How to Price and Estimate Roofing Jobs

In this article, we walk you through a 12-step process for pricing a roofing job, as outlined by Sue Drummond, a roofing industry expert at ServiceTitan with over a decade of experience in the roofing business.

The steps are flexible — there isn’t just one way to price a roofing project. However, they follow the best practices of roofing estimating. 

Drummond shares key details that, if overlooked during the estimating process, can greatly impact your profit margins.

Throughout this post, we’ll also explain how ServiceTitan — our roofing contractor software — helps optimize roofing inspections, material calculations and orders, pricebook management, and other aspects of the estimating process.

1. Inspection: Looking at Access, Slope, Patterns of Wear & More

The importance of beginning with a thorough initial inspection is two-fold. It ensures that you a) make educated recommendations to your customer in your estimate and b) eliminate surprises for your crew so they can arrive fully prepared for the job.

During the inspection, it’s important to go beyond just looking for obvious roof damage. The following are some key items to consider and address:

• Access points: Looking at access points around the job site is key. In tight urban areas, you might only have an alleyway to work with, whereas in more suburban settings, you’ll have plenty of space around the house. This dictates aspects from the equipment you can use to how much labor is required. 

• Roof slope: Slope is also important because labor costs increase significantly with steeper pitches (a 12/12 slope will cost much more than a walkable 4/12).

• Shingle inspection: When inspecting roofing shingles, look for patterns of wear that could indicate deeper issues. For example, excessive wear in one area could suggest a drainage issue, such as a poorly designed valley where water constantly flows. You also need to examine how many layers of shingles there are. If you encounter multiple layers—or worse, an old layer of cedar shingles under modern asphalt—you’re looking at significantly higher labor and disposal costs.

• Repair vs. replacement: It's possible that during your inspection you’ll find that the roof doesn't need to be replaced. By providing that trustworthy feedback to a homeowner — for example, letting them know they probably have five more years left on their roof and offering a quote for a repair instead — you’re likely to garner their trust and win the replacement job five years from now (not to mention generate word-of-mouth recommendations to their neighbors and friends). 

• Things to protect: Finally, note anything that could be damaged and needs protection (solar panels, satellite dishes, a prized rose bush, a patio set below the work area, etc.).

Taking detailed photos during your inspection will save you headaches later, both in terms of communication with the homeowner and as a safeguard against future disputes.

To ensure a consistent sales experience across your entire sales team, consider using digital forms tools (like ServiceTitan custom forms) to create roofing inspection checklists and reports.

These forms can be filled out on-site via our mobile app and made available in real-time to customers and other team members in the office. 

With this functionality at their fingertips, roof inspectors can easily follow and fill out inspection forms in the field and share inspection results with customers, including photos and videos. Since ServiceTitan stores all information in the cloud, it’s easy for anyone in your organization to access forms and customer data.

2. Roof Measurements: Manual or App?

Getting accurate roof measurements can make the difference between a smooth and profitable roofing job and one that results in delays, decreased profit margins, and unhappy customers. 

With the advent of roof measurement services, roofers now have two primary options when it comes to taking measurements:

1. Third-party measurement tools like Eagleview and GAF QuickMeasure can be used to calculate the roof’s size. These services are increasingly popular and, particularly when integrated into your estimating system (like with ServiceTitan), speed up the process of generating accurate estimates. 

2. Manual measurements, where you get on the roof and measure each section by hand. 

Whichever method you use, measurement involves collecting the square footage of the roof, which you’ll convert into squares  (sections of 100 square feet), as well as the linear footage of the roof perimeter and any ridges, hips, and valleys depending on the roof design. 

Note: Even when using advanced measurement tools, always visit the site. Many companies make the mistake of relying solely on satellite images, missing factors like poor ventilation or hidden damage that aren’t visible from above.

3. Calculate the Volume of Materials

Once your measurements are complete, you’ll use them to calculate the exact volume of materials needed (including accounting for waste). A typical calculation might be 22 squares of shingles, but you’ll also need to account for hip and ridge caps, starter shingles, and metal valleys.

To simplify things, many companies are starting to adopt roofing calculators. These can quickly convert your measurements into material volumes, factoring in everything from ridges and valleys to ventilation requirements. For example, if you have 55 feet of ridge, these calculators can tell you exactly how many bundles of ridge caps you’ll need.

Note: Don't forget about attic ventilation. Poor attic ventilation can lead to premature roof failure and ice dams in colder climates. Use the attic’s square footage to calculate the proper number of intake vents at the roof eave and exhaust vents near the peak of the roof.

Platforms like ServiceTitan can also help with this step. With our spec-based estimating feature, sales staff can fill out a roof measurement form via our mobile app:

You input the specs, and our system calculates your material volumes with just a few clicks.

