Red Flags to Watch Out for When Hiring a Contractor

by | Jun 5, 2023 | Blog

Protecting yourself from bad apple Contractors.

There are good apples and bad apples, here is some helpful information to have when looking to hire someone for that home improvement project.

No social medial presence: Do they have a Facebook and or Linkedin or Instagram account? Listen I know they dont have to, but when I am looking to buy a new floor and or kitchen, I am using all sources to scrub out the losers. SOcial is just a tool for us to see if a company really exists or not.

No references or portfolio: A reliable contractor should be able to provide references from previous clients or a portfolio of past projects. If they cannot, this could be a sign of inexperience or unprofessionalism.

Lack of proper licensing and insurance: A contractor should have the appropriate licenses and insurance to perform the work they are contracted to do. If they cannot provide proof of these documents, it may be a sign that they are not qualified to do the job.

Unrealistically low estimates: If a contractor’s bid seems too good to be true, it probably is. Unrealistically low estimates may indicate that the contractor is cutting corners or not including all necessary costs in their bid.

Poor communication skills: Communication is essential when working with a contractor, and if they are slow to respond or are difficult to get a hold of, it may be a sign of poor communication skills.

Negative reviews or complaints: Always do your due diligence and check for reviews or complaints about the contractor online or with the Better Business Bureau. Negative feedback can be a red flag and a sign that you should look elsewhere.

Lack of a written contract: A written contract is essential to ensure that both parties are on the same page and to protect you from potential disputes or legal issues. If a contractor refuses to provide a written contract, it may be a sign of unprofessionalism or dishonesty.

By paying attention to these red flags, you can increase your chances of hiring a reliable and professional contractor for your project.

Complaints against contracting companies run the gamut from firms that take consumers’ money for services that are never provided to firms that advertise cheap services and then try to “up-sell” new systems or pricey repairs. Consider the following when hiring a contractor to perform a home repair or remodel:

Get multiple estimates.

Get at least three written, itemized estimates or bids on repairs or remodels. Have your insurance company evaluate any damage to your home before arranging repairs to ensure that the work will be covered under your policy. Keep in mind, your contractor can provide you with the three estimates, perhaps by way of GOOD – BETTER – BEST. Ask them.

Watch for red flags.

Be wary of anyone who approaches you unsolicited or says they can perform home repairs at a discount with leftover supplies from another job. Additionally, consider it a warning sign if a contractor uses high-pressure sales tactics. A reputable contractor will recognize that you will need time to consider your options and needs. If you choose to finance the work done in your home, make sure you read and understand all of the loan documents before you sign them. Understand how much you will be required to pay upfront, what your monthly payments will be, and how much you will be required to pay over the life of the loan before signing.

Research the company thoroughly before signing a contract or providing a deposit.

When searching for a contractor, ask trusted friends and neighbors for references. You should check with the Better Business Bureau at to determine what others are saying about the company. Additionally, you should contact the state Department of Business & Professional Regulation (DBPR) to determine whether the contractor has any complaints lodged against them. Also, you can find the top contractors here at BluePagesPro.

Verify the contractor is licensed and insured.

Verify that the contractor has a license from this link. If the county has its own licensure requirements, verify any county license with the applicable construction licensing board. Check for proof of insurance and verify with the insurer that their policy is current. Additionally, you should check to see if the contractor is bonded and verify with the bonding agency.

Read and understand the contract.

Read the entire contract, including the fine print, before signing and ensure that the contract includes the required “buyer’s right to cancel” (within 3 days) language. Never pay the full amount of a repair up front and hesitate before providing large deposits. Certain state laws require a contractor to apply for a permit within 30 days and start work within 90 days if he collects more than 10 percent of the contract upfront. Know what you will be expected to pay, how long the work is expected to take, and what will happen should the costs or repair times exceed the estimates.

Ensure there are no liens placed on your home.

Homeowners may unknowingly have liens placed against their properties by suppliers or subcontractors who have not been paid by the contractor. If the contractor fails to pay them, the liens will remain on the title. Insist on releases of any liens that could be placed on the property from all subcontractors prior to making final payments. Do not sign a certificate of completion or make a final payment until you are satisfied with the work performed.


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