WE HAVE DECIDED TO REMODEL…. - PowerPoint PPT Presentation

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WE HAVE DECIDED TO REMODEL…. NOW WHAT?? Next Steps… Establish a budget Obtain financing if necessary Determine if you want to use a designer If you do, begin looking for a design/build contractor or a designer and contractor separately Next Steps, cont’d.

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We have decided to remodel l.jpg

WE HAVE DECIDED TO REMODEL….

NOW WHAT??


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Next Steps…

  • Establish a budget

  • Obtain financing if necessary

  • Determine if you want to use a designer

  • If you do, begin looking for a design/build contractor or a designer and contractor separately


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Next Steps, cont’d.

  • Make as many design choices as possible (granite or tile countertops, hardwood floors or vinyl, etc.)

    • This will be important in determining the actual cost of your project

  • Obtain completed “plans” or drawings

  • Select a contractor


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How do I find A Contractor?

Ask friends and neighbors

  • Who did they use for their project?

  • Were they happy with the outcome and process?

  • Would they hire that contractor again?

    Consult professional organizations:

  • NARI (The National Association of the Remodeling Industry) www.nari.org or www.narisj.org

  • NAHB (National Association of Home Builders)

    www.nahb.org.


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What Things Should I Look For?

Check license and insurance status

  • Contact the Contractors State License Board

  • Does the contractor have a license in good standing?

  • Does the contractor have current Workers’ Compensation Insurance?

  • Does the contractor have Liability Insurance?


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How Do I Select The Right One?

  • Make appointments to interview potential contractors. Look for:

    • A professional

    • Someone you can TRUST with your home and family

    • A personality with which you are comfortable

    • Someone with experience

    • A certified, licensed professional that is affiliated with national trade organizations

    • A company that trains and monitors their employees


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BEWARE OF “BUBBA”

Would you want to spend a few months with this guy?


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Questions to Ask

  • Prepare standard set of questions to ask each candidate

    • How long have you been a contractor?

    • Are you licensed?

    • How many projects like mine have you done?

    • What kind of insurance do you carry?

    • Who will actually do the work?


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Questions, cont’d.

  • May I have a list of references from your recent projects?

  • Do you have any industry certifications?

  • Have you won any awards for your work?

  • How will I know the cost of the project?

  • What are your regular work hours?

  • Will we sign a contract for the scope of work?

  • What if I make changes after the project begins?


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Watch out for these danger signs!!


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Danger Signs

The lowest bid – If a contractor’s bid is very low it could signal:

  • Proper insurance is not maintained

  • The contractor is desperate for your business which could be an indicator of work quality and reliability

  • The contractor does not run a business that has staying power – warranties will be useless


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Danger Signs, cont’d.

No proof of insurance

  • You could be liable for injuries on the job. Ask if the contractor has:

    • Liability insurance

      • Property Damage

      • Personal Liability

    • Worker’s Compensation Insurance


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Danger Signs, cont’d.

“You don’t need a permit”

  • Be suspicious of any contractor that wants to do business illegally

  • This could indicate that the contractor does not want his work inspected


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Danger Signs, cont’d.

“I don’t take checks”

  • This could mean the contractor’s credit is questionable and subcontractors and suppliers may not get paid

  • There is no payment record when paying with cash


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Danger Signs, cont’d.

No written contract

  • Insist on a contract

    Poorly written or unprofessional looking contract

  • Don’t accept a contract with no address, phone number and/or license number

  • Be suspicious of contractor’s professionalism if contract is handwritten or unclear


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What Makes A Good Contract?

  • Company name, address, phone number and license number

  • Clear and complete description of work

  • Well stated payment schedule corresponding with benchmarks of completed work

  • Clear commencement and completion dates

  • Specific description of materials to be used

  • Description of deposit:

    • The deposit (in the State of California) can be 10% of the contract total or $1,000 whichever is less


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Thanks for Coming

What questions can I answer for you?


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Daniel Mackey Construction Incorporated

408-274-6060

www.danielmackeyconstruction.com


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