How To Hire A Contractor For Your Next Renovation Project

There's nothing more frustrating than hiring a contractor and then having them flake out on you or make promises they can't deliver on.

You've got to know what to look for when hiring one, or this could happen to you: You get a great bid from a contractor, you sign the contract, and then he doesn't show up at all. Maybe he shows up late or does sloppy work or just disappears altogether. What do you do now?

The good news is that there are ways to protect yourself from getting scammed by a dishonest contractor.

When you’re ready to start your next home improvement project, it can be tempting to hire the first contractor you find. But before you do, take these steps to ensure that you get the best possible deal.

  • Write down and KNOW what you want done - in great detail.

  • Be specific about what materials you want used, how much work needs to be done and how much time it should take.

  • Set a budget for the job and stick to it.

  • Find out if the contractor is licensed, bonded and insured — this is important!

1. Check references

Check references — carefully. Ask for references from previous clients who live near you so that you can talk with them in person about their experiences with the contractor. Check out those references by calling them directly (not just relying on their name) and making sure that they are still happy with their work after several months or even years have passed since their projects were completed.

Look up the company's Better Business Bureau record and check with the State Attorney General's office in your state to see if there are any complaints against them.

2. Ask for proof of insurance

Ask for proof of insurance coverage for both liability and workers' compensation for all employees who may be working on your property — including subcontractors hired by the general contractor (or vice versa). Request copies of all policies so that you can verify that coverage is current and valid before any work begins on your home.

It is especially important to ask the contractor if he employs his trade workers or outsources the work to third party trade individuals? You need to be adamant on requiring copies of all of their insurance coverages, both errors & omissions and liability.

In the scenario that a trade worker makes an expensive mistake on the job , or does a really poor workmanship, you need to be able to go after the contractor where he then needs to go after the insurance of his trade in order to cover the damages and replacement of materials.

3. Look at previous work

Another great way to learn about a contractor’s quality of work is to look at their previous projects — both completed and in progress. Many contractors will have photos of their work on their website or social media page and these can help give you an idea of what to expect with them on your project.

4. Do some online research

Check out websites like Angie's List, HomeAdvisor, Yelp, Google or Thumbtack to see what other people have said about specific contractors that interest you. These websites allow customers to review businesses they've used and rate them based on quality of work, responsiveness, punctuality and more. You can also search social media sites like Facebook or Twitter where customers often post pictures of projects they've had completed.

5. Never pay in cash or in full upfront

You should never pay in cash or by check. If the contractor asks for this, it's usually because they don't want to give you a receipt for the payment. This way, if something goes wrong with the project or you decide to take legal action against them, it will be harder for them to track down their money.

Instead, break down the total amount into phases. Each work phase should be completed without issues before moving on to the next. Often times, there will be an inspector assigned to ensure things are up to code in each phase.

6. Compare Apples to Apples

In order to properly compare 2 different estimates from 2 different contractors, make sure that their proposal is itemized.

A lot of contractors out there will give you a very vague estimate without disclosing allocations or explaining what portion of your budget goes towards what specific part of the project.

A good example of this is electrical allocations, making sure your bathroom will be waterproofed correctly, or if they are replacing your sheetrock completely or patching old one up.

Don't dismiss the "more expensive" contractor. In reality, his estimate is probably more accurate than the one who came in "15K lower". Why is that?

Just think about it for a second: contractors don't normally charge for estimates, which means they are burning their own resources to come to you, spend time going over the job, then driving home, spending more time in writing up the proposal, just for you to end up going with the one who gave you a lower estimate with a vague number on the spot.

Often times, the vague ones will hit you hard on the back end with "other, undisclosed" extra expenses and fees, and at this point, it's already too late to back out.

On the other hand, don't wait weeks on a proposal either. That just tells you that the contractor has enough work to go around to really not care or maybe he just didn't even want the job.

The ones who do want the job, however, will be courteous, fair, honest and knowledgeable and will get you the estimate within a week or less.

Red Flags To Look For When Hiring A Contractor

1. They Don't Answer Questions Clearly

The best contractors are able to answer all of your questions clearly and honestly. If they can't give you an answer or seem evasive, it's probably not a good sign. If they say yes to everything, and "no problem", we can do it all, that is also not a great sign.

2. They Are Unprofessional

If your contractor shows up late for meetings, arrives at work with no tools or supplies, or doesn't dress appropriately for the job site, this could be a sign that they aren't taking your project seriously enough. Even if their work is good quality, this kind of behavior can lead to problems down the road — especially if they don't care about their own professionalism on the job site!

3. They promise services that aren't included in their estimate

Listen to your gut, if it sounds too good to be true - it probably is.

4. They don't have a license or insurance (or they give you excuses)

Don't consider hiring contractors who don't provide you with the appropriate licensing information. Next!

5. They want to make shortcuts

Some contractors will flake on following proper code requirements and will even advise you on how to avoid town/city permits to save on time/money just so they can book the job with you.

The only one who can make a decision to not file permits is yourself. The contractor, interior designer and/or architect must advise you to file for proper permits each and every time. If you decide not to, and it comes back to haunt you, then, that will solely be on you.

What To Do Once You've Hired A Contractor

  • Responsibility allocations

If you're hiring multiple professionals to execute the job, all of them need to properly communicate with you, (for example: an interior designer, an architect, a structural engineer, contractor, project manager etc.) and among each other. Please be sure to discuss everyone's level of involvement and decision making abilities in a group meeting prior to any work beginning, then have it all in writing.

  • Keep paper trails of all communication

It is important to have everything in writing. If anything goes wrong, you can fall back on written proof. This can be via email, text of voice message.

  • Ask questions

Don't be afraid to ask questions. If you see something that doesn't seem right, clarify it immediately so it can be rectified before it's too late.

  • Don't leave them unsupervised

Trust is a wonderful thing, but don't leave the job site unsupervised for lengths of time. If you work full time, ask for photos on the progression of work throughout the day. Inspect the job site upon arriving home, in detail. Check for uneven grout lines in your tile installation, caulking, any type of seams in either stone or millwork... just look at the details from up close.

  • Call your designer immediately (if you have one)

Your designer isn't able to be on site all the time. Contractors are supposed to follow designers drawings and elevations to the T. If something isn't right, the tiles are installed the wrong way, or the grout color is wrong, the electrical box isn't positioned correctly, whatever it is, stop the work immediately and call your designer to clarify.

I can’t even tell you how many times I’ve had contractors “color match” my paint selections to another brand. Nearly 100% of the time, I specify Benjamin Moore, and I have to be sure to communicate to the client and the contractor to never under any circumstances try to color match the color to “Save” a little.

Who should you hire and in what order?

I get hired all the time after it is already too late.

Contractors and architects are not designers, period. Our thought process, as interior designers, is vastly different. If you're planning on hiring an interior designer at some point, please consider hiring us prior to any major decisions being made. We like to get involved either before the architect , or review their first draft of drawings/plans to advise on proper spatial arrangements and floorplan flow.

 

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I hope some of these nuggets of advise helps you avoid costly mistakes in your next renovation project.

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