NC – Tips for Choosing A Contractor

Many homeowners do not realize that choosing a contractor is like taking on a business partner. The parallels are uncanny because money, decisions, emotions and dreams are all wrapped up in the arrangement. In other words, despite the fact that the contractor may be a very good one, many other considerations must be thought out beforehand. However, before you consider these issues the nuts-and-bolts of hiring a contractor should be understood.
Step One: Years in Business:
Make sure you have proof of how long the contractor has been in business by asking for a copy of the contracting license. Unless the business has been operating over two years give it a pass no matter how long the contractor, himself, has been hammering nails. Because the building and renovating business is so volatile longevity for a construction company means the company personnel are decent business people and  pay their bills and subtrades.
Step Two: References:
Ask for three to five references from past projects. Also visit the site where the contractor is presently working and speak to the homeowner. All this information illustrates the contractor's ability to meet project deadlines, estimates and quality expectations.
Step Three: Detailed Estimate
Get in writing every aspect of the work to be completed “right up until the key goes in the door.” This may take time but it is worth it. If it is a new build have your lawyer go over it. After all, he or she would check the sale of a pre-owned home before you buy it. This would included:

1. Completion date
2. Reasons why more money would be needed (make sure that no extra work would progress with your signing authority).
3. Warranty
4. The contractor must understand the payment agreement and knows that money will not be paid in full until all the work has been completed to your satisfaction. This includes clean-up.

Step Four: Insurance:
Remember, without workers compensation and insurance the homeowner is liable for injuries on the job. Check to see that there is more than $1,000,000.

 

 

 

 

 

 

 

 

 

Step Five: Better Business Bureau:

This is a quick and easy verification online (http://www.bbb.org) and will show:

1. Membership (not necessary)
2. Disputes, if any.
3. Dispute resolution
4. Disputes outstanding

If a contractor has been in business for a long time there may be a record of one or more disputes. This is not as important as the resolution process and you can read how the contractor resolved the issue or, in some cases, if the charge was ignored. Either way it is another piece in the case for which contractor you hire.
The Hiring Process
Now that the ground rules have been met there are some other considerations.

1. Schedule interviews on different days. Give yourself time to digest the information and compare it with other interviews. Remember, beside the fact that the contractor has to be on budget and on-time with a quality build you have to live with this for between 6 and 12 months, depending on when they can get started on the project. So getting time to consider each contractor is very important.
2. Is he/she professional? Some contractors arrive with a Powerpoint presentation and some in a beat-up pick-up truck. Looks can be deceiving but not their mannerisms. If there are sticky items or demands from the contractor right off the bat don't expect things to get better during the process. Use your intuition.
3. What did the references say? One may be too fussy and the second may be neutral but unless you get the green light from 3 out of 5 move on.
4. Can they build it? For example, do they have the masonry and roofing knowledge to build Spanish colonial. Or will they be at the mercy of sub-trades in the style they don't understand but need the job. If so your dream home build might be a long, drawn-out agony where the contractor has to come back and fix items. Because even if there is an iron-clad warranty you want it built right the first time.
5. Price: This is a huge factor. This is a good time to call an accountant. A professional will know costs and when padding the bill is evident.

The Choice
At your local stationary store invest in a large white board and erasable markers. Divide the board into columns, one for each contractor. On the side, divide the board into rows with a row for every subject in consideration. Now mount the board on a wall or prop it up where you can stand back and go over the points. Arrange the contractors' information on a table, one section for each and go over them carefully putting the information in the right places on the board. Now stand back and go over the pros and cons of each one.
This will not guarantee a perfect build or reno but it will refine the process.
Now, come the hard part: the choice.