Home Improvement Companies in Alaska: The Complete Local Directory and Hiring Guide

Hiring the right home improvement companies in Alaska is a different game than anywhere else in America. The Last Frontier’s brutal freeze-thaw cycles, permafrost soils, ice dams, five-month building seasons, and boiler-heated homes mean that a contractor who would be perfectly adequate in the Lower 48 can do real damage here. The flip side is also true: Alaska’s best contractors are some of the most resourceful builders in the country, because the climate forgives nothing.

This guide gathers more than 100 verified home improvement companies across Anchorage, Fairbanks, the Mat-Su Valley (Wasilla and Palmer), Juneau and Southeast, and the Kenai Peninsula — organized by what they actually do: general remodeling, kitchens and baths, roofing, heating and boilers, plumbing, electrical, painting, flooring, windows and siding, insulation, and outdoor projects. Every listing is drawn from current, publicly available business data with real phone numbers, full street addresses, and live Google review ratings. Nothing is invented, and no duplicates appear across tables.

Before each list you will find a short primer on that category — what it costs in Alaska, what to check before signing, and the cold-climate details that separate real Alaskan pros from seasonal operators.

How to Choose a Home Improvement Company in Alaska

Alaska regulates contractors through the Department of Commerce, and the rules are your first filter.

Verify the state license and endorsement. Every Alaska contractor must hold a current state contractor registration, carry a surety bond, and maintain liability insurance and workers’ compensation coverage. Critically, anyone performing new-home construction or remodels that exceed 25% of a home’s value needs a Residential Contractor Endorsement, which requires completing a state-approved cold-climate construction course. That course matters: it covers vapor barriers, ventilation, and ice-dam prevention — the exact things that fail when out-of-state builders work here. You can verify any license through the state’s professional licensing database, and a handyman exemption exists only for small jobs under $10,000.

Hire for the climate, not just the trade. Ask every bidder how they handle vapor barriers, what R-values they target, and how they schedule around freeze-up. Blank stares are disqualifying. In Fairbanks, ask specifically about permafrost and foundation movement; on the coast, about wind-driven rain and gutter ice.

Respect the season — and book early. Alaska’s exterior construction window runs roughly May through September, and the best crews are booked by March. Winter is actually a smart time for interior remodels, when good contractors have more availability and sharper pricing.

Get three written bids and check the math. Alaska material costs run well above national averages because nearly everything is barged or trucked in, and labor is scarce. That makes an unusually low bid even more suspicious here than elsewhere — it usually means missing scope or materials that will “become” change orders.

Never pay big money up front. A 10–30% deposit for materials is normal, especially given Alaska freight lead times. Demands for half or more before work starts, or cash-only terms, are classic warning signs.

Use Alaska’s energy programs. The Alaska Housing Finance Corporation runs energy rebate and home energy loan programs that can offset insulation, heating system, and window upgrades. A contractor familiar with AHFC paperwork and energy ratings can put real money back in your pocket.

General Remodeling and Home Improvement Companies in Anchorage

Anchorage is home to nearly 40% of Alaska’s population and the deepest bench of remodeling talent in the state. General contractors here handle everything from earthquake-damage drywall repair (a booming specialty since the 2018 quake) to whole-house renovations of the city’s huge stock of 1970s–80s split-levels and ranches. When choosing an Anchorage remodeler, decide first whether you need a full general contractor — required for structural work, multi-trade projects, and anything touching more than a quarter of the home’s value — or a skilled handyman operation for smaller punch lists, which many excellent local outfits handle at far lower cost. Confirm state registration, bonding, and insurance in every case, and ask how the company protects interior furniture and finishes during winter work, when jobs can’t simply “move outside.” Expect Anchorage bathroom remodels to run roughly $15,000–$40,000 and kitchens $30,000–$90,000 given Alaska material freight. These are the city’s most consistently reviewed remodeling and repair companies.

