Re: Need contractor advice/have you heard of these guys?
Posted by:
slubdawg
()
Date: July 13, 2010 03:03PM
Also do not give up more that 10-20% upfront, real contractors that are reliable will not want everything upfront, they have relationships with suppliers that give them time to repay. Look at references, and don't be afraid to actually go to the places to ask the customers about them.
The above is absolutely true and I wouldn't even give them 10% up front. It would be reasonable to give them a relatively small down payment, they do have to spend time and money getting the permits and all. Think of it this way, if your job is $80,000, are you going write a check for $8,000 to someone you don't really know? Make sure you have a sound contract. And, make sure it includes a "draw schedule", this is a list of payments that you make as progress is made on the job. Usually the "draws" are tied to phases completed. For example, you might give the guy a draw when he actually breaks ground, then once he get's his footing inspection, you might make another payment. Once the footings and foundations are done, another payment, once the deck (floor joists and sub flooring but no walls) another, then when it's framed and dried in, another, etc, etc, etc. A good contractor will present this to you. It will show that he is organized and understand the sequencing of the job.
INSIST that you get copies of all inspections. For a substantial project like that, costing 10s of thousands of dollars it might be well worth getting your attorney to review the contract before you sign it.
Subbing out the job can certainly save you money, but you have to be able to be on the job site at various times, issues inevitably arise and that's what the contracotr does, he schedules the job and oversees that it is done, makes sure the materials meet specificaitons, etc. Sometimes he might do some of the work, but not always. Very few contractors have excavators, masons, carpenters, electricians, plumbers, insulators, drwayllers, painters, roofers, on their payroll, just not practical.
Also make sure they have insurance, liability, workers comp, etc. Otherwise you are liable. You can get a construction liability (that might not be what it's called exactly) rider from your homeowners insurance company. If you had an architect draw the plans he very will might know contractors that he's worked with.
Never agree to any changes without it be written out, with an agreed price and signed by both the contracotr and you.
And...demand they maintain and give you a copy of the release of liens. This is proof that the subcontractors have been paid. Because if you pay him a bunch of money and he doesn't pay the subs they can place a "mechanics lien" against the job, which mean agains you. This is an area where a lot of problems arise.
Also, if you have plans make sure the contract specifies that the contractor will build according to the plans and specificaitons, not some generic phrase like a "30X30 addition"
Finally, don't become friends with the contractor, there will be times when you will have to be firm and businesslike. It doesn't have to be confrontational or contentious but you do have to be able to demand that you get what you are paying for.