Tips for hiring a home contractor

The Department of Consumer Affairs (DCA) offers these tips when hiring a home improvement contractor:

Always use a licensed home improvement contractor and/or salesperson
Call 3-1-1 or use DCA’s Instant License Check at nyc.gov/consumers to see if your home improvement contractor is licensed. Persons soliciting or performing home improvement work in New York City costing more than $200 must be licensed by DCA.

Get references
Call 3-1-1 to check complaint history with DCA and check with at least three references before hiring a contractor. You can also check surrounding areas including Suffolk, Nassau and Westchester counties for complaints.

Know your contract rights
By law, homeowners have the right to cancel any contract within three days, including contracts for home repair and/or improvements. Always check the contract for a cancellation notice.

Get a written estimate
One of the best ways to calculate the cost of your home improvement work is to get estimates from three contractors. Under the Home-Improvement Business Law, a home improvement contractor must provide a written estimate upon request. If a contractor charges for supplying a written estimate, you must be told beforehand how much the fee will be.

Use DCA’s home improvement model contract
Don’t start work or make payments without a written contract that clearly indicates all of the specifics of the project. DCA’s model contract is an easy-to-use template that covers the bases of a home improvement project, from materials and equipment to prices, payments and work schedules. DCA’s model contract is free and available online at nyc.gov/consumers or by calling 3-1-1. Ask for the Home Improvement Contractor license application packet.

Never pay cash
Never pay for repairs or improvements without a contract and never pay in cash. Pay no more than a quarter of the total amount upfront, up to a maximum $15,000, to get the work started. Then continue with ‘progress’ payments as work continues so payments are tied to specific work progress, with final payment due when all the work is completed to your satisfaction. Be sure to keep track of all paperwork and payments.

Don’t finance improvements or repairs through your contractor
It is illegal for contractors or salespeople to arrange or offer to arrange home improvement loans for you. If they attempt to do this, file a complaint immediately with DCA via 3-1-1 or online at nyc.gov/consumers. If financing is needed for repairs or improvements, investigate reliable and legitimate options on your own at your bank or credit union of choice.

Consider looking for home improvement contractors who use green products
Green products are healthier for the environment and better for your home. Visit
nyc.gov/greenyc for tips.