Home Improvement Companies in Fairbanks and Interior Alaska

Interior Alaska is the most demanding remodeling environment in the United States. Fairbanks and North Pole homes endure -40°F winters, ice fog, permafrost-affected foundations, and a construction season so short that scheduling is half the job. The contractors who thrive here are, by necessity, problem-solvers: they understand balloon-framed 1940s cabins, boiler systems, arctic entries, and the vapor-barrier discipline that keeps warm interior air from rotting a wall cavity from the inside. When hiring in the Interior, prioritize firms with documented cold-climate experience and ask how they sequence exterior work against freeze-up — a half-finished siding job in October is a genuine emergency here. Also ask about heated-space workarounds for winter interior projects and lead times on materials, which routinely add two to four weeks versus Anchorage. Pricing generally tracks Anchorage levels, with premiums for anything off the road system. These Fairbanks-area companies carry the strongest verified reputations for remodeling, repairs, and general construction.

Home Improvement Companies in the Mat-Su Valley: Wasilla and Palmer

The Matanuska-Susitna Valley is Alaska’s fastest-growing region, and its contractor market has matured to match — Wasilla and Palmer now support design-build remodelers, custom home builders, and specialty crews that once required a drive to Anchorage. Valley work has its own flavor: larger lots mean more shops, garages, decks, and outbuildings; well-and-septic properties add plumbing complexity; and the Knik wind that roars through Palmer punishes shoddy roofing and siding. When choosing a Mat-Su contractor, ask whether they self-perform or subcontract (Valley firms are often lean owner-operator crews, which usually means the owner is on your job daily), confirm state registration and bonding, and get realistic scheduling — the best Valley builders book out months for summer exterior work. Many companies below serve Anchorage as well, sometimes at better rates than in-town competitors. From full kitchen transformations to hangar homes, these are the Valley’s most trusted names.

Home Improvement Companies in Juneau and Southeast Alaska

Southeast Alaska’s rainforest climate flips the script on the rest of the state: instead of extreme cold, contractors in Juneau, Sitka, Ketchikan, and the island communities battle 60–90 inches of annual rain, relentless moss growth, and salt air that corrodes fasteners and flashing. Moisture management is everything here — gutters, drainage, ventilation, and rot repair dominate the work, and the best Southeast contractors are effectively moisture specialists who also swing hammers. Hiring is complicated by geography: many communities are accessible only by boat or plane, so crews willing to travel to Thorne Bay, Wrangell, or Haines are worth their weight in gold and should be booked far in advance with materials barged ahead of time. Confirm state licensing and bonding as everywhere in Alaska, and for exterior work ask specifically about stainless or coated fasteners and how the company details flashing against wind-driven rain. These Juneau-based companies anchor the Southeast market.

Home Improvement Companies on the Kenai Peninsula: Soldotna and Kenai

The Kenai Peninsula mixes year-round family homes in Soldotna, Kenai, and Sterling with a huge inventory of cabins, fishing lodges, and seasonal properties — and that mix shapes the local contractor market. Peninsula builders are unusually versatile, moving between concrete work, framing, remodels, and the freeze-protection details that matter when a property sits empty in January. If you own a recreational cabin, ask contractors about winterization experience, heat-tape and monitoring options, and their comfort working properties off the main highway. Year-round homeowners should apply the standard Alaska checklist: current state registration and bonding, proof of insurance, written scope, and realistic summer scheduling, since Peninsula crews juggle fishing-season demand along with everyone else. Anchorage firms will travel here for larger projects, but local companies usually win on responsiveness — a genuine advantage when a frozen line or storm damage needs same-week attention. These are the established general contractors serving the central Peninsula.

Kitchen and Bathroom Remodeling Specialists in Alaska

Kitchens and baths are the most-requested remodels in Alaska, and they carry a uniquely local complication: cabinets, countertops, and specialty fixtures almost all ship from the Lower 48, so lead times of six to twelve weeks are normal and a firm with strong supplier relationships is worth a premium. Alaska’s best kitchen-and-bath specialists pair in-house designers with showrooms where you can handle materials in person — invaluable when reordering a damaged slab means another month on the barge. When comparing bids, insist that each one names the cabinet line and box construction, countertop material, tile and waterproofing system, and fixture allowances; a failed shower pan is expensive anywhere, but in Alaska the repair costs compound with freight and scarce labor. Good interior design guidance also earns its keep in the state’s many 1970s–80s homes, where dated soffits and closed layouts hide dramatic potential. Expect full Alaska bathroom remodels from roughly $15,000–$45,000 and kitchens from $30,000–$90,000+. These specialists lead the market.

