Usual Architect Fee Structures

Architects usually charge a percentage of overall construction cost - what that percentage is varies firm to firm.

Varies between what range?

10-15%. Usually the upper end is reserved for more established firms

15% is the upper limit I have encountered for residential. You should be able to negotiate a lower %, especially in this climate.

10% I have heard recently but that was outside of the city - suburbia.

I was uncomfortable with the open-ended nature of %-age billing. My architect, from a substantial firm that does major commercial projects as well as residences, charged a fixed fee for design stage and complete drawings, bidding and bid review as well as filings and coop approval process, and construction oversight. Expeditor was separate fee. Deal allowed me to know exactly what the job and architect would cost if I made no changes to the bid drawings. In the end, it certainly did not cost more than the 15% most others proposed. I think it came to more like 12%. But even so, I liked knowing the fee wouldn't change based on the cost of the cabinets I selected, fixtures, or appliances. Specifying and Installing a hinge costs the same whether it is a $1.99 hinge from Home Depot or a $40.00 nickel plated hinge from Samuel Heath. I don't understand why I should pay an architect more to specify the more expensive one. From that perspective, I personally just preferred the fixed fee arrangement.

if you wish, you should be able to remove the flooring and paint from the scope of work (and therefore the total). the architect will then exclude selection of paint/floor finish colors and the preparation of specs and paint finish schedules (usually part of the job)

You are correct to be suspicious of a % billing rate. Makes no sense even though it is convention. You should negotiate a fixed fee to minimize your risks and get the incentives right.

newcoopowner,
If you generally know what you want and are not prone to changing your mind, then fixed fee may be the right fee structure for you and can be very cost effective. However, under this agreement most architects will define how many design options they give you (and will ask you to sign off on your decisions), how many meetings they will attend with regards to your coop, landmarks (if it applies) are included in the fee. If you deviate from this, and you will likely be the hourly rates in the contract.

"you will likely be charged the hourly rates in the contract", i meant to say. sorry about that.

what generally is the hourly rate that an architect charges.

I asked an architect for a flat fee and he came back with what amounted to 19% of the budget - which I feel is very high - where should I negotiate to?
thanks

leelaura,
approximately $100-150/hr for a project architect working under a licensed architect in an office, depending on the size of the office. licensed partners generally charge more- $250/hr and up.

Where you should negotiate to depends on the kind of firm you want. There are architecture firms that will just draw what you want and spec what you ask for, and would not be expensive at all. There are offices who can churn out a signature style that can be tweaked to your space and then there are firms that do highly customized designs but are also the costliest.

They are no different from lawyers, when it comes to billing.