Did you know Americans spent an estimated $427 billion on home remodeling projects in 2022?
Kitchen and bathroom renovation projects were the most common home improvement projects U.S. homeowners tackled. And eight in 10 exceeded their initial budget by a minimum of $500.
When planning to work on your kitchen, bathroom, den, basement, master bedroom, or any other space in your home, you need to consider how much you can afford. A good ROI is nice, too. It might be tempting to hire an unlicensed home improvement contractor to save money. But you have far more to lose than gain by doing so — especially if something goes wrong.
For one thing, you, as the homeowner, can be held liable if an unlicensed contractor is injured on your property. The last thing you need is to have a co-worker, friend, or neighbor take on, say, a roofing project and suffer a severe injury. An accident could subject you to a personal injury claim for injuries or a wrongful death lawsuit if the accident results in a fatality.
If charged as part of a wrongful death lawsuit, you’ll want to find a lawyer. But one lawyer isn’t necessarily as good as another. A law firm using AI-powered security tools will safeguard your confidential data so it doesn’t end up in the wrong hands. A wrongful death situation is a worst-case scenario. But you should always prepare for the worst and hope for the best.
Here are three reasons you should hire licensed contractors for your remodeling projects.
1. Licensed Contractors Have the Skills for the Job
Jacks of all trades are masters of none of those trades. So, if you hire an unlicensed contractor, you can’t be certain whether they have the skills needed to do the job expertly.
Do you want someone to remodel your kitchen or renovate your bathroom? It’s best to hire someone you know has the skills required to do the job right the first time around. They should know best practices and troubleshoot effectively if they uncover issues or encounter difficulties.
2. Licensed Contractors Will Have Contracts in Place
Unlicensed contractors often work under the table since they’re not licensed to do home remodeling. But with no contract in place, you’ll be at risk since you may have little recourse if an unlicensed contractor does a shoddy job or doesn’t complete the project. If you hire an unlicensed contractor and don’t have a contract, you’ll be at the mercy of the service provider. Does that mean all unlicensed contractors will take advantage of you? No. But why take the risk?
Licensed contractors will be contractually bound to do specific work for a fixed price. The document will protect you and the service provider if something goes wrong.
3. Licensed Contractors Will Know What Permits to Obtain
Depending on where you live and the nature of the renovation project, permits may be needed. Licensed contractors will know the required permits, where to go for the permits, and how to fill out the paperwork to obtain them. So, the work will be legal and up to code.
An unlicensed contractor may or may not know about any permit requirements. In fact, an unlicensed contractor may not care if permits are needed. So, you’ll be rolling dice depending on the good graces and professionalism of an unlicensed contractor. That’s not the sort of risk you want to make as a homeowner. — especially since you may have no recourse afterward.
When considering a home renovation project, remember these three reasons to go with a licensed contractor over an unlicensed one. It’ll cost more to go this route, but you’re less likely to have a case of buyer’s remorse.