Roofing Companies in Alaska

Alaska roofs work harder than roofs anywhere else in the country. They carry heavy snow loads for six months, endure freeze-thaw cycling that destroys cheap shingles, and — the state’s signature roofing problem — fight ice dams, where escaping interior heat melts snow that refreezes at the eaves and forces water backward under the roofing. A competent Alaska roofer treats ice damming as an insulation and ventilation problem, not just a shingle problem, and the best ones will inspect your attic before quoting your roof. Metal roofing is increasingly the Alaska default for its snow-shedding and 40-year lifespan; expect asphalt shingle replacements from roughly $10,000–$20,000 for an average home and standing-seam metal from $18,000–$35,000+. Because the roofing season is short, book estimates in late winter for summer installation, and treat any door-knocking “storm chaser” with no permanent Alaska address as an automatic no. Confirm state registration, bonding, and a written workmanship warranty separate from the manufacturer’s. These companies dominate Alaska’s residential roofing market.

Heating, Boiler, and HVAC Companies in Alaska

Heat is life safety in Alaska, and the state’s heating trade reflects it: most companies run true 24/7 emergency service, because a dead boiler at -30°F can freeze and burst a home’s plumbing within a day. Alaska homes rely heavily on hydronic boiler systems and oil- or gas-fired furnaces rather than the heat-pump-and-AC setups common outside, so hire a company fluent in your specific system — boiler diagnostics are a specialty, not a given. Annual fall servicing is the cheapest insurance a homeowner can buy here; it keeps efficiency up, catches failing parts before deep winter, and preserves warranties. Typical Alaska costs run $200–$400 for a boiler or furnace tune-up, $6,000–$12,000 for furnace replacement, and $10,000–$20,000+ for full boiler system replacement. Ask every heating contractor about their after-hours rates in writing, whether they stock parts for your brand, and whether high-efficiency upgrades qualify for Alaska Housing Finance Corporation rebate programs. These are the state’s most heavily reviewed heating specialists.

Plumbing Companies in Alaska

Alaska plumbing is defined by one enemy: the freeze. Frozen and burst pipes, frozen septic lines, failed heat tape, and sump emergencies during breakup (spring melt) keep the state’s plumbers busy year-round, and the best companies combine standard drain-and-fixture work with genuine cold-weather expertise — pipe thawing, freeze-protection design, and well and septic systems that much of Alaska relies on outside city utility zones. State law requires plumbers to be licensed journeymen or masters working under registered mechanical contractors, so ask for both the individual’s certificate of fitness and the company registration. Expect Alaska service calls around $100–$200, water heater replacements from $1,800–$3,500 (freight raises equipment costs), pipe-thawing calls from $300–$800 depending on access, and full repipes from $6,000 upward. Two smart questions for any Alaska plumber: do they guarantee their freeze repairs through the rest of the winter, and do they offer camera inspection before quoting sewer work? The companies below have the deepest verified track records across the state’s major population centers.

Electrical Contractors in Alaska

Alaska’s electrical trade is booming on the back of two purchases: standby generators and EV chargers. Windstorms and winter outages have made whole-home generator systems a mainstream upgrade — a serious investment at $10,000–$18,000 installed, and one worth entrusting only to a licensed electrical contractor experienced with transfer switches and gas coordination. Meanwhile panel upgrades ($2,500–$5,000) are common in the state’s large stock of older homes, and engine-block-heater outlets, heat-tape circuits, and detached-shop subpanels are everyday Alaska requests that Lower 48 electricians rarely see. State law requires electricians to hold a certificate of fitness and companies to carry an electrical administrator license; both are verifiable through state licensing records, and permits with inspection are required for panel and circuit work in most municipalities. Get the permit question answered up front — an electrician who suggests skipping it is transferring risk to you. Costs run roughly $100–$150 per hour for licensed electrical labor statewide. These companies carry Alaska’s strongest electrical reputations.

Painting Companies in Alaska

Painting in Alaska is a race against the calendar. Exterior work needs sustained temperatures above roughly 50°F for proper curing, which compresses the season into June through August and books the good crews solid — schedule exterior estimates in spring or accept a year’s wait with the most in-demand companies. Alaska’s climate also punishes prep shortcuts mercilessly: UV-intense summer light, wind-driven grit, and months of freeze-thaw will peel a poorly primed surface in two seasons. Insist that bids itemize washing, scraping, priming of bare wood, and caulking, plus the exact product line and number of coats. Cedar and log homes — an Alaska specialty — need crews experienced with stains and breathable finishes rather than standard paint. Interior painting, happily, is perfect winter work and often cheaper booked between October and April. Expect interior painting around $2.50–$4.50 per square foot in Alaska and full exterior repaints from $5,000–$12,000 depending on size, siding, and prep condition. These painters have the state’s most consistent records for prep discipline and cleanliness.

