How To Choose The Right Home Improvement Contractor

A home improvement contractor is a person or company that is engaged to design, oversee, and execute renovation, remodeling, repair or improvement work in a home. When hiring a contractor, it is important to consider their experience, licensing, insurance, references, reputation, cost, and contract terms. A good contractor will have a detailed written estimate, will follow local building code requirements, will be able to state exactly what he or she will do, and will have a history of building projects that are similar. Homeowners can prevent shoddy work, high expenses, delays and conflicts by taking the time to hire a qualified contractor.

Home improvement projects can bring about a better feeling, better operate and better worth to a home. From kitchen remodels to bathroom upgrades, basement finishing, flooring replacement, and anything else, you can depend on the contractor you select to make a huge difference.

A first-class contractor is more than just a man who does the work. They organize staff, place orders for materials, keep schedules up to date, troubleshoot and communicate with you during the project. The opposite contractor however can cause delays, cost overruns and unnecessary stress.

For this reason, it’s crucial to not only consider the lowest offer, but to examine the other offers as well. You should find someone who has the skill, reliability, and experience needed to do the type of work you need to do. Here are some steps you can take to make an informed decision.

Understand Your Home Improvement Project

Decide what you are looking to achieve before reaching out to contractors. An accurate project description makes it easier for the contractors to compare and provide you a better estimate.

The first step is to list the work that you would like done. Add rooms, design changes, materials, and any particular features desired. Have plans, drawings, measurements and inspiration photos handy.

Also, set up a budget that is likely to be achievable. Your budget doesn’t have to be exact, but it does provide your contractors a good guideline. Don’t forget to budget for the unexpected! Issues with plumbing, electrical, structural or moisture may exist in older homes that are not apparent prior to work.

Take your preferred timeline into account as well. Please be aware that some contractors are booked well in advance, for several months. Having an idea of when your project will begin also helps you determine which contractors are available.

The clarity of the project helps to avoid confusion later on. It also enables comparison of estimates for the same scope of work, not the same numbers.

Research And Compare Potential Contractors

After comprehending the project, begin to compile a list of potential contractors. While a personal referral may be helpful, it is not a cures-all.

Seek the opinions of your friends, relatives, neighbors, and colleagues about projects they have already done on their homes. You can get helpful information from the local community groups and reviews online. But online reviews should not be the final decision makers, they should only be one of the factors.

Search for contractors that have experience in projects like yours. A contractor that specializes in minor repairs may not be the best suited for home remodeling. Similarly, a firm that specializes in big commercial projects may not be suited for a small residential job.

When researching each contractor look for:

Knowledge of projects or experiences that are comparable to your project.
Local licenses/registrations were required.
General liability insurance & Workers compensation insurance.
Positive and ongoing customer feedback
Clear communication
A professional business image
Verifiable references
An interest in giving a written estimate and contract.

Aim to have a short list of 3 or more qualified contractors. More choices will allow you to have a more solid foundation for comparing experience, pricing, communication, and approaches.

Check Licenses, Insurance, And References

Avoid missing out on the verification step just because a contractor appears friendly or has a good price.

Licensing requirements are different from place to place and from job to job. Contact your local and/or state authority to find out if the contractor requires a particular license for your project. Check that, if applicable, the licence is valid and suitable for the task.

Insurance is another crucial factor. Inquire about the coverage the contractor has, and ask for documentation as needed. General liability and workers’ comp insurance can help ward off some property damage claims and homeowners from some liability risks when workers are injured.

It’s also a good idea to check out customer references from recent clients. Ideally, consult with those who have projects like your own. Inquire with the references about their overall experience, communication, craftsmanship, time management, and how they dealt with unexpected problems.

Useful questions include:

Was the contract fulfilled by the contractor?
Did the project get to the completion stage within the anticipated timeframe?
Did there appear to be any unforeseen expenses?
How did the contractor deal with changes and/or issues?
Was communication consistent?
Would you use the contractor again?

If available, view completed projects. A visit to the contractor’s works will give you more information than a website or advertisement.

Compare Estimates Beyond The Price

While price is a factor, don’t use it as the only deciding factor when selecting a home improvement contractor.

