At some point during the architectural design process, you will be able to start locating a general contractor and/or subcontractors to perform required work. Locating contractors and subcontractors involves:
- Get recommendations from friends or other trusted sources.
- Contact companies and arrange times to meet potential contractors at the house for a walkthrough. If you take a day to meet multiple contractors, schedule them with enough time so that contractors from the same trades do not overlap. See Appendix B for a list of possible questions for contractors.
- Compare bids side-by-side and ask for clarification if necessary. Be aware of vague language and get all dates in writing. Make sure you get along with the contractor and do not have any immediate communication problems.
Your architect can assist in the contractor selection process by providing preliminary drawings, evaluating bids, and answering questions.
Verify that all contractors you work with are licensed and insured for your project. Insurance covers injury to workers on site and damage to property caused by the contractor – your homeowner’s policy is not appropriate coverage for construction. You may request to be furnished with a certificate of insurance. This certificate should be faxed or mailed directly from the insurance company and reference your specific name and address. Do not accept any other proof of insurance.
A lien is a legal encumbrance on the deed to a property ensuring that it cannot change hands until the lien holder is paid. As you make payments to your contractors throughout the construction process, always request signed lien wavers. If you are working with a general contractor, ask for signed lien waivers from all subcontractors before releasing the final payment. The lien waiver ensures that you cannot be “double-billed” for services. For example, consider a draw payment submitted by the general contractor that includes the electrical rough-in. You pay the general contractor and assume that the electrician gets paid subsequently. However, if for some reason the electrician does not receive the money owed, he or she can place a lien against your property for that amount. In order to release the lien you could end up paying for the same work twice.