Flooring Companies in Alaska

Alaska flooring choices start with two local realities: entryway abuse and dry winter air. Six months of boots, grit, ice melt, and snowmelt make waterproof luxury vinyl plank the state’s most popular whole-home flooring at roughly $5–$9 per square foot installed, while extremely low indoor humidity in winter can gap and check solid hardwood — engineered wood handles Alaska’s humidity swings far better and refinishes nearly as well. Carpet remains beloved in Alaska bedrooms for warmth underfoot over cold crawlspaces. Because virtually all flooring ships from Outside, showroom-based dealers with strong distribution matter more here than in the Lower 48; the best let you borrow samples, keep popular lines in local stock, and quote realistic delivery dates rather than optimistic ones. As with every trade, the quality difference lives in subfloor prep — leveling, moisture checks over crawlspaces, and proper underlayment — so make each bidder spell out exactly what preparation is included. These Anchorage-area flooring companies combine deep product selection with experienced installation crews.

Window, Door, Glass, and Siding Companies in Alaska

Nowhere does window quality pay off faster than Alaska, where a drafty single-pane unit bleeds heating dollars for eight months a year. Modern triple-pane and high-performance double-pane windows with insulated frames are the local standard, and upgrades can qualify for Alaska Housing Finance Corporation energy programs — ask your installer about energy ratings before ordering. Expect $700–$1,500 per window installed for quality replacements (Alaska freight and labor push prices above national norms), $2,000–$6,000 for entry and patio doors, and $15,000–$30,000+ for whole-house siding. On the exterior design side, steel and fiber-cement siding have surged in popularity for their wind resistance and zero-repaint maintenance, a meaningful benefit given the state’s short painting season. Beware high-pressure “today-only” window pricing; established Alaska companies hold quotes for weeks. And for foggy or failed glass, dedicated glass shops can often replace just the sealed unit at a fraction of full-window cost — worth a call before committing to replacement. These are the state’s leading envelope specialists.

Insulation and Energy Efficiency Companies in Alaska

Insulation is the highest-return home improvement in Alaska, full stop. With heating seasons running eight-plus months and fuel costs among the nation’s highest, upgrades that would take a decade to pay back in the Lower 48 often pay for themselves here in two to four winters. The state’s signature service is spray-foam work — crawlspaces, rim joists, shops, and cabins — because closed-cell foam insulates and air-seals in one step while shrugging off moisture; expect roughly $1.50–$3.00 per board foot installed. Crawlspace encapsulation with vapor barriers, attic top-ups, and foundation weatherization round out the core menu. Two Alaska-specific tips: first, insulation and air-sealing must be paired with proper ventilation (HRV systems) to avoid trapping moisture in a tight home, so favor contractors who talk about the whole system; second, ask about Alaska Housing Finance Corporation energy rebate eligibility and whether an energy rating before-and-after can unlock program dollars. A home that is properly sealed and insulated is also quieter, more comfortable, and far less prone to the ice dams that wreck Alaska roofs. These specialists lead the market.

Deck, Fence, and Garage Door Companies in Alaska

Alaska’s short, glorious summers make outdoor living space precious, and the deck-building trade here has responded with a clear local playbook: composite decking (Trex and similar) that survives freeze-thaw without annual staining, helical piers that resist frost heave in wet or unstable soils, and covered or roofed deck sections that extend the season through rain and shoulder months. Expect quality composite decks from roughly $15,000–$35,000+ with railing and stairs. Fencing carries its own Alaska twist — many homeowners fence specifically to keep moose out of gardens and dogs safely in, which means taller builds and stouter posts than Lower 48 norms; wood privacy fencing runs about $30–$50 per linear foot installed, and the busiest fence companies book a season or more ahead, so call early. Garage doors, finally, are essential winter equipment here: a failed spring at -20°F with your car trapped inside is a genuine emergency, and the best local door companies offer same-day spring and opener repair ($250–$500 typical) plus insulated replacement doors ($1,800–$5,000) that meaningfully cut garage heating costs. All the companies below are established Alaska operations.

