Hiring Home Contractors
By Steve Gillman, Fri Dec 9th

Have you ever had a problem with a home contractor? You're notalone. A friend of mine paid over seven thousand dollars to havehis roof repaired, only to have it leak the next time it rained.The contractor made excuses, but never did a thing about it -and my friend was an attorney! To make situations like this lesslikely, avoid the following mistakes when hiring a contractor.

1. Not being clear about what you want. When you don't knowwhat you want, you might not like what you get. If you changeyour mind and change the job halfway through, the contract - andprice - will change. Hint: it won't get cheaper. Be clear onwhat you want done.

2. Not getting it in writing. Hearing "I didn't say I was goingto include the gutters," could be a problem, or you could pointto the contract.

3. No dates in the contract. Do you want the job finished thisyear? Be sure you have it in the contract.

4. Too much money up front. Deposits are a reasonable requestwhen contracts are signed. The home contractor may need moneyfor materials prior to the start date. But never pay in fullbefore the job is finished.

5. Unlicensed contractors. This can be okay, if you know whatyou are doing (and he does). A license doesn't mean you getexpertise, but it does mean you get leverage. Contractors willright their wrongs to avoid losing that license. 6. Hiring thefirst in the phone book. Talk to friends who had work done, orto the owner of a hardware store. Get a recommendation based ona similar job to yours.

7. Assuming there will be no problems. Delays due to weather,employees quitting, and more will happen. A few problems isokay, but it's not okay if the contractor can't work out theissues to your satisfaction.

8. Expecting neatness. Guess what? It is sometimes moreefficient to leave things laying where they'll next be used.There will be messes, so prepare accordingly. Cover up things ifit will be a dusty job, for example. Also be clear in thecontract that the jobsite will be cleaned up at the end of thejob.

9. No penalties in the contract. It's one thing for a contractto say "Work to be completed by May 2nd." That helps, but it'sbetter to add, "$100 per day to be deducted from the contractprice for each day the job is unfinished beyond May 2nd. It'swhat I call a motivational clause.

10. Thinking contracts eliminate problems. Contracts help, butunreasonable people on either side of a contract can ignorethem, or even use "literal readings" to make things worse. Finda home contractor you can work with, and keep your eyes open.

About the author:Steve Gillman has invested in real estate for years. To learnmore, and to see a photo of a beautiful house he and his wifebought for $17,500, visit http://www.HousesUnderFiftyThousand.com