So you have a job in your home that you want to hire out.  Do you call the guy advertising on craigslist who only asks for cash payments but he “works for cheap”? You can, but there are some things that you need to consider before picking up that phone.

The Law:

If you have work done on your home, if you don’t do it yourself, you need to hire a person who has a license to do the work. This is vitally important when it comes to electrical, structural, foundation, plumbing and roofing. Why? To obtain a license takes training.  No whimsical guess work or “oh, that will hold it for a while”. Being educated on the job that needs to be done will save you valuable time and money.

Being protected:

What would happen if you hired the person from craigslist, they tear apart your home to the studs, ask for payment to purchase materials and then just disappears after they received the money? You’d be out of luck, money and there is nothing that you could do.

Take a look at a local issue here:

“Typically, for a bond to pay out to a homeowner, the property owner must first win a claim with the state contractor’s board by proving that the contractor failed to perform the required work. The homeowner may also be required to attempt to collect money from the contractor before making a claim against the bond. Whether the bond will be sufficient to pay the claim depends on the size of the bond that the contractor had, and on whether there are other claims against it. The Oregon Construction Contractors Board (CCB) warns customers that the bonds required in Oregon may only provide a limited amount of financial security to property owners because the bonds required are often small compared to the volume of work performed by contractors. However, this may differ in your state and your contractor may sometimes buy a larger bond than is required by law. To determine the amount of protection available to you by hiring a bonded contractor, it is best to speak with a lawyer prior to entering into a construction agreement.”

Courtesy of: 

Under Creative Commons License: Attribution 

If a contractor is bonded & insured it means they have taken the time and foresight to purchase a type of insurance that protects the property owners directly. Did you know that if a contractor is on your property and slips, hurts his body in some way, falls off a ladder, or even steps on a nail the home owner is held liable? You could be on the hook for hospital bills and monetary losses for not being able to work (and who knows what else if they decided to sue). 

If you have more questions or need a contractor, feel free to reach out to one of our awesome agents; we are here to service all your real estate needs.

(616) 288-3244

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