Can the contractor handle finish carpentry work?
Do not sign a contract until you are absolutely confident you understand all the fine print. When possible, consult an attorney on contracts for major renovations. Default on a legal contract could result in a lien on your properly, and , even worse, possible loss of your home to satisfy the debt. Arrange the financing carefully. Few families pay for remodeling in cash. Many financial institutions offer second mortgages and home equity loans secured by your house. The interest charges on second mortgages and home equity loans are an income tax deduction. Structure your contract so that the contractor will be paid in stages: 30% prior to the project’s start; 30% when the work is half done; and the remainder upon completion. Many states have statues that require contractors to warranty their work. Inspect the work in progress; ask questions. Remember, It’s your home that is being remodeled.
