Top 5 Questions to Ask Your Contractor
At Lionheart Custom Homes, we understand how intimidating it is to search for a reliable and trusted contractor to work on your most valuable asset- your home. We all hear too many horror stories about contractors from our friends, neighbours, TV and online forums. As such, we brainstormed the 5 most important questions you should be asking a contractor during your search.
1. Are your contractors registered businesses?
Yes, as crazy as it sounds, some contractors operate without registering the business. Registering the business means they understand the laws of operating the business, so there is little chance they will disappear without providing the service that you paid for.
2. Are your contractors licensed?
There are 2 types of licenses for contractors. One is a must have, and this is the city license (operating license). The 2nd license is what many homeowners do not know about. This is called the prepaid contractor license (provincial license). While this one is not needed to operate, without this license, the contractor is not allowed to accept any money until the project is completed. Read more (here- Prepaid contracting licence | Alberta.ca). With the prepaid contractor license, the contractor can ask for deposit and progress payments. While this may sound strange, it is a common practice to protect both the homeowners and contractors. The prepaid contractor license will prevent the contractors from disappearing with your deposits. One of the requirements of this license is that they purchase a surety bond. The surety bond is a form of insurance for the homeowner in case a contractor defaults on the project.
3. Do your contractors have insurance and Workers Compensation (WCB)?
The home is the most valuable asset, as such, it is equally important to make sure the professionals working on your home have adequate coverage for unforeseen circumstances. This is important to protect you and your home in case of damage and injuries. We firmly believe that all contractors should have their own insurance coverage while working on homes. Additionally, we suggest that you also have homeowner’s renovation insurance during the renovation.
4. Do your contractors have a contract, and can they walk you through it?
We get it, contracts are boring and tedious to read. We’d rather be reading something else. However, contracts are essential legal documents that can protect you in many situations. Therefore, we highly recommend that you check with your contractors for any contracts they have. We would suggest taking a peek through the contracts to make sure it is prepared by a lawyer, and not DIY by the contractors themselves. Another thing to point out, contractors should have an understanding of the contracts they are asking you to sign. To check, you should always ask them to explain certain clauses in the contract and make sure to ask any questions you have. Renovating your home is a big investment, and can be stressful, but it does not have to be, so it is important that you choose the contractors that can and are willing to explain the contracts to you. Afterall, building your trust is just as important as building your homes.
5. What is the process if there are changes during the projects?
Changes can and do occur during the projects. To make sure you are getting what you paid for, your contractors should have a clear change order process. The change order process will put a stop to the current work, until the change is finalized and agreed to by both parties. This is an important step to avoid hidden and surprise charges at the end. We don’t like surprise charges, neither do you. While reviewing the change order document, be sure to review the changes, costs incurred and any payment discussion. Paying for the change order right away will commit the contractor to complete the work by the agreed date, and it also protects you from any future and surprise charges associated with the change.
That’s it! These are the 5 things we believe will help reduce the stress and anxiety that come with renovating your home. At Lionheart Custom Homes, we strive to make the process as organized and simple as possible. See our process link below and we would love to hear your thoughts.
