Now that winter is over, many homeowners will be looking at their house and yard to see about making repairs, changes, upgrades, or additions. Getting a jump on these plans now is probably a good idea; many people are having the same thoughts, and service providers will be busy booking jobs. Leave it too late, and you might find yourself scrambling to get work done this year.
However, do not be in too much of a hurry to book a contractor. As reported last week in The Journal (“Risk Index contains surprises”), the face-to-face home improvement scam tops the index as the riskiest scam doing the rounds. If someone touting home improvements shows up on your doorstep, be sure to do your research carefully.
That advice also applies to anyone looking to hire a contractor, whether it be to inspect or replace a furnace, replace doors or windows, perform yard maintenance, or do any other work around your property. Most contractors are honest and reputable, but it is up to the customer to do his or her homework to avoid problems.
If you are looking to have major work done, send the same requirements to at least three companies, then compare the bids to each other and talk to the contractors about details and prices. Strong price variations—as in one bidder coming in substantially lower than the others—should have you asking questions as to why the bid is so low. The lowest-priced bid is not always the best one.
Get estimates and contracts in writing, and on company letterhead, before any work starts. Verbal promises should be put down in writing, so that there are no surprises on either side once the work has started. And make sure that the contract includes a firm start date and the expected completion date.
Some contractors will say that if you pay in cash, you can avoid paying the sales tax. This is a deceptive practice, and means that you might not have a fall-back if things go wrong.
Many homeowners fail to take insurance—the contractor’s, not theirs—into account when hiring a firm. Ask if they carry worker’s compensation, as well as insurance for property damage and liability. Feel free to ask for proof of this insurance, or for the name of the contractor’s insurance agent, so that you can call and verify the coverage. It is also a good idea to ask if the contractor is licensed for the type of work you need, and if they meet the necessary bonding requirements.
Check with local authorities, before work starts, to see whether any permits are needed. The contractor should be aware of any permits or inspections that may be required.
Be careful if a contractor wants to be paid in full before work starts. The full amount should not be paid until all the work has been completed and you are satisfied with it. There are times when a contractor may need a down payment to cover the cost of purchasing material, so a 10 to 15 per cent deposit is standard. If the contractor asks for more than that, ask questions and make sure you understand why (and be sure to get it in writing).
