How to hire a contractor you'll still like at the end

Check a contractor's references, license, insurance and written terms before any work starts.

Finding names

Start with people you know and trust. Ask who they used, whether the job ran on time and what they would do differently. Read online reviews with a critical eye, on rating sites you trust, and search the company's name with words like "scam", "complaint" or "review".

Checking them out

Confirm that the contractor is licensed and insured before any work starts. Check the license with your state or county government, and ask the contractor for proof of insurance and for a few recent local jobs you can call about. Your local Home Builders Association and consumer protection office can tell you whether there are complaints on file.

Comparing estimates

Get several written estimates. Each should describe the work, the materials, the completion date and the price. Don't choose the lowest bidder automatically, and ask for an explanation when the estimates differ by a lot.

An annotated example

What to do next

Ask for a written contract and read it before you sign. It should list the contractor's name, address, phone number and license number, the estimated start and completion dates, and every promise made in conversation about the work, the labor and the materials. Fill in any blank spaces, and don't sign anything you haven't read or don't understand.

Don't pay the full amount up front, and hold the final payment until the work is finished and you're satisfied. Don't let anyone rush you into signing.

The warning signs

Be wary of a contractor who knocks on your door uninvited, says they're "in the area", or offers a deal on materials left over from another job. Pressure to decide now is a sign, and so is a request that you get the building permits yourself. So are asking to be paid everything up front or only in cash, and steering you to a lender they know.