1. Renovation planning

Any project will be more successful if it has well-defined objectives. In each domestic project, the following three points can be applied:

SHAPE: How do you want it to look?
FUNCTION: What do you want me to do for you?
COMPATIBILITY: What factors are there that might limit what you can do and will the finished product look good in your home?

Once you’ve completed this part of your task, it’s time to decide whether to build it yourself, hire a contractor, or be your own contractor and perhaps subcontract some of the work. Sometimes outsourcing can seem like it’s overcomplicating and even wasteful, but remember: some jobs can seem deceptively simple until you really get down to the nitty-gritty. A general contractor’s job is to coordinate and orchestrate the whole mess to completion.

2. Find a contractor

My Card… The process for finding a good contractor is essentially the same whether you decide to hire a general contractor or one or more subcontractors. The best reference for a contractor is word of mouth from a satisfied customer. If you don’t know anyone who has done renovations or repairs in the area you need, look for work trucks or signs in your neighborhood. He knocks on doors and asks the owners if they are satisfied with the work done. Once you contact a contractor, ask for references and continue to call your past clients with a series of questions that will provide you with the information you are looking for.

The following are examples of questions that could be asked of any reference:

1. Did the job arrive at the quoted price?

2. Did the job arrive on time?

3. Was the workplace cleaned every day?

4. Was the quality of workmanship satisfactory?

5. Was the quality of the materials used satisfactory?

It is always recommended that you talk to more than one company, so that you have a basis for comparison. Listen to his technical information and keep in mind his customer relationship skills. If the contractor doesn’t do a good job of communicating with you before you hire them, there may be a greater chance of communication problems during the job.

Sometimes the best companies will be very busy and you will have to wait for their services. Other times, good companies may have time slots between big projects that smaller jobs can fit into. Ask what the company’s schedule has been like for the last 6 months to a year. Reputable companies are usually busy all year in any economic situation.

3. The Estimate or Quotation

Meeting with contractors

Remember that the contractor you choose may be spending a lot of time in your home, so find someone you feel comfortable with. You must meet individually with each prospective contractor. Be prepared to discuss products and designs; know what you want and how much you can spend. Take note if the contractors are punctual, if they listen and answer questions, if they are willing to give information about their company and their clients; and if they seem to have any aversion to your ideas.

The estimate

This is where you will likely make your choice of contractor. Each prospective contractor will submit a proposal, including design and cost information. Review the quotes, making sure they accurately reflect your wishes, and make any comments and/or changes as necessary.

How are jobs estimated?

Work that involves structural changes to the home, custom designs, or expansion of some of the mechanical systems is generally priced per job. It can be very difficult for a contractor to know exactly how long a complex custom job will take, especially if multiple trades are required and the different parts of the job are interdependent.

Get it in writing! Simple, straightforward jobs are often priced by the square foot. Some examples are laying sod, painting, roofing, drywall, or finishing floors. The quoted price will usually be set to include everything (ie labor, materials, travel, etc.).

Smaller hourly jobs can also be quoted, and if the job is fairly routine, like installing extra electrical outlets or putting up drywall, the figures are usually in line. In this situation, you will pay the merchant for the time, plus the cost of the materials used in the project.

Final design and quote

If you have a well-referenced contractor and the quote looks good, now you need to get a firm quote, including final designs. The design must include detailed specifications for the work and materials to be used.

(Another option is to have an architect or designer produce the plans and ask the contractors to bid on the work, based on these plans.)

Make sure the final specifications are accurate and reflect your wishes, and make your final comments and changes. After the final quote is accepted, the cost of additional changes will likely be added to the job. Ask how long the stages of the work will take, so you can monitor progress.

4. The paperwork

Cash is king, however…

… be careful, that the cash deal of the century does not become the mistake of your life! One reason to pay in cash is to avoid paperwork and taxes. Taxes and other legalities aside, the absence of contracts and permits can be extremely risky.

Oh, I love saving money! Cash contractors often do not pay workers’ compensation rates, and you could be legally responsible for any workers injured on your property. If the contractor gives you product warranty cards, you’ll be covered for defective materials as long as they’re installed correctly, but don’t expect good follow-up service with a cash offer. You would also have a hard time supporting any legal action without any paperwork. The overall quality of a project can be compromised in the absence of paperwork, and cash paid upfront (in lieu of a check) will be nearly impossible to recover if things go wrong.

Building, plumbing, and electrical codes may require all or part of your project to be performed by licensed tradesmen, and licenses are sometimes required to obtain permits. If the dealers are not licensed, the contractor may not be insured. And if your contractor isn’t insured, depending on the nature of the job, neither will his home while he’s working on it.

Contract

Written agreements are less vulnerable to miscommunication than verbal ones and much easier to enforce. Some of the points included in a good contract are:

1. Complete job description, including all aspects of the job; demolition, renovation, reconstruction and finishing.

2. Material specifications, including type, model, number, color, and size where applicable, and who supplies what.

3. Start and end dates.

4. Payment schedule; 40/40/20 is generally acceptable.

5. Permits and who is responsible for obtaining them.

6. Cleaning and garbage removal.

7. Behavior on the site.

8. Change Order Clause – Have any changes to the original job specifications in writing with the requirement that you “sign off” any changes before the work is done.

9. Arbitration: Agree how disagreements will be handled before work begins.

10. Policy number and insurer of the contractor.

5. The Work MORE POWER!

Avoiding Trouble – If you’ve carefully chosen your contractor and made the proper preparations (including site prep for tradesmen and workers), this part should be easy! The actual work should closely follow what was written in the contract, however you still need to monitor the project in progress and in some cases you will need to make additional decisions. Often there are unforeseen difficulties, or you simply want to request changes as the work progresses.

Site Preparation: Remove furniture and stored items from the work area and cover rugs and other items that cannot be moved. It is in your best interest to arrange storage, cleanup, and trash areas that are convenient to the work area.

Project Coordination: Effective communication is the biggest secret to successfully completing any project. Maintain regular contact with your contractor(s) so that unforeseen events can be resolved quickly.

Hidden Conditions: A thorough inspection done along with an estimate should prevent any major changes; however, there are structural and mechanical conditions initially hidden from view that even the most experienced renovator may not be able to predict. Be prepared to negotiate changes for “hidden conditions.”

What to do if a problem develops:

1. Bring all problems, perceived and real, to the attention of your contractor(s).

2. Is it greater or less? If it is minor, and the contractor is present at the time, discuss it and negotiate a resolution. If it’s minor and/or looks like it can wait, start a list of minor observations that may come to your attention when appropriate.

3. Major problems must be dealt with immediately. If your contractor is not present at the time, please make every effort to contact him or her as soon as possible. This can warn the progress of the problem.

4. Since your contractor responds satisfactorily, continue. If not, try again and if necessary, write a letter. If you’re still not satisfied, check with a third party, such as the Ontario Renovators Council or the Ontario Home Builders Association. These agencies should be contacted only if you are certain that a resolution cannot be reached with the contractor. Legal advice should be an absolute last resort. There is no use making a mountain out of a molehill and thereby delaying the successful completion of the project.

THE BOTTOM LINE:

careful selection of the contractor + a good contract = successful work