5 Tips to Help You Avoid Home Improvement Scams
1. Look out for contractors who have junky equipment. Good contractors do come in all shapes, colors and sizes. But a good way to avoid getting scammed is keeping a good eye out for contractors that have old beat up tools and such.
When meeting with a perspective contractor who you may hire for a job give them a good once over. Check out the vehicle they arrived in as well as how they are dressed and present themselves. First impressions are always the most important. And any contractor as a business man should know this. So be on the lookout.
They should show up clean and well dressed. And the vehicle they arrive in as well as the tools they own should all be in good shape and look like they can get the job done. A huge red flag for you to look out for is the opposite. If the contractor and his vehicle and tools look like junk then the chance are very high that the work they do for you will be the same. JUNK!
2. The bidding process. Watch out for contractors that bid the job REALLY low. Remember like all things in life. You really do get what you pay for. That’s not to say that you should go with the highest bid for the job you receive. That’s not what I am suggesting.
But any contractor that bids the job WAY lower than anyone else you have gotten bids from is more than likely to not do a very good job. It’s a big red flag when a contractor bids way lower than anyone else. Because this usually means that he is not going to do a very good job. He will treat the job like anything that is CHEAP and will cause you more problems than you want to deal with.
Watch out for contractors that don’t spend very much time surveying the potential work when they are giving you a bid. This usually means they are not going to pay much attention when they start working.
Your best bet is to go with a contractor that takes their time when bidding a job. Measuring and really surveying the work that you are hiring them to do. And to hire the contractor that bids you a nice even price. Not promising you the world or trying to give the greatest deal ever. Because remember, you always get what you pay for. And you want to hire someone that does a great job. And that doesn’t mean hiring the person who bids you the cheapest and greatest deal.
3. The “extra material line.” If during the hiring and bidding process the contractor tells you that he has a ton of “extra” material already for the job. RUN!!!
This is another red flag that should steer you away from hiring a contractor for a job. Most contractors do not have a ton of extra material sitting around. And if they do that usually means that it’s junk that they bought elsewhere for a discount. Because most likely the “extra material” they want to use on your job is either damaged or lower quality stuff.
4. Upfront costs. If a contractor asks you for more than 20% of the total costs of the job up front the chances are they are going to scam you. So to keep you and your money safe make sure that you NEVER shell out more than 20% of the total cost upfront to the contractor for a job.
The only exception to this rule is if the job requires expensive materials like cabinets and stuff. But other than that most contractors should never ask you for large upfront costs. And if they do this is a red flag that you should not hire them for the job.
5. Paying in Cash. If a contractor tells you if you pay in cash he can cut you a better deal, RUN! And if a contractor asks to be paid on a daily basis.
Both of these are red flags that the contractor is doing things under the table and is WAY more likely to either split with your money before the job or that he doesn’t have any insurance.
