.
- Keep everything in writing: the contract, agreed changes, photos and messages.
- Know your rights. Under the Consumer Rights Act 2015, a builder must carry out the work with reasonable care and skill, within a reasonable time and for the agreed price.
What we do at each milestone
We check in with you before each payment is due and ask how the work is going. We ask your builder for photos of each completed stage. If you raise a concern, we talk to both you and your builder before the next payment and help you agree a way forward. If a builder repeatedly fails to meet the standards they agreed to, we remove them from the QuoteMyRenovation network.
To be clear about what we don’t do: we don’t hold your money, we aren’t a party to your building contract, and our check-ins don’t guarantee the builder’s work. If a serious dispute can’t be resolved between you, an independent surveyor’s report, a dispute resolution service or, for smaller sums, the small claims court are the usual next steps.
What are you renovating?
News
From our blog
Sign up to receive the latest updates and news
COMMON QUESTIONS
Milestone Payments: Frequently Asked Questions
How much deposit should I pay a builder?
What are milestone payments?
Do all QuoteMyRenovation builders accept milestone payments?
Does QuoteMyRenovation hold my money?
What is a retention?
What happens if I'm not happy with a stage?
Can I pay for materials directly?
FREE · NO OBLIGATION · NO COLD CALLS
Tell us about your project in three minutes and receive up to 3 matched quotes from vetted local builders, each with a clear milestone payment schedule. Free, with no cold calls.
London’s renovation quote marketplace. Connecting homeowners with vetted renovation specialists across London boroughs.
Services
Company
- About us
- How it works
- Milestone Payments
- FAQ
- Contact Us
- For Builders
- Privacy policy
- Terms of service