What Home Improvement Projects Cost in Alaska

Alaska is one of the most expensive states in the nation for construction, driven by freight on nearly every material, a small skilled-labor pool, and a compressed working season. Use these typical statewide ranges to pressure-test bids — and remember that off-road-system and rural projects add travel and barge premiums on top.

Expert Tips for Working With Alaska Contractors

Book against the season, not the calendar. Exterior trades — roofing, siding, painting, decks, fencing — effectively sell out by early spring. Get estimates in February and March for summer work. Flip the logic for interior remodels: October through April is when great contractors have openings and motivation to sharpen pricing.

Understand Alaska’s licensing stack. A legitimate contractor shows you three things: current state contractor registration, an active surety bond, and insurance certificates including workers’ compensation. For substantial residential work, add the Residential Contractor Endorsement with its cold-climate training. Plumbers and electricians additionally carry individual certificates of fitness. Every piece is verifiable through the state’s public license lookup — thirty seconds of checking prevents the most expensive hiring mistakes.

Make the contract carry the weight. Alaska’s freight lead times make change orders costlier than elsewhere, so the written scope should name products, brands, and models; tie payments to completed milestones; assign responsibility for permits; and define how material delays affect the schedule. Ask specifically how the contractor handles the discovery of hidden problems — rot, outdated wiring, frost damage — because in Alaska’s older housing stock, discovery is the rule.

Plan for freight, then plan again. Cabinets, windows, specialty tile, and fixtures routinely take six to twelve weeks to arrive. The smoothest Alaska remodels finalize every selection and receive critical materials before demolition begins. A contractor who proposes starting demo “while we wait on cabinets” is scheduling your family into a months-long kitchen outage.

Weatherization money is real money. Alaska Housing Finance Corporation programs, utility incentives, and federal energy tax credits can meaningfully offset insulation, heating, and window projects. Contractors experienced with energy ratings and program paperwork routinely save clients thousands — ask about it in the first conversation.

Close out like a professional. Hold final payment (10% is customary) until the punch list is done, then collect lien waivers from the contractor and major suppliers. Alaska law allows unpaid subcontractors and suppliers to lien your property even when you paid the general contractor in full; waivers are the paperwork that closes that door.

Frequently Asked Questions About Home Improvement Companies in Alaska

Do contractors need a license in Alaska?

Yes. Alaska requires all contractors to register with the Department of Commerce, post a surety bond, and carry liability and workers’ compensation insurance. Contractors building new homes or performing remodels exceeding 25% of a home’s value must also hold a Residential Contractor Endorsement, which requires completing an approved Alaska cold-climate construction course. A narrow handyman exemption exists for small projects under $10,000, and licensed trades — plumbing, electrical, mechanical — require individual certificates of fitness regardless of job size. Always verify credentials through the state’s public license database before signing.

How much does it cost to remodel a house in Alaska?

Plan on 20–40% above Lower 48 pricing for equivalent work. Whole-house renovations commonly run $100–$200 per square foot depending on scope, kitchens range from about $30,000 to $90,000 and up, and bathrooms from $15,000 to $45,000. The premium comes from freight on nearly all materials, a tight labor market, and cold-climate building requirements. The upside: energy-focused upgrades pay back far faster in Alaska than almost anywhere else because heating costs are so high.

Who are the best home improvement companies in Alaska?

It depends on region and trade, since Alaska’s market is deeply local. Based on current verified review data, standouts include Alaska Professional Services and Willowridge Construction for Anchorage remodeling, Far North Craftsmanship and Falcon Alaska in the Mat-Su Valley, Graham Construction and Straight Ahead Construction in Fairbanks, Diamond Heating & AirTemp and Rocky’s Heating for heating systems, Drain Masters and Prospector Plumbing for plumbing, and Total Roof Care and Storm Proof Roofing for roofs. The tables above organize more than 100 verified companies by region and specialty so you can match the right firm to your project and city.

When is the best time to schedule home improvement work in Alaska?