Obtain a written quote from each contractor. It should include an explanation of what is involved in the project and highlight key expenses. The estimate can vary based on project and may contain labor, material, permit, demolition/cleanup, equipment and more.

Be wary of unusually low estimates. It could also indicate that the contractor has not included certain work, the materials are more expensive, or the contractor has cut back on the quality of materials. It does not indicate the contractor isn’t reliable, however it should be subject to more questions.

When comparing estimates, look at:

Total project cost
Labor charges
Material allowances
Payment schedule
Permit responsibilities
Estimated start and completion dates
Cleanup and waste removal
Warranty information
Procedures for changes or additional work

You should follow procedures for changes and/or additional work.

If something isn’t clear, feel free to ask a contractor to clarify. If a professional contractor is uncomfortable about explaining the calculation of the estimate, he should not take the job.

In addition, make sure to not pay a significant amount of money up front if you don’t know why you need it. Payment schedules should be set and reasonable in the contract.

Ask The Right Questions Before Hiring

Talk to contractors and find out a lot about them.

Find out who will be doing the job. Some contractors do a lot of work themselves and other contractors are using plenty of subcontractors. This doesn’t mean either one is necessarily better, but it’s important to be aware who will be servicing your home.

Don’t forget to ask about project supervision either. Identify the primary contact person and when you will be able to get updates. When construction goes longer than scheduled or the unexpected problem arises, good communication is crucial.

You can also ask:

For how long have you been in business?
Have you done anything like my projects lately?
Will you get the necessary permits?
Who will be responsible for the work?
Do you have subcontractors?
What if the job isn’t finished on time?
How are changes to the original plan handled?
I can provide a warranty of what?
What measures will you take to safeguard my house while you’re building it?
What will be done with the site to clean it up at the end of every work day or at the end of the project?

Listen to the contractor’s response. You’re not just assessing what they know. You are also assessing their listening skills, their ability to explain, and their concern for your concern.

Review The Contract Carefully

One of the most important safeguards for a homeowner is a written contract. Don’t just take the contractor’s word for it – even if you’re having a good relationship with the contractor.

Make sure that the contractor is clearly specified before you sign and that it clearly spells out what the project will be. It must also include the agreed price, payment terms, materials, timeline and responsibilities for both parties.

The agreement should discuss what will happen if there are changes. If a change in the project has occurred after work is started, it should be recorded, but this is not always possible. The additional work and additional costs should be agreed in writing in advance of the work being carried out, ideally.

Examine cancellation conditions, warranties, clean up requirements and dispute resolution processes. When the project is extensive and/or the contract itself is complicated, seek expert advice before signing.

Don’t sign if a contractor does not give you a written contract or pressures you into signing right away. A reputable professional will allow you to read the agreement and have questions answered.

Watch For Common Contractor Red Flags

It’s just as crucial to know what not to look for as it is to know what to look for.

There are some red flags that are readily visible and others which become evident in the bidding process. Be especially careful if a contractor:

Demands a very large upfront payment
Avoids offering an estimate or a contract in writing
Has no licenses or insurance to show for required licenses or insurance.
Does not have any verifiable references
Provides an estimate that is significantly lower that other estimates, without a clear explanation to the business why this is the case
Gives you urgent information to act on
Requires permits (which should be obtained by the contractor)
Lacks never documents changes to the quoted price, often does without explanations.
Does not respond to questions relating to subcontractors or project management
Refuses to accept other forms of payment unless there is documentation

However, one of the warning signs is not indicative of dishonesty among contractors. If multiple of these warning signs are present, however, then reconsider the hiring.

Trust your judgment. The difficulty in communication is likely to get greater once the project begins.

Final Thoughts

It will take you some time to select the right home improvement contractor, but all of this will help you ensure that both your home and your budget are protected. Not all contractors with low estimates are the best. Rather, you should search for a professional with the following qualities: Experience, Licensing, Insurance, referrals, communication and a written contract.

The first step is to establish a project and budget. Next, shop around for a few contractors and compare their skills, costs, schedules and methods. Check out significant documents and converse with past customers before you choose.

Most of all, don’t rush your decision to buy when pressure or good deal tempts you. Investing in a home improvement project is a big investment. When you invest the time to find the right and reliable contractor, you stand a greater chance of getting the job done that you expect without the unpleasant surprises.