Here's a breakdown of how Spec-Based Estimates work and their advantages:

• Forms and Templates: The process begins with creating a form tailored to your specific service, like reroofing. This form, accessible on both desktop and ServiceTitan Mobile, is used to gather crucial job details and measurements. This information is then fed into a Spec-Based Template, which links form fields with Pricebook items and applies predefined calculations. The template also allows you to offer different service tiers (Good, Better, Best) based on a single form submission.

• Automated Calculations: The magic lies in the Excel file integrated with the template. This file houses the rules and calculations determining material quantities and costs based on the form inputs. For instance, if a customer needs 20 squares of roofing, the template automatically calculates the required shingles, underlayment, and other associated materials, ensuring precise estimates.

• Efficiency and Accuracy: Instead of manually calculating materials and costs, the system does it for you, freeing up your team to focus on customer interactions and other essential tasks. This automation not only speeds up the process but also eliminates the risk of human error, leading to accurate and consistent pricing.

• Mobile Accessibility: The convenience of creating and presenting Spec-Based Estimates extends to ServiceTitan Mobile. This allows field staff to gather measurements on-site, complete the form, and generate estimates instantly, providing a seamless experience for your team and your customers. 

4. Document Existing Accessories: Every Detail Matters

In addition to calculating the volume of your base roofing materials, you need to make sure you account for accessories. For example:

• If there is a chimney, how much flashing do you need to add to it?

• If there is a bathroom vent, you need a boot to fit around that pipe.

• If there’s a skylight, you might want to replace the skylight or at least the flashing around it.

These might seem small, but they are crucial for both the homeowner’s satisfaction and your ability to provide a complete quote.

5. Calculate Your Total Cost of Materials 

Before adding up your material costs, it’s important to make sure your pricebook is up to date, as out-of-date pricing will automatically tank the accuracy of your estimates.

If you’re doing this manually, you’ll likely do this in a spreadsheet, referencing your pricebook for each line item and material type to calculate your costs. You’ll also want to account for potential upgrades in materials that can be offered through “better” and “best” options in your proposal. 

Double- and triple-checking your calculations at this step is crucial, as it’s very easy to make mistakes when calculating these costs manually. It’s also a time-consuming and tedious process.

This is why contractors are increasingly turning to platforms like ServiceTitan, which make this process easier and consistently more accurate. For example, we offer integrations with roofing suppliers such as SRS Distribution, which auto-updates your pricebook with the most current pricing, product images, and descriptions. 

In coordination with our spec-based estimates, your material costs are automatically calculated for your estimates based on the most up-to-date pricing in your pricebook.

6. Determine Disposal Costs and Transfer Fees

For roof-replacement jobs, you’ll need to factor in disposal costs and transfer fees. Roof tear-offs generate a lot of debris, and disposal costs can be substantial. 

For this step, calculate the total weight of the materials you’ll need to remove, based on the square footage and the number of layers. Also, consider the type of materials you’re removing. Cedar shingles, for instance, are lightweight but require much more labor to remove, whereas standard asphalt shingles are heavier and might require larger dumpsters.

Important: Check local dump fees in advance, as these vary significantly depending on location.

7. Estimate Your Total Labor Cost

Once material calculations have been made, you can shift to estimating your labor costs. This is typically handled in one of two ways: 

• In-house employees: Multiply the number of crew members by their hourly rate and the estimated number of labor hours to complete the job. Don’t forget to adjust for the roof's difficulty—steep slopes or multiple stories add to the time and safety precautions.

• Subcontractors: Subcontractors often charge by the number of squares. For example, a roofer might charge $300 per square for installation, with extra fees for accessories like vents or ice and water shields.

Don’t forget to account for the number of layers on the roof. Removing multiple layers of shingles will take longer, and you’ll need to factor in those labor costs accordingly.

8. Factor in Extra Costs: No Surprises

Forgetting to account for extra costs is a step where many contractors slip up. Examples of extra costs include:

• Permits

• Special equipment, like cranes or scaffolding

• Safety gear

• Damage protection (protecting plants or furniture)

You don’t want these to eat into your profit, so make sure to account for them upfront.

Example: If you're working on a four-story building, you may need a crane to safely hoist materials. Not accounting for this could cost you thousands and turn a profitable job into a loss.

9. Protect Yourself for Additional Work

Once you open up the roof, you could find unexpected damage—especially rotten wood underneath the shingles. Be upfront with the homeowner about the possibility of these surprises, and agree on a pre-set price for replacement materials, like per sheet of plywood or linear foot of wood. 

Document these contingencies in the contract. For example, specify that any rotten plywood will be replaced at $70 per sheet, including labor. This builds trust with the homeowner and protects you from unexpected losses.

