CHECKLIST FOR HIRING A CONTRACTOR (Part 2)

Hiring a contractor to remodel or renovate your home is always a challenge.  You may have watched a television program where you saw a homeowner hire a contractor only to have shoddy or incomplete work done.  Being cautious is natural and that is why you have this handy checklist for hiring a contractor.  The last blog dealt with three specific items for any homeowner to consider when interviewing contractors for their home project.  In Part 2 of Checklist for Hiring a Contractor, we'll look at three additional items and offer 6 bonus tips.

It is important to have a contract in writing, but it is equally important to understand what is not included in the contract.  Look for hidden fees.  Watch out for contractor bids that include phrases like "cost plus" or "time and materials" pricing models with no caps on maximum budget.  Be upfront about your improvement budget and make sure you and your contractor stay on track financially.

Don't be in a hurry to accept the first bid that comes your way.  Get multiple offers on the scope of work to be completed.   Reviewing bids from at least three different contractors will give you a reasonable comparison of what to pay in your area.   A word of caution, homeowners should always be on the lookout for contractors who are ready to work and start immediately.  There is a reason they are available; the preferred contractors are usually engaged in other projects and will schedule in your project.

Trust your instincts.  Here are a few red flags to watch out for when working with a contractor.

   * A contractor refusing to provide a written contract
   * Requests for you to pay in cash or pay the entire cost upfront
   * The contractor not having a business address
   * A contractor unable to pull a job permit

If you have any doubts or uneasy feelings as you review the contract hiring tips, proceed with caution.  More than likely your feelings are justified and you should be working with a contractor you can trust.

BONUS TIPS

1. Agree on a communication plan with your contractor and how often.
2. Establish ground rules with the workers as far a parking, bathroom use, or any other issue that may come up during the project.
3. Discuss issues with the contractor as quickly as possible to avoid major roadblocks.
4. Maintain an organized folder to track all records, warranties and payments receipts.
5. Schedule the final walk through to ensure the job is complete and confirm that all subcontractors and suppliers have been paid before making the final payment.
6. Request a receipt marked PAID IN FULL for your records when final payment has been made.