Building Contractors

Making the decision to build a house, add on to an existing one, remodel a room or have a repair job done can be a huge one. The investment is not only in a piece of property, it's also the structure your family calls home.

It's very important to hire only the best when it comes to contractors. Knowing you need to hire the best contractor for the job and actually finding that person can be two very different things though.

While most contractors are reputable and will do their best to complete the job within budget, on time and with quality results, it's a simple fact that not all contractors are good contractors. With this in mind, it's a good idea to know what to watch out for when it comes to scammers or even inexperienced professionals. Having a plan pays well when hiring a contractor.

In general, the following things are red flags:

• Those who solicit door-to-door. A good contracting company won't need to do this to drum up business.
• Discount offers that seem to good to be true. For example, if a "contractor" knocks on the door and offers to fix your damaged roof for a great rate because he has "materials left over from another job," is likely a scammer.
• Those who accept only cash payments. These are likely the folks who will take your money, never drive a nail and never be seen or heard from again.
• No known business address or telephone number listed in the phone book.
• A contractor that asks you to pull permits, although sometimes it is easier and less costly for a homeowner to do this, so use judgment here.
• Offers you a special price, saying your home will be the "demo." When hiring a contractor you want to see past work, not be it.
• Asking for full payment up front. This is a huge red flag. Avoid a contractor who requires this. A deposit is more than reasonable, but paying for work before it's done is not.

A contractor who offers to help with the financing by suggesting a lender "they know" could be involved in a home improvement scam. Be careful. Read all paperwork with extreme prejudice. The fine print could actually have you signing over your house to the contractor.

Most contractors are consummate professionals who pride themselves in quality work, but unfortunately there are those out there who pray on people who don't know what they're doing. If an offer seems fishy or just too good to be true, be very cautious. The investment is in your home, which means your future as well.