Tips For A Successful Home Renovation (Part I)
When planning a home renovation project, choosing the right contractor for the job is a critical first step in your process. As you look to evaluate, we are here to assist your decision-making process by unveiling PART I of a two-part-blog series with five steps to launch your home renovation project!
1. Get Multiple Estimates
Talk to several contractors and get written estimates from at least three. Be sure you are comparing “apples to apples.” Look at building materials, work methods, timelines along with any other factors that may vary by contractor. Be cautious of estimates that are too high or too low.
2. Hire Local, Licensed Contractors And Check References
Local contractors are easier to contact if problems develop with their work in the future. They are more likely to be familiar with building codes in your area as well. We recommend asking the contractor for their local, physical address. Be suspicious of anyone who goes door-to-door or refuses to leave a contract overnight.
How has their worked turned out in the past? Do they specialize in the kind of work you want done? Check references about the quality of their products, workmanship and customer service. Inquire about their professional reputation and years in business with the Better Business Bureau. A contractor with more than five years of experience is preferable.
3. Take Your Time Making a Sound Decision
Don’t be pressured into making an immediate decision, particularly with regard to signing a contract. Be cautious when asked to pay a large deposit up front. Make sure to read the fine print on all estimates and contracts. If you’re having emergency repairs done and don’t have time to thoroughly research a contractor, ask neighbors, family or friends to see if they have had a good experience with an emergency services contractor.
4. Require Insurance and Bonding
Hire contractors that are properly insured and bonded. Ask the contractor for a certificate of insurance (COI) BEFORE signing the contract, which will provide the name of the insurance company, policy number and policy limits the contractor carries. It is very important to list you, the owner of the property, as an additional insured on the COI. The COI should show the contractor’s General Liability and Worker’s Compensation coverages. You can contact the insurance company directly to verify the coverage and make sure the policy is still in effect. Be sure the contractor has obtained all applicable building permits prior to starting the job. If you hire a contractor that is not properly insured, you are putting yourself at risk. Here at Petschauer Insurance, we recommend our clients send us the COI to review before signing the contract so that we can offer our expertise and advice before moving forward.
5. Contact Your Insurance Agent
Your next step will be to contact your insurance agent. Depending on your type of renovation, you may need to adjust your insurance protection. Your agent may recommend that you endorse your existing policy or purchase a builder’s risk policy to ensure you have the proper coverage for the duration of the renovation.
While making changes to your home can be an exciting experience, it’s also important to maintain flexibility when it comes to your budget and timeframe. In order to remain calm and confident throughout this process, following these steps are strongly suggested.
Feel free to contact us to review your insurance prior to any renovations. Stay tuned for PART TWO of our series (with an assist from Travelers Insurance) on Wednesday, March 7th as we discuss how you and your contractor can manage expectations as the job progresses.
