How to: Avoid Contractor Scams

Contractor scams

Remodeling or making repairs to your home can be very stressful but it is almost unavoidable. The worst part is when you hire a contractor that you entrust to do the work on your home and they either do a half job or worst nothing at all. It’s important to know the tactics of contractors and how to protect yourself against them.

Increasing The Price

One of the biggest scams many contractors try to pull is quoting you a very low price for the work then shortly after you have agreed and work has begun the contractor will try to bump up the price. They do this by adding different fees for jobs that you assumed were apart of the price. It’s important to know the complete scope of work before you agree to any price. It’s also highly recommended that you have a detailed list of materials and the work to be done all in writing. The more detail you add to this contract the better you are protected.

Large Up-Front Deposits

Another common contractor scam is where they take a large deposit for the work that should be done and then they will either leave the work incomplete or worst not do any work at all. Often contractors will require some down payment to protect their interests, but you should be cautious of contractors who insist on large down payments. Usually, no more than 10 percent of the total cost should be paid upfront and the rest of the funds will be paid at the end or on some sort of draw schedule.

Extra Materials Scam

Have you ever had a contractor come to your door and tell you that he is working just up the street? They will probably tell you they have extra material (such as paint, asphalt, etc.). This is one of the contractor’s many tactics for getting you to agree to have the work done without doing your due diligence. Many times they will tell you that you are getting a deeply discounted rate and without doing any research you don’t know how much the job should cost. The best thing you can do is send these people on their way.

Unlicensed Contractor Scam

If a contractor ever tells you that they can give you a large discount because they are not licensed contractors you should not let these people work on your home. By not being licensed and insured you can open up the door to liability if someone is hurt or if there is any damage done to your home. Your homeowner’s insurance could deny a claim for damages or incomplete work done by an unlicensed contractor.

It’s important to be aware of the tactics of contractors who have less than perfect intentions. The good news is if you don’t feel comfortable with hiring a contractor Sell Home Maverick will buy your house As-Is and we close quick. We take care of all closing costs and since there are no real estate agents you won’t have to pay any commissions. We make the process fast and easy. Start by giving us a call or submit your info below and we’ll help guide you through your options.


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