Author: R. Dodge Woodson
Remodeling Rip-Offs
When the economy is down it is common for homeowners to contemplate remodeling their homes. Since they can’t sell the houses for maximum value they often decide to improve the homes.
Calling in remodeling contractors can be risky business. Many so-called contractors are less than reputable. Having been a remodeling contractor for decades I have seen the good ones and the bad ones. There are many horror stories that could be told.
Homeowners must protect themselves, and their homes, from the very beginning of a remodeling venture. This starts in the bidding phase and continues until a job is completed. If you are not diligent in your efforts you may find your dream job turning out to be a nightmare.
How can you guard against remodeling rip-offs. Educate yourself. Read articles and books before you choose a contractor. Kitchen and bath remodeling are generally the most valuable improvements that you can make. These are rooms of a home that you will not want to be without for long. The last thing you want is a contractor who spins your job around until it takes months to create a simple bathroom remodeling project.
Now let me give you some key tips that have served me well for many years. Even though I have been a general contractor, I still have relied on subcontractors for a lot of the work my company has done. Finding and managing subcontractors is a job in itself. My experience is not that different from what you are likely to encounter.
1) Seek a minimum of five competitive bids. Three bids is common, but go for five. It will give you more data to work with in evaluating your cost and your contractors.
2) Whenever possible, visit jobs that bidding contractors have in progress. Every remodeler has references, but you want to make sure that they are not mothers, brothers, and cousins. Take the time to go to job sites to see for yourself that the contractors are working and that their work is up to your standards.
3) Get all bids in writing. Don’t accept estimates. Insist on quotes. A contractor can try to squeeze you for more money when working from an estimated bid. This is not the case with a firm quote.
4) Review all bid packages closely. Never allow the term “or equal” to be slipped in on you when materials are specified. It is best to have all contactors bidding on an apples-to-apples basis.
5) Check to see that any contractor you are considering is licensed and insured. Insist on these requirements. Don’t accept copies of insurance that a contractor hands you. The contractor may not have kept the premium payments up and the insurance could have lapsed. Get the evidence of insurance from the contractor’s insurance company.
6) Specify that all required permits for code enforcement will be provided by the contractor.
7) Sit down with the contractor you choose to do the work and layout a firm schedule of what is to be done and when it is to be done. Keeping contractors on time and on budget will take some serious effort.
8) Make sure that the contractor is taking responsibility for cleaning up and removing all work debris.
9) Make arrangements to protect any pets that you may have in the home.
10) Beware of contractors who insist on large down payments to start a job.
11) Supervise the job regularly.
12) Keep communication lines open with your general contractor. Many problems in remodeling are the result of poor communication.
13) When the job is done, inspect the work closely before you pay the final invoices from your contractors.
14) Require the general contractor to provide you with a lien waiver and lien waivers for all subcontractors and suppliers. If contractors, subcontractors, or suppliers are not paid you may suffer from having a lien placed against your home. This can adversely affect your ability to sell or refinance your home.
15) Confirm that all required code inspections were done by the appropriate code officers.
Let me share one horror story with you to show the reality of your risk. Many years ago I was called to a home for a remodeling estimate. I did not get the job due to my bid being too high. Some weeks later the same homeowner called me again. She wanted me to come out and talk with her about the sunroom she wanted added onto her home.
I went on the estimate and heard a terrible tale of woe. The woman awarded her job to the low bidder. In accordance with the request of the remodeler, the homeowner gave a one-third deposit on labor. She paid a supplier in full for all glass products to be used in the sunroom. The glass components were delivered and the remodeler was called.
On Monday morning the homeowner met with the contractor and went over the material delivery for accuracy. Then the woman went to work and left the contractor to do his work. Upon her return home, the homeowner noticed that all of the glass components had been moved. She assumed that the contractor had moved them to the back of the house where they would be used. When she looked out her back sliding door, there were no materials. Long story short, the remodeler ripped her off for one-third of the labor cost and stole thousands upon thousands of dollars in glass components. He then disappeared never to be found. I wound up doing the job, but the homeowner lost a lot of money by going with the low bidder who turned out to be a ripoff artist.
An entire book could be written around the risks of remodeling rip-offs. Space is limited here. Use these tips as a beginning towards your learning curve. I urge you to read books written by experts in how to protect yourself while getting the best deals possible when remodeling your home.
About the Author:
R. Dodge Woodson and his team at Lone Wolf Enterprises, Ltd.(www.lonewolfent.net)are offering their services to the open market for the first time. Woodson has written over 100 books for major publishers, such as Simon & Shuster, McGraw-Hill, John Wiley & Sons, and others. He is acknowledged as a best-selling, internationally-known author. R. Dodge Woodson got his start writing dozens of magazine articles for such magazines as Outdoor Life. In addition to his personal writing, Woodson’s team has produced dozens upon dozens of books for major publishers.
R. Dodge Woodson’s writing style is conversational. He is skilled at taking complex subjects and making them reader friendly. Woodson has worked as a ghostwriter for celebrities, provided work-for-hire books to major publishers, and written his own titles.
If you are seeking professional writing and editorial services, Lone Wolf can deliver all elements of publishing from writing to editing to layout to proofreading to indexing, and more.
