Advice on how to find general contractors for Hampton Roads Virginia homeowners, property managers, and realtors needing remodeling, renovation, or new construction estimates or quotes for free.   Sponsored by JobSiteJoe!

An Excerpt from William Burr's "Choosing a General Contractor" from Living Southern Style Magazine:

Shopping for a general contractor
It's a good idea to interview three contractors and get two bids on the job. While you need an amicable working relationship, do not make your choice based on whom you like. They must be someone you can work with and trust, but they are not your friends and you don't have to like them. Pushy brash people are often just what a wayward subcontractor needs to keep them on time and within budget.

Don't consider a general contractor who has an unverifiable address, only a PO Box number or just a cell phone number. Do a financial background check. Get and follow up on references that you find yourself as well as those provided by the contractor. Contact the Better Business Bureau or state licensing board for any complaints.  A credit and bank check will help you determine the financial strength of each candidate. The developer you purchased your home site from is an excellent resource.  Often they have a preferred builder list to guide you through the process.  They have a vested interest in quality construction and happy owners to ensure long-term success.  They may also have a building company too.

Three of the most overlooked considerations are communication, experience and reputation. Have they built homes in the area where your site is located?  Have they built homes like the one you want? Are they in a similar price bracket? Was their relationship with previous customers mutually rewarding? Ask to see the contractor's current license. Have their insurance broker provide proof of liability and workman's compensation insurance. What kind of warranty will they provide? If they are not willing to guarantee their work, look elsewhere. How about your comfort level with them? How receptive are they to your questions? Are they hard to reach by phone? You may live far away and not be able to visit the job site regularly which means daily contact by phone and email is essential.  Many builders will email digital pictures of the progress weekly.

After describing your project clearly and in person to each candidate, get competitive bids. The most important aspect of each estimate is the amount of detail it includes. The more specific the contract is concerning the exact materials, manufacturers, model numbers, quantities, dimensions, etc, the more likely the job will be completed within the expected budget. Ask for a specific start date and overall time frame. Add a "time is of the essence" clause to protect yourself against months of delays that may mean postponing closing on the property you are leaving or renting at your expense. This clause ideally penalizes the contractor with charge for each day they are late delivering the certificate of occupancy. Make sure each bid compares apples to apples and incorporates your needs. The lowest bid is not always the best choice. Compare the bids to each other to determine what makes the difference in cost.  The bid you select should also be reasonable for both parties.  An extremely low bid that secures a financially unstable contractor who jumps at the deposit and later goes bankrupt leaving you with a half completed home is not a bargain.  If it seems too good to be true it probably is.

The contract
Once you have chosen the best candidate, the next step is the contract. Sample contracