WE HAVE DECIDED TO REMODEL…. NOW WHAT??

Next Steps… EstablishEstablish a budget ObtainObtain financing if necessary DetermineDetermine if you want to use a designer IfIf you do, begin looking for a design/build contractor or a designer and contractor separately

Next Steps, cont’d. MakeMake as many design choices as possible (granite or tile countertops, hardwood floors or vinyl, etc.) ThisThis will be important in determining the actual cost of your project ObtainObtain completed “plans” or drawings SelectSelect a contractor

How do I find A Contractor? Ask friends and neighbors WhoWho did they use for their project? WereWere they happy with the outcome and process? WouldWould they hire that contractor again? Consult professional organizations: NARINARI (The National Association of the Remodeling Industry) NAHBNAHB (National Association of Home Builders)

What Things Should I Look For? Check license and insurance status ContactContact the Contractors State License Board DoesDoes the contractor have a license in good standing? the contractor have current Workers’ Compensation Insurance? the contractor have Liability Insurance?

How Do I Select The Right One? MakeMake appointments to interview potential contractors. Look for: Aprofessional SomeoneSomeone you can TRUST with your home and family Apersonality with which you are comfortable with experience Acertified, licensed professional that is affiliated with national trade organizations Acompany that trains and monitors their employees

BEWARE OF “BUBBA” Would you want to spend a few months with this guy?

Questions to Ask PreparePrepare standard set of questions to ask each candidate HowHow long have you been a contractor? AreAre you licensed? HowHow many projects like mine have you done? WhatWhat kind of insurance do you carry? WhoWho will actually do the work?

Questions, cont’d. MayMay I have a list of references from your recent projects? DoDo you have any industry certifications? HaveHave you won any awards for your work? HowHow will I know the cost of the project? WhatWhat are your regular work hours? WillWill we sign a contract for the scope of work? WhatWhat if I make changes after the project begins?

Watch out for these danger signs!!

The lowest bid – If a contractor’s bid is very low it could signal: ProperProper insurance is not maintained TheThe contractor is desperate for your business which could be an indicator of work quality and reliability contractor does not run a business that has staying power – warranties will be useless Danger Signs

Danger Signs, cont’d. No proof of insurance  You  You could be liable for injuries on the job. Ask if the contractor has: LiabilityLiability insurance PropertyProperty Damage PersonalPersonal Liability Worker’sWorker’s Compensation Insurance

Danger Signs, cont’d. “You don’t need a permit” BeBe suspicious of any contractor that wants to do business illegally ThisThis could indicate that the contractor does not want his work inspected

Danger Signs, cont’d. “I don’t take checks”  This  This could mean the contractor’s credit is questionable and subcontractors and suppliers may not get paid  There  There is no payment record when paying with cash

Danger Signs, cont’d. No written contract InsistInsist on a contract Poorly written or unprofessional looking contract Don’tDon’t accept a contract with no address, phone number and/or license number BeBe suspicious of contractor’s professionalism if contract is handwritten or unclear

What Makes A Good Contract? CompanyCompany name, address, phone number and license number ClearClear and complete description of work WellWell stated payment schedule corresponding with benchmarks of completed work ClearClear commencement and completion dates SpecificSpecific description of materials to be used DescriptionDescription of deposit: TheThe deposit (in the State of California) can be 10% of the contract total or $1,000 whichever is less

Thanks for Coming What questions can I answer for you?

Daniel Mackey Construction Incorporated