After 16 years in the business, we have heard every horror story. Here are the warning signs that consistently predict bad outcomes:
Demands a large upfront payment. Washington State law prohibits contractors from collecting more than 33% of the project cost upfront. A standard deposit is 10-15%. If a contractor asks for 50% or more before starting, walk away.
No written contract. Every project, no matter how small, should have a written contract that spells out scope, price, timeline, payment schedule, warranty, and dispute resolution process. "Handshake deals" leave you completely unprotected.
Suggests skipping permits. "We can save you a few thousand by not pulling permits" is a line that should end the conversation. Unpermitted work creates legal liability, insurance problems, and headaches when you sell your home. The permit process exists to protect you.
Price is dramatically lower than competitors. If you get three estimates at $45,000, $48,000, and $28,000 — the $28,000 bid is not a bargain. It is either an inexperienced contractor who will hit you with change orders, or someone cutting corners on materials, labor, or insurance.
Pressure to sign immediately. "This price is only good today" is a high-pressure sales tactic, not a legitimate business practice. A reputable contractor gives you time to review the estimate, compare options, and make a confident decision.
No physical business address. A legitimate remodeling company has a real office, showroom, or at minimum a commercial mailing address. A P.O. Box alone or no address at all makes it difficult to find the contractor if issues arise after the project.
Won't provide references. Every established contractor has satisfied clients willing to speak on their behalf. Refusal to provide references suggests there are no satisfied clients to call.
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