10. Factor in Overhead Costs

At this point, you should have a total estimated roofing job cost, and you’re ready to factor in your overhead markup rate.

Every company should have a predetermined markup percentage to cover their ongoing overhead expenses, such as office rent, mortgage payments, workers' compensation insurance, and all of the other non-job-related expenses that businesses incur. 

To calculate the overhead as a percentage, this basic formula can be applied:

Overhead Percentage = (Total Overhead Expenses / Total Direct Costs) x 100 

Be sure to review your calculations regularly—especially as costs (fuel, insurance) fluctuate. Particularly in today’s market, consider doing this biannually as costs fluctuate so often.

11. Add in Profit Margin: Don’t Undervalue Your Services

Surprisingly, many small businesses don’t factor in profit margin enough or at all. We see this broadly across the trades. But roofing businesses should be making a profit based on the value they deliver. You’re doing the hard work, and deserve to be compensated for it. 

Factoring in profit margin isn’t just for making money, either. It’s also for handling unexpected setbacks and protecting yourself if things go wrong. 

The actual percentage you add to finalize your estimate's pricing will vary from company to company — and it's likely something you need to play with. 

With that said, the roofing industry standard is 10%–20%, averaging 15%.

This basic markup calculation formula can be applied:

Total Cost = Direct Costs + Overhead Costs

Selling Price = Total Cost x (1+Markup)

Using the above formula, if your desired markup is 20%, here’s what it would look like:

Selling Price = Total Price x (1+0.20)

When using ServiceTitan, our Dynamic Pricing feature automatically calculates overhead and markups for you.

Important: If your profit markups are too high, you’ll struggle to have competitive pricing and win jobs. If they’re too low, then you’re doing yourself (and frankly, the entire industry) a disservice by devaluing your roofing services. 

12. Factor in Upsell Opportunities

Now that you’ve got the base price, consider opportunities for upselling. For example:

• Upgraded materials (architectural or designer shingles with a longer warranty)

• Enhanced underlayment (full roof coverage instead of just the valleys and edges)

• Accessories like drip edges, upgraded ventilation, or gutter systems

• Additional trades (replacing siding, soffit, fascia, or installing skylights)

• Maintenance package (offer an annual roof inspection to touch up caulking, replace an asphalt shingle here and there, clean the gutters, etc.)

These add-ons can be presented separately, or integrated into a good, better, best proposal. For example, your “good” option is the base service, while the “better” and “best” options include upgrades like designer shingles or better ventilation systems.

With ServiceTitan, salespeople can create and present options to customers right from their tablet in a clear, easy-to-understand format.

As mentioned above, product images and pricing for these estimates are pulled automatically from your pricebook and supplier integrations to streamline this process.

Finally, Consider the Strategy “Teach Don’t Sell”

A "Teach Don’t Sell" approach in roofing positions sales teams as valuable advisors rather than pushy salespeople. Instead of delivering a traditional sales pitch, educating homeowners on the intricacies of their roofing needs and options earns trust and empowers them to make informed decisions. 

For example, by walking a customer through the different roofing materials, explaining the pros and cons of various ventilation options, or highlighting the benefits of proper insulation, your team can demonstrate expertise while creating a sense of transparency with the prospect.

When homeowners are confident in your company’s knowledge and integrity, they feel more comfortable moving forward with a project. Moreover, an educational approach often leads to higher customer satisfaction and more word-of-mouth referrals, as homeowners appreciate the honesty and professionalism. 

Additional Ways ServiceTitan Supports the Growth of Roofing Contractors

In addition to the features we’ve discussed so far, there are numerous other ways that roofing companies are using ServiceTitan to solve important challenges in their business. 

To wrap up this post, we’ll walk through some additional features that are helping roofers gain better visibility into financial and operational data, provide impressive customer experiences, improve their marketing efforts, and more. 

Centralize Customer & Job Data (and Access It Anywhere)

ServiceTitan offers a customer relationship management (CRM) system to record, store, and access your job and customer data, beginning when a potential roofing customer calls in.

Our call booking functionality provides CSRs and office staff with the name and contact information of the incoming caller and prompts them to fill out a series of form fields that ensure they collect all of the necessary information to kick off a potential roofing job. 

From the booking page, they can view the availability of their sales team, assign a team member to the job, and schedule a visit if the business or homeowner agrees to have someone come out.

At that point, a customer page is automatically created in which their contact information and job details can be stored as the job progresses. This data can be shared and accessed from the office via our desktop application or remotely from a job site through our user-friendly field mobile app (discussed below). 

Users also have the option to create a roofing project page in which financials can be tracked, appointments can be made, material orders can be placed, and other aspects of project management can be carried out.

