What to Look for in a Contractor Before Hiring:

12 Expert Tips for Homeowners

Dear Beloved Homeowners,

When it comes to home renovations or repairs, your dream project can quickly turn into a nightmare if you're not careful. Unfortunately, the industry isn’t free of shysters—those posing as contractors while using deceptive, unethical, or even fraudulent practices to lure unsuspecting customers.

To help you protect your investment, sanity, and home, here’s a comprehensive and practical list of 12 expert tips to guide you in hiring the right contractor and avoiding common traps:

1. Find Out if a Contractor Has Lawsuits

Homeowners can take several steps to find out if a contractor has lawsuits or legal issues in their history. This is crucial because a contractor with a history of lawsuits—especially for poor workmanship, unpaid subcontractors, or breach of contract—may present a risk to your project, timeline, and budget.

• Most counties and states offer online court databases where you can search by individual or business name.

• Do a research on your local or state clerk of courts, civil court, or small claims court websites.

  2. Proper Licensing & Insurance

What to Verify: State or local contractor license, general liability insurance, and workers’ compensation coverage.

Why It Matters: These protect you legally and financially if something goes wrong—such as worker injuries or property damage. Without proper insurance, your homeowner’s policy may deny claims, leaving you personally responsible if you hired an uninsured contractor.

3. Clear Communication

What to Assess: After your initial meeting, did the contractor listen carefully to your concerns and ideas? Did they ask thoughtful, specific questions to understand your vision? Were they engaged and attentive?

Tip: A reliable contractor is a good communicator—responsive, clear, and accessible throughout the project.

4. Reputable References & Reviews

What to Inquire: Ask for 2–3 recent references from past clients. Follow up by calling or emailing them.

Tip: Read online reviews (Google, Yelp, BBB) and see how the contractor responds to both praise and criticism. Look for consistent patterns in timeliness, quality, and professionalism.

5. Detailed Written Estimates

What to Expect: A written estimate that includes costs for labor, itemizes materials needed for your project along with estimated costs of said materials as well as listing timelines to start and complete the work. Payment schedules and terms is also a must have.

In Pennsylvania, the Home Improvement Consumer Protection Act (HICPA) governs how contractors can collect deposits for home improvement projects.

🔒 Legal Standard Deposit in PA

Under HICPA, contractors cannot request more than one-third (1/3) of the contract price as a deposit or upfront payment, unless:

• Special-order materials are needed. In that case, a contractor can request more, but only the actual cost of those materials can be charged up front (and must be documented).

✅ What’s Common in Practice

Most reputable contractors in Pennsylvania follow this structure:

1. Deposit: Typically ranges from 10% to 33% at the time of contract signing, often capped at one-third of the total project cost to comply with Pennsylvania's Home Improvement Consumer Protection Act (HICPA). The exact percentage may vary depending on the project's size, complexity, and overall cost.

2. Progress payments: Payments are typically made as work progresses, with many contractors utilizing weekly billing cycles. The full balance is due upon completion of the original agreement, including any approved change orders and or any additional labor requested by the customer.

🚩 Red Flags

• Demanding more than 1/3 up front without justification.

• Asking for full payment before work starts.

• Refusing to use a written contract.

Warning Sign: Avoid contractors who offer vague or verbal estimates only.

6. Written Contract with Scope & Schedule

What to Verify: A signed contract outlining the full scope of work, start and end dates, change order procedures, and payment terms.

Why It Matters: This prevents misunderstandings and protects both parties in case of disputes or delays.

7. Experience with Similar Projects

What to Ask: Have you completed similar projects before? Can I see photos or examples of your previous work?

Why It Matters: Contractors with relevant experience are more likely to anticipate challenges, offer expert suggestions, and deliver efficient, high-quality results.

8. Research Their History & Reputation

What to Check:

• How long have they been in business?

• Are they registered in your township? Or have they ever been registered and completed any projects in your township?

• Research their's online reviews such as (Google, Yelp, BBB)

• Research court files and township for any unresolved complaints or legal issues

Tip: Don’t just look at star ratings—read the full reviews to understand their strengths and weaknesses. A trustworthy contractor will have a strong track record and minimal red flags.

9. Willingness to Pull Permits

What to Verify: The contractor should understand which permits are required and be willing to obtain them.

Warning Sign: If they ask you to pull the permit, that’s a red flag—they may be unlicensed, unnisured and cut corners. Townships do NOT grant permits to non-insured contractors

10. Professionalism & Crew Behavior

What to Observe: Cleanliness, punctuality, respect for your property, and how the crew conducts themselves on-site.

Why It Matters: Professional contractors run organized, respectful job sites, which reflects the overall quality of their work.

Warranty or Guarantee

What to Ask: Do you offer a warranty for your work? Is the warranty provided in writing?

🔧 Typical Workmanship Warranty Length in PA

• 1 year is the standard warranty period most reputable contractors provide for workmanship and labor.

• Some contractors may offer longer warranties (2–10 years) depending on the type of work (e.g., roofing or structural work).

• Warranties for materials are separate and based on the manufacturer's warranty.

Tip: A solid warranty shows they stand behind their craftsmanship and are willing to resolve any issues after completion.

12. Transparency About Costs & Changes

    What to Look For:A trustworthy contractor will be upfront about possible cost changes, potential delays, and how they handle unforeseen problems or overruns. This transparency helps avoid surprises down the road and builds a foundation of trust.

    What to Ask:

    • How do you handle unexpected issues that come up during the project?

    • What kinds of problems might affect the total cost?

    • Can you walk me through your process for managing changes or delays?

    Warning Signs During the First Meeting with a Contractor

    Or: "What a Trustworthy Contractor Does on the First Visit"

    🚩 Red Flag: They Rush the First Visit

    If a contractor seems in a hurry, doesn’t listen, avoids discussing details, or throws out a quick number—be cautious. This behavior often leads to inaccurate pricing and bigger issues later.

    ✅ What a Professional Contractor Will Do Instead:

    • Carefully inspect the spaceThey’ll assess not only the surface work but also look for signs of hidden issues.

    • Actively listen to your goals and concernsA good contractor wants to understand your vision—and make sure it's realistic and achievable.

    • Ask thoughtful, detailed questionsEspecially about layout, materials, lifestyle, and functionality.

    • Discuss potential hidden issuesThey should address things like outdated wiring, plumbing, or possible structural challenges up front.

    • Explain what can affect pricingWhether it's material choices, access issues, or necessary code upgrades, transparency here is key.

    Why This Matters:A contractor who takes time on the first visit is likely aiming to give you a realistic and informed quote—not just win the job with a low estimate that gets inflated later. If they rush, dodge questions, or seem distracted, it’s a strong indicator they’re not fully invested in your project’s success.

    Tip:A contractor who has your best interest at heart will take the time to understand your space and needs—and genuinely care about both the process and the final result.