- Get recommendations and references
Talk to friends, family, and others who have used the contractor for similar work.
|
- Get at least three written estimates.
Insist the contractors come to your home to evaluate what needs to be done. Be sure the
estimates are based on the same work so that you can make meaningful comparisons.
|
- Check contractor complaint records.
Your state or local consumer protection agency or Better Business Bureau can
provide this information.
a) Consumer Protection Division. Office of the Attorney General. www.ncdoj.com
b) Better Business Bureau www.nwnc.bbb.org
|
- Make sure the contractor meets licensing and registration requirements.
Your state or local consumer protection agency can help you find out what the necessary
requirements are.
|
- Get the names of suppliers and ask if the contractor makes timely
payments.
|
- Contact your local building inspection department to check for permit
and inspection requirements. Be wary if the contractor asks you to get the permit--it
could mean the firm is not licensed.
a) Important numbers
|
- Be sure your contractor is insured. They should have personal
liability, property damage and worker's compensation insurance for workers and
subcontractors. Also check with your insurance company to find out if you are covered for
any injury or damage that might occur.
|
- Insist on a written contract that states exactly what work will be
done, the quality of materials that will be used, warranties, timetables, the names of any
subcontractors, the total price of the job, and the schedule of payments.
|
- Try to limit you down payment. Some states have laws limiting the
amount of down payment required.
|
- Understand you payment options. Compare the cost of getting your own
loan versus contractor financing.
|
- Don't make a final payment or sign a final release until you are satisfied with
the work and know that subcontractors and suppliers have been paid. Some state
laws allow unpaid subcontractors and suppliers to put a lien on your home for bills the
contractor failed to pay.
|
- Pay by credit card when you can. You may have the right to withhold
payment to the credit card company until problems are corrected.
|
- Be especially cautious if the contractor:
| a) comes door-to-door or seeks you out. |
h) offers an unusually long guarantee. |
b) just happens to have material left over from a
recent job |
i) can only be reached by leaving messages with
an answering service. |
| c) tell you the job will be a demonstration |
j) drives an unmarked vehicle. |
d) offers you discounts for finding others
customers. |
k) has out-of-state license plates
|
e) quotes a price that's out of line with other
estimates. |
l) ask you to pay for the entire job up front.
|
| f) pressures you for an immediate decision. |
m) with most home improvements, federal law
gives you three business days to cancel
without penalty. Of course you would be
liable for any benefit already received. State
laws may also provide some protection. |
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