Empower Estimators with a User-Friendly Mobile App

ServiceTitan’s mobile app, compatible with both Android and iOS operating systems, offers an intuitive user experience that sales teams love, beginning with the home screen dashboard where field staff can quickly and easily see the meetings or jobs they have scheduled for that day:

Each job card can be tapped to pull up a dedicated page with further details about that job, as shown here:

Teams can also access the essential tools they need throughout the lifecycle of a job. 

Via the left sidebar, they can view and utilize:

• Customer History: Easily view customer details, photos, and videos from the job site, relevant customer docs, and more.

• Job Forms: Teams can access customizable forms that require e-signatures such as roofing inspection checklists, report forms, and more.

• Estimates: Present good better best proposals via our mobile app estimate presentation. 

• Invoices: Roofers can quickly generate and send invoices to customers in various ways. ServiceTitan AI features, including our invoice summary generator and invoice email generator, further automate this process.

• Closeout: Once they complete a job, production managers can accept payments on the spot from customers via check or credit card. 

Offer Modern and Impressive Customer Experiences

ServiceTitan offers a variety of features that help roofing businesses communicate professionalism and trustworthiness with their customers.

For example, our dispatching functionality includes text message notifications and Uber-style GPS tracking that keep customers up-to-date about when sales reps, field supervisors, or crews are scheduled to arrive.

During the sales process, salespeople can offer financing that can get approved quickly, improving customer experiences while helping to close more sales.

Store, Track, and Automate Follow-Ups on Open Estimates

Once an estimate or job proposal is created and added to ServiceTitan, it is automatically stored in our cloud-based software, accessible both from the office and the field. From there, our follow-up features allow you to track and consistently follow up on unsold estimates to take advantage of every sales opportunity.

When an estimate is created for a job but isn’t sold, an opportunity is automatically created and alerts can be set up to remind staff to follow up with customers. 

Opportunities can be in the following statuses:

• Open: Opportunities that haven't been won or dismissed. Click on open opportunities to see the next scheduled follow-up date. Open opportunities can be:

  • Not Attempted: No contact has been made since the opportunity was originally created or presented to the customer. This is the default state once an opportunity is created.

  • Unreachable: The last time someone tried to follow up on this opportunity, the customer could not be reached.

  • Contacted: The customer was contacted on the last follow-up date, but no estimate has been sold to them yet.

• Won: An estimate was sold to the customer with a subtotal equal to or greater than the sold threshold.

• Dismissed: The customer decided not to proceed with the roofing contract and the opportunity was dismissed. Also, an opportunity with a sold estimate subtotal under the sold threshold is dismissed.

These features offer large- and small-business owners peace of mind that every open opportunity is followed up while eliminating the need to manually track open estimates in spreadsheets. 

For the majority of our users, the result is more closed deals and increased revenue.

Gain More Visibility and Access to Real-Time Business Data

One of the big challenges for roofing contractors is getting timely and accurate financial data to track their cash flow and the overall health and performance of their business.

This is one area where ServiceTitan roofing software can deliver immense value. With ServiceTitan reporting, roofing contractors get a complete real-time view of their most important business KPIs, including:

• Sales numbers

• Revenue trends

• Booking and conversion rates

• And much more

Users can customize dashboards and create in-depth reports, allowing them to drill down into the sources of the numbers being reported in their financial data and roll up multiple locations into single reports, making ServiceTitan a particularly powerful platform for enterprise roofing businesses.

Understand the True ROI of Marketing Efforts to Optimize Your Campaigns

One of the most important aspects of effectively marketing a roofing business is measuring the ROI of your various channels and campaigns to know which campaigns are performing well. 

ServiceTitan makes this data easily accessible to roofing companies, eliminating the struggle to understand ROI. Specifically, ServiceTitan offers campaign-tracking telephone numbers and real-time ROI reporting for all of your marketing campaigns.

For each of your campaigns, you can track the number of calls they brought in, the jobs your reps booked from these calls, and the actual sales results of those jobs. You can also calculate the ROI on your roofing advertising campaigns as ServiceTitan identifies how much revenue you make from each ad and breaks it down into cost per lead.

By measuring the marketing ROI of each campaign, ServiceTitan helps roofing companies:

• Know how much revenue each roofing marketing campaign generates.

• Track how well staff convert new leads into jobs and sales.

• Focus marketing dollars on the campaigns that actually make money.

• Stop wasting money on ads — and platforms — that don’t perform.

Get a ServiceTitan Demo to See How We Can Help You Optimize and Grow Your Roofing Business 

Using best-in-class roofing software like ServiceTitan empowers contractors to improve efficiency and grow their revenue.

In addition to the features we’ve discussed throughout this post, our software offers additional features to facilitate other core business functions as well, including:

• Scheduling

• Marketing

• Timesheets

• Online booking

• And more