Write down what you want done (rooms, sizes, finish level). Run the free calculator for a ballpark so you know what 'reasonable' looks like.
Get names from neighbors, suppliers and your local building department - not from door knockers.
Check each contractor's license with the state board (in Arizona: the Registrar of Contractors). Call the phone number listed on the license to confirm the person you're talking to really works for that company.
Ask for proof of liability insurance and workers' compensation (ask the insurance agent to send you the certificate directly).
Get at least three written bids for the same scope, so you can compare apples to apples.
Check references and look at finished jobs similar to yours.
Read the contract before you sign. Every promise should be in writing: scope, materials, price, payment schedule, start and finish dates, permits, change-order process, warranty and cleanup.
Pay a modest deposit and tie the rest to finished milestones. Collect lien waivers as you pay.
Keep a project folder: contract, change orders, receipts, photos, permits and inspection results.
Arizona law requires a contractor's license when the whole project, labor and materials, is over $1,000 or needs a permit - whether the person calls themselves a 'handyman' or a 'contractor' (Arizona Registrar of Contractors).
Licensed contractors must show their license number in advertising and contracts. Look it up at roc.az.gov.
Hiring a licensed residential contractor in Arizona gives you extra protections: a complaint window of two years from the last work on a remodel, and possible access to the Residential Contractors' Recovery Fund (up to $30,000 per residence, under certain conditions).
Other states: search '[your state] contractor license lookup', or use USA.gov to find your state consumer protection office.
Insurance: what to ask for
General liability - covers damage to your property or neighbors'.
Workers' compensation - covers workers injured on your property (rules on who must carry it vary by state).
Ask for a certificate of insurance sent directly from the agent, with your name as certificate holder.
Check the dates - policies expire.
What a written contract should include
The 3-day right to cancel
Under the FTC Cooling-Off Rule, many sales made at your home (including when you invite a salesperson in) can be canceled until midnight of the third business day after the sale, for sales of $25 or more at your home. There are exceptions - for example, emergency repairs you requested. The seller must tell you about this right and give you cancellation forms. Some states give you more rights.
Red flags
Door-to-door offers, especially after storms
Cash only, or a large payment before any work
No license number, or it doesn't match the company
Pressure to sign today
Asks you to get the permit yourself (as owner-builder) for their work
No written contract, or blank spaces left to 'fill in later'
External sites open in a new tab; Corky's MHS™ is not affiliated with them. Statutes and agency pages change - check the current version.
Please note
Educational information only - not legal, engineering or code advice. Rules vary by state, county and city, and change over time. Check with your local building department and licensing board, and read your own contract.
Want a pro to look it over?
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