How to Hire a Contractor: A Complete Guide

The right contractor can make your dreams a reality

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Photo: coralimages / Adobe Stock
The exterior of a beautiful house with a pool at dusk
Photo: coralimages / Adobe Stock
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You’ve been planning your home renovation project for months and are finally ready to start. But first, you need to hire the right contractor to manage and complete the project. You're not alone if you’re unsure how to hire a contractor. This guide will walk you through the process step by step.

What Services Does a Contractor Offer?

6 contractor job types, including project management, renovation, and room additions

Depending on their experience and skill set, a contractor can offer various services. General contractors manage home improvement, building, and renovation projects from start to finish. They hire subcontractors to perform specific tasks, like electrical or plumbing work, that the contractors themselves may not be qualified to handle. 

Many contractors have construction experience, allowing them to tackle projects like roofing, flooring, siding, woodworking, drywalling, and more. Others have more specialized expertise in areas like HVAC or plumbing that require specific licenses. Whatever services you hire a contractor for, they will be in charge of providing materials, equipment, and labor to complete the project to your specifications.

Can You DIY Contractor Projects?

A handy homeowner can often handle some contractor projects themselves. However, more complex jobs involving electricity or plumbing should be left to professionals. If you want to try and tackle some of the project yourself, consider your skills and experience to determine what you can realistically handle and what you should leave for your contractor.

Tips for Hiring a Contractor

Ready to break ground on your project? It all starts with hiring the right contractor for the job. Here’s how to find the best contractor for your home improvement project.

1. Plan Your Project Ahead

Before you search for a contractor, you need to set your expectations for the project. What specifically do you want to achieve from this project? When do you want to start, and what is your budget? Deciding these things beforehand can help the process move faster once you start researching contractors.

Pro Tip: Planning Projects

2. Check Your Contractor’s Qualifications and References

Once you have a basic project outline, look for contractors in your area. Ask friends and family members if they have any recommendations. When you have a list, check each contractor’s qualifications and references. You’ll want to ensure they are licensed and insured so you’re covered if anything goes wrong during the project. If you hire an unlicensed or uninsured contractor, you may be on the hook financially for any damage or other issues that arise.

Ask your contractor to provide you with a list of references. Contact the former clients on that list and ask about their experience with the contractor you’re considering hiring. If you know anyone who has used them personally, ask them about their experience to ensure you’ve checked all the boxes.

3. Interview Pros and Get Multiple Quotes

After checking each contractor’s qualifications and references, it’s time to start reaching out to request quotes for your project. Interview each pro using our list of questions below, and note their answers so you can refer to them later. Get at least three quotes from different contractors and compare them to ensure you get the best price for the work.

When comparing quotes, check that each contractor has included the same line items in their quote. You don’t want to go with the cheapest quote only to find out the contractor left out a vital part of the contract in their estimate.

4. Get a Contract and Arrange Payments With Your Contractor

Once you’ve chosen the right contractor for your project, it’s time to get your agreement in writing in a contract. Read the home improvement contract carefully to ensure it covers everything you discussed, including the scope of the project, the cost and payment schedule, and the estimated project timeline.

Before you sign, ask your contractor how they handle payments. Some may ask clients to put down half of the project estimate when they sign the contract, while others might ask for a third initially, another third when the project is half complete, and the final third upon project completion. Ensure that your payment schedule is noted in your contract so there’s no confusion about how much you owe and when.

Questions to Ask a Contractor

A contractor discussing renovation plans with homeowner
Photo: leszekglasner / Adobe Stock

There are several essential questions to ask when hiring a contractor for a home project. This list is a good start, but you may have additional questions related to your project that you’ll want to ask as well.

  • Are you licensed and insured?

  • How long have you been in business?

  • Do you have experience with similar projects to mine?

  • Can you provide me with a list of references?

  • What is your anticipated timeline for this project?

  • What will the project cost, and what is the payment schedule?

  • Will you obtain the necessary permits?

Choosing the Right Contractor

Choosing the right contractor can make or break your home improvement or renovation project. If you choose the wrong pro, you might face issues down the road and spend a lot more than planned to complete the project. That’s why it’s essential to find a licensed and insured general contractor near you who has the right experience and knowledge to tackle your project correctly and ensure your expectations are met.

After Your Contractor Has Finished

Once your home project is complete, your contractor will ask you for the final payment. Before you pay, check that everything on your project list has been done and follow up with the contractor if anything is missing or incomplete. Consider leaving a review for your contractor to help future prospective clients understand whether they would be a good fit for their project.

Frequently Asked Questions

The best way to avoid being scammed by a contractor is to vet them thoroughly to ensure they’re licensed and insured. Avoid contractors that:

  • Require a cash payment up front

  • Refuse to provide you with references

  • Are unresponsive

  • Offer to do the work without a contract

General contractors hire subcontractors for specific tasks related to a construction project. This could be due to the contractor’s lack of expertise in particular areas or time constraints.

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