5 Things You Should Not Do and 10 Things You Should Do Before Hiring a Building Contractor

Over the years I have worked with hundreds of10 Things You Should Do Before Hiring A Contractor
clients. No matter if it was a new home, room1. Licensing - Find out if the contractor is licensed and
addition or a remodeling project, I tried very hard toor bonded in the cities, counties or states in which it
do the job right. With the reputation that contractorsis required.
can have now days, it is very important for the2. Insurance - Make sure the contractor carries liability
homeowner to make the right decisions when hiring ainsurance and make sure you see a copy of it.
contractor. With so many contractors out there all3. Workers Comp. - Make sure your contractor
telling you that they will do the best job for you, itcarries Worker's Comp. Insurance and ask to see the
takes more then just having a good feeling about acertificate
contractor or even a good referral from a friend or4. Complaints - Check with the Better Business
relative.Bureau for unresolved complaints with the contractor
So, after over 40 years of dealing with people,5.Client References - Ask for at least 5 or more
working with sub contractors and just knowing whatcurrent and past client references. Make sure you call
are the right things to do to make the buildingthem and ask questions.
experience the best it could possibly be for my6. Professional References - Ask for at least 5 or
clients, I have come up with two lists that themore material suppliers and sub contractor
homeowner can use as a guideline in helping them toreferences. Again, make sure you call them and ask
make the right choice when hiring a buildingquestions. If the contractor is not paying his bills in a
contractor.timely matter, you need to be aware of that
5 Things You Should Not Do Before Hiring abecause chances are this could be a big problem for
Contractoryou down the road.
1. Lowest Price - Don't choose your contractor just7. Permits - Make sure the contractor takes out the
because he is the lowest priced. A legitimatenecessary building and zoning permits whenever it is
contractor has many expenses to keep his companyrequired. Having your project inspected insures you
going. Contractor's need to carry liability insurance,that the job will get done in accordance with the city,
worker's comp. insurance and health insurance forcounty and state requirements.
employees. They have several operating expenses8. Professional Organizations - If your Contractor is a
and pay city, state and federal taxes. With all thesemember of The Home Builders Association - The
expenses it will become apparent that they will haveNational Association of the Remodeling Industry -
to charge enough to help cover their costs. EvenThe Better Business Bureau or any other professional
though the contractor you hire may not be theorganization, it means that time, effort and money
lowest priced, you can rest assured you are gettingwent into joining and he or she is serious about their
a contractor that is doing things the right way andbusiness. These types of organizations don't just let
that is what you can expect out of the job they doanyone join them. They do a thorough check up of
for you.each contractor that applies for membership before
2. Down Payment - Never give a contractor a largethey accept them.
down payment! In most cases a down payment of9. Sub-Contractors - Ask your contractor for the
5% to 20% down, is all that is needed for anames of the sub contractors he or she is going to
contractor to get the job started. If someone isuse and don't be afraid to check them out as well.
asking for a third or half down, you better beAs a rule, if a company is incorporated then that is a
cautious. Unless the contractor has orderedplus but this does not mean that you still should not
something special that you requested and thecheck them out. You can make inquiries with your
company require a large amount down, there shouldlocal building department and the Better Business
be no reason for you to have to give a downBureau.
payment that large. If the contractor does ask for10. Get Everything In Writing! - Get as much detail as
that much, make sure you get it in writing as topossible. This should include an itemized signed and
where the money is going.dated estimate or cost breakdown. Once you
3. Credit - Don't give a contractor all the money updecided on who you are going to hire; "Make Sure
front for the materials needed for the entire job. If aYou Sign A Contract!" The contract should specify
contractor does not have accounts set up withthe cost of the project, the down payment and
suppliers, there is usually a reason. One reason couldpayment schedule, the approximate completion time,
be that he or she is just starting out and has notthe name and address of the contractor's liability
established credit yet, or another might be that theinsurance company, the companies guarantee or
contractor has some credit problems and if he or shewarranty, information as to the contractor and or
does, that could spell trouble for you.sub contractor's being licensed and insured, and an
4. Get It In Writing - Never hire a contractor unlessacceptance clause and places for you and the
you get a legible cost break down or estimate and acontractor to sign and date. Do not be afraid to ask
signed contract. I can not stress this enough. Makeyour contractor a copy of the company's contract to
sure everything you want is spelled out exactly thehave your attorney look over before you sign. You
way you agreed. A verbal agreement is notcan check with the BBB, NARI and the Home Builder's
satisfactory. This will protect you and it will alsoAssociation for information on contracts.
protect the contractor. It is the only way you shouldThese two lists set the ideal standard. It may not be
do business with a contractor.possible for the contractor you want to hire, to
5. Recommendations - Don't hire a contractor justcome up to this standard completely on every point,
because the company was recommended by a friendbut if you follow these guidelines, hopefully you will
or neighbor. Although this could be a good thing thatfeel better about the choice you make. Remember,
someone you know has used the contractor and haddepending on your project, you will have to deal with
good results, make sure you check with others whothe person you hire for the entire length of your
have used the company as well. Follow the guidelinesproject, so why not try to make that as pleasant an
in the last post, "Ten Things You Should Do Beforeexperience as possible.
Hiring a Contractor."