Contractor Red Flags

[Turn the Page]

We need some repair work done in our home. Nothing too extensive....I hope. Mainly replacing the shower floor, replacing the bathroom ceiling, and depending on the budget for that maybe tile the bathroom floor and replace some drywall.

I have never hired a general contractor before. What are red flags I should watch out for or anything to look for?

 

[tvguy]

You should have a very specific contract listing exactly what is going to be done at at what cost. It should be signed by the contractor and you. You should look the contractor up on the web to check that they are licenses. There should be a specific schedule in the contract as to when payments should be made and how much. At least in California, a contractor can't ask for more than $1,000 or 10% of the total project cost, whichever is LESS as a deposit. And the final payment should not be due until you are satisfied that the project is complete. In the industry they call the final items the "punch list". I think my remodel the last payment was about 20% of the total contract price.

 

[butterscotchcollins]

It’s always best to get 3 quotes from 3 different contractors as well, don’t just go with 1 that’s recommended.

 

[neverlandsky]

If they aren't upfront about being licensed, bonded, & insured, run. Look up BBB. Ask for references. Research all reviews, google, yelp, etc. Never pay in full until the job is done. 10% deposit to start job. Be careful of ghost contractors where they show up, look at the job, say they'll get back to you with an estimate and then they ghost you. They either didn't want the job or felt the job wasn't worth it. You should get a written estimate at consult. Expect that the job can run a bit longer than estimated due to permits & supplies. Also ask about any warranty information on job itself and materials. It's good to have a lead contractor and then have subs come in for each individual job. It's a bit more money this way, yet it's good to have a bulldog on your side when dealing with any of this.

If you're replacing shower floor with tile, make sure the shower pan goes in prior. Lots of flips/remodels lately have been missing this and water will seep through the walls & flooring in adjoining rooms.

 

[Turn the Page]

If they aren't upfront about being licensed, bonded, & insured, run. Look up BBB. Ask for references. Research all reviews, google, yelp, etc. Never pay in full until the job is done. 10% deposit to start job. Be careful of ghost contractors where they show up, look at the job, say they'll get back to you with an estimate and then they ghost you. They either didn't want the job or felt the job wasn't worth it. You should get a written estimate at consult. Expect that the job can run a bit longer than estimated due to permits & supplies. Also ask about any warranty information on job itself and materials. It's good to have a lead contractor and then have subs come in for each individual job. It's a bit more money this way, yet it's good to have a bulldog on your side when dealing with any of this.

If you're replacing shower floor with tile, make sure the shower pan goes in prior. Lots of flips/remodels lately have been missing this and water will seep through the walls & flooring in adjoining rooms.

Yeah, we're pretty sure that is what happened when the previous owners remodeled the master bath themselves. They put a shower drain in that is meant for a tile floor then poured a concrete floor down. I don't know if a shower pan is there or not but I do know we had water pouring out of the shower drain through the ceiling of the bathroom below it. Good times.

 

[lifesavacation]

Good luck. That’s a small job and contractors are super busy these days. I’d try and find a family member or friend that can give you a contractor recommendation. As someone who just finished building a house, costs are ridiculously high. I’d wait or expect to spend more than you budget.

 

[_19disnA]

I would start with recommendations from friends/neighbors/co-workers who had similar recent work successfully done. Finding a contractor online can be hit/miss. Get 3 detailed quotes and make sure they include enough detail that you can easily compare the work quoted. The cheapest quote is usually less for a reason and they may do shoddy work or hire inexperienced people. Make sure to get an estimate on how long the job will take and what fees/penalties there will be if delayed. If they have to coordinate with other subcontractors those usually prefer the larger jobs, so they may have trouble finding certain trades that can slow down the completion of the work. Might be better off if the job is small enough to find a company that will use its own people to do all of the work.

Call a few of their references to get a sense of if they were satisfied with the job. One house painter we hired several years ago did a terrible job and then asked if we wanted to be shown as a 'reference'.......LOL. We told them that wasn't a good idea.