Exterior work — roofing, siding, painting, decks, concrete — belongs to the roughly May-through-September window, and the best crews fill their summer calendars by March, so start conversations in late winter. Interior remodels are ideal winter projects: contractors have more availability from October through April, and some price more competitively in the slow season. Heating system replacements are smartest in late spring or summer, when you are not living without heat during the work and emergency-season premiums do not apply.

How do I deal with ice dams on my Alaska roof?

Ice dams form when heat escaping into the attic melts roof snow that refreezes at the cold eaves, backing water up under the shingles. The lasting fix is not on the roof at all — it is air-sealing and insulating the attic floor and ensuring proper ventilation so the roof deck stays uniformly cold. Short-term, professional snow removal from the lower roof and steaming of existing dams prevent interior damage. Several roofing and insulation companies listed above handle both the emergency response and the underlying insulation correction, and pairing the two is the only approach that actually ends the cycle.

Do Alaska home improvement companies work in winter?

Absolutely — winter is prime season for interior work. Kitchens, bathrooms, flooring, painting, basement finishing, electrical, and plumbing all proceed normally, and heating contractors do their most urgent work of the year. What pauses is most exterior work: painting needs warm cure temperatures, concrete and excavation wait for thaw, and roofing becomes emergency-only for most crews (though experienced Alaska roofers do complete cold-weather installs when necessary). Smart homeowners flip the calendar: interior projects in winter, exterior projects booked early for summer.

What should I ask before hiring an Alaska contractor?

Beyond the universal questions — license, bond, insurance, references, written scope — add the Alaska-specific ones: Have you completed the state’s cold-climate construction course? How do you detail vapor barriers and ventilation? What are your material lead times, and will everything be on hand before demolition? How do you handle freeze-up deadlines if the schedule slips? Do you have experience with boiler systems, wells, and septic if my home has them? A contractor who answers these fluently has built in Alaska; one who waves them off has not.

Is it worth upgrading insulation before other remodeling in Alaska?

Usually, yes — and often first. Insulation and air-sealing deliver the fastest payback of any Alaska home improvement, frequently recovering their cost within two to four heating seasons while making every room more comfortable. They also protect other investments: proper attic insulation prevents the ice dams that destroy roofs, and a sealed envelope lets a new boiler or furnace be sized smaller and run less. If your remodel opens walls anyway, insulating while they are open costs a fraction of doing it later. Check Alaska Housing Finance Corporation programs before starting, since rebates may apply.

Do I need a permit for home improvement work in Alaska?

It depends on your municipality. Anchorage, Fairbanks, Juneau, and most organized boroughs require permits for structural changes, additions, electrical circuits, plumbing alterations, heating system replacements, and often re-roofs, while cosmetic work like paint and flooring is exempt. Large areas of unorganized-borough Alaska have no local permitting at all — but state licensing law and trade certification requirements still apply everywhere, and lenders and insurers increasingly expect documented, code-compliant work. A professional contractor pulls required permits themselves; treat any request that you pull an owner’s permit for their work as the liability shift it is.

How far in advance should I book a contractor in Alaska?

For summer exterior work, two to five months ahead is realistic and popular specialty crews — fencing and high-demand painters especially — can run a full season out. Kitchen and bath remodels need four to twelve weeks of design and material lead time before construction even starts, so begin planning a quarter ahead of your target. Emergency trades are the exception: heating, plumbing, garage door, and glass companies across the state run same-day and 24/7 response, because in Alaska a dead boiler or burst pipe cannot wait.

Are handyman services legal in Alaska without a contractor license?

Alaska’s handyman exemption allows unlicensed individuals to perform small repair projects valued under $10,000 that do not require specialty trade licenses. Anything touching plumbing, electrical, or mechanical systems requires certified tradespeople no matter how small, and larger remodels require registered, bonded contractors. Even where the exemption applies, hiring registered and insured handyman companies — several excellent ones appear in the tables above — gives you bonding protection and state recourse that an unlicensed operator cannot offer.

Do Alaska contractors offer financing?

Many established companies do, particularly in windows, heating, and larger remodeling, through lenders and in-house payment plans; several firms listed above advertise financing and flexible payment options. Alaska homeowners also have a state-specific tool worth comparing: Alaska Housing Finance Corporation home improvement and energy efficiency loan programs, which can offer favorable terms for qualifying upgrades like insulation, heating systems, and windows. Compare contractor financing APR against AHFC programs, home equity options, and credit union offers before committing — the spread between them is often significant.