How to avoid problems with home improvement contractors

It’s exciting to plan a home improvement project and think about the positive change that will add value to your property and comfort to you and your loved ones. But it’s worth taking these steps before you sign a contract with a home improvement contractor to protect yourself as much as possible from having a bad and expensive experience.

First, learn as much as you can about contractors you’re thinking about hiring. Many states have licensing requirements for contractors. Check the involved state licensing agency’s website or call to find out whether the contractor is licensed, is in good standing, or has had actions taken against the license. Check with the Better Business Bureau for complaints. Ask the contractor for references and call those references. Try to arrange a visit to a reference’s home to check out the contractor’s work. Get competing bids. If one contractor’s bid is much lower than others, ask the other bidders why their bid is higher. Make sure the bid you choose covers the same materials and work as the competing bids.

Second, examine the contract carefully before you sign and show it to a lawyer. The more detailed the contract, the better. Materials to be used and work to be done should be spelled out. Product manufacturers and model numbers should be included in the contract if possible. Include a project start and completion date in the contract if you can. Make sure that required permits are obtained or you may find yourself with construction work that doesn’t meet your community’s codes and standards.

Eligible Plan participants can call the Legal Services Plan for free legal assistance on contracts for goods and services that don’t involve litigation, or for a low-cost referral if your issue will need to be litigated in court or another forum. Our intake center is open Monday through Friday from 9 a.m. to 5 p.m. (ET) to serve you.