Make sure you are on the same page about the style/type/design of fixtures/finishes/tile they will be using. Some let you choose you own materials while others provide a list to pick from. Don't agree to their style for the remodel just because it will look like something on one of those TV design shows, especially if plan to live there for more then a few years and are not mostly doing this to get the house ready for sale. Consider the cost, the style and how easy some of the items will be to clean/maintain going forward. I would never use white grout in a bathroom as it shows mildew far too easily. Don't let the contractor talk you into things just because it means less work for them. Those enormous tiles I see featured on home design shows are mostly about getting the job done with less labor. Tile size for wall/floors should be compatible with the room size. Huge tile pieces are also more prone to cracking in the future if there are any air gaps with the adhesive.

Never pay for the entire job ahead of time. 50% down seems common but might vary based on where you live and local customs. Any contractor who is vague in answering your questions is one to avoid. If they can't say for sure when they would start the job once awarded, I would look for someone else.

 

[Kimkimba]

I think you’ve received good advice. Reliable contractors in my area wouldn’t even come look at such a small job as they are way too busy.

 

[MomOTwins]

If they can't say for sure when they would start the job once awarded, I would look for someone else.

Lots of good advice in this post, but I can't say I agree with this one. In normal times, maybe, but right now in many parts of the country, any halfway decent contractor is fully booked up anywhere between several months and a year (or more) out. Plus, with all the supply chain issues, anything that needs to be ordered is going to be dependent on the supplier and that is often several months backlogged too, so a lot of times the contractor can't help being vague on timing because it is out of their hands. Frankly, I'd be concerned if a contractor could give you a precise date right now for starting, as it'd suggest to me they don't have a lot of other jobs lined up!

I agree that you need be asking friends or neighbors for recommendations rather than internet searching--too many fake reviews on the internet, or people who get bribed by a contractor not to write a bad review when something goes badly wrong. If you don't know anyone in the area, I'd suggest joining a neighborhood social media group or nextdoor app and posting a request for recommendations there.

My main piece of advice is NEVER choose a contractor solely because they provide the lowest bid. Often, they are either (1) not good at their job so have to price low to get customers; (2) planning a bait and switch where they later spring surprise costs on you and pretend that it is your fault because you gave unclear instructions; (2) cutting corners in a way that is at best cheapening the end product or at worst dangerous/not up to code.

 

[easyas123]

licensed, bonded, & insured, run.

And make sure that they have work comp, and it is for the state the work is being done in. Yes I've had subs submit their insurance certificates only for them not to be covered in the state they'd be working in. If you are having a lot of work done, consult your own insurance company for the possible need for a umbrella policy, which will protect you- not something you'd probably need w/ a remodel though.

 

[Mackenzie Click-Mickelson]

I'd watch out also on the flipside of a contractor giving you a suspiciously low bid is one that gives you a suspiciously high bid.

Nextdoor might be a good place once you've found a few to ask about, word gets around fast on poor contractors. In fact one is making the rounds right now on Nextdoor where people are reporting repeated issues like failure to complete the job in its entirety, lack of communications (as in they can't get a hold of them), etc.

Back to the high bid part there's one where the same number (IIRC $14,000) is thrown out there by a company for work to be done irrespective of people's homes, sizes, products used, etc. I can't off the top of my head remember what the work is for.

Def. do not pay 100% upfront, you stand a high chance (especially right now) with the work not being completed at all, not completed on time, or not done well. This is a post yesterday from Nextdoor:

 

[barkley]

if your homeowner's insurance company has a local brick and mortar agency you might give them a call and find out what contractors they would connect you with if you had a claim they were handling for similar work. in our experience they will only go with top notch and reliable contractors b/c they don't want their insured's complaining or having to be on the hook for either repairs of the work or (for those of us that pay for it) longer periods of time in alternative housing. if you get some names make sure to let the contractors know who referred you-you may get a much faster response.

 

[TheIncredibles!]

We need some repair work done in our home. Nothing too extensive....I hope. Mainly replacing the shower floor, replacing the bathroom ceiling, and depending on the budget for that maybe tile the bathroom floor and replace some drywall.

I have never hired a general contractor before. What are red flags I should watch out for or anything to look for?

Red Flags - Can't/won't provide proof of insurance. That is a big one for me. I don't want a "handyman" hustling on the side. I want a professional that has the resources behind them to show an example of the professionalism, quality and safety they will bring to my home.

 

[Amii]

If call or go to your local plumbing supply house, lumber yard, etc go ask them who would be a good match for the job. Contractors often order fixtures, etc for jobs and the stores know what contractors are best to go with.

I wouldn’t post on Facebook asking about contractors. A lot of people will post for their own company or a friend. Sometimes they are good but I have seen people get burned before.

 

[Turksmom]

You should get a written estimate at consult.

Actually, this would be a red flag. A good contractor will have to reference materials costs and possibly get estimates from subs, if they need to outsource any parts of the job. You should still have a written estimate within a few days.

 

[tvguy]

I'd watch out also on the flipside of a contractor giving you a suspiciously low bid is one that gives you a suspiciously high bid.

We added onto our house and the contractor with the low bid was upset we picked a higher bid.
But, the bid we went with was turnkey. His bid did not including the cost of permits ($1,500), his "allowance" for floor covering was $15 a square foot where as all the other bids were $30, ($3800 difference) or fixtures (a few hundred dollars). His big actually was higher by $1,000 with all those costs included.

 

[prairie_girl]

Someone who doesn’t get permits.

@ronandannette can probably give you some great advice..

 

[barkley]

Actually, this would be a red flag. A good contractor will have to reference materials costs and possibly get estimates from subs, if they need to outsource any parts of the job. You should still have a written estimate within a few days.

good point-also, the material costs are going to depend on what materials the homeowner chooses. i'm having some bathroom work done and while the tile/flooring person could do a bid on labor we had to select materials before that could be priced out, plumber was able to price out with the basic materials needed for the job but some items won't be priced until we pick the type/finishes (op-be prepared for sticker shock on this).

one piece of advice i will share-don't be tempted by any lower pricing to go with places like lowes or home depot to handle the entire job. i don't know a single person who has gone with them and their contractors who encountered an issue that didn't find it to be a nightmare to resolve. with a good general contractor they are the point person to resolve all issues b/c you have hired them and they have hired the subs. with the stores it seems that there's always the argument with the subs that they work for the store and you have to deal with the store but the store will tell you to deal with the subs-and round and round it goes. i know someone right now whose remodel work is taking months longer b/c the store keeps over promising on delivery dates/subcontractor appointments and those come and go with no deliveries/no shows by subs (with no courtesy call to inform the homeowners of the cancellations).

 

[ronandannette]

Someone who doesn’t get permits.

@ronandannette can probably give you some great advice..

Honestly, the most sincere advice I would give right now is DON’T plan a reno if it’s not completely necessary. Supply chains in North America are very disrupted in all sorts of unexpected ways. Labor availability is in constant flux, and prices on everything are riding a crazy roller coaster. These are all issues people say they understand, until they are actually affected personally by the very real chaos. It does not make for a very satisfying experience.

 

[lifesavacation]

Honestly, the most sincere advice I would give right now is DON’T plan a reno if it’s not completely necessary. Supply chains in North America are very disrupted in all sorts of unexpected ways. Labor availability is in constant flux, and prices on everything are riding a crazy roller coaster. These are all issues people say they understand, until they are actually affected personally by the very real chaos. It does not make for a very satisfying experience.

Yes. Please listen to this good advice.

We call our house the halfway house. We moved in last May (after 1 year of construction) and just got our final painting done this week. I have tilers at the house this week, stonework still being done outside, lights on back order, and the rest of a very long list. Right now is a terrible time to do any remodeling or construction. Prices are high and there’s limited availability of materials.

My BIL just sold his house hoping to capitalize on the equity he gained. He just got his bids back and can’t afford to build a house so he’s stuck in a rental trying to figure out what he’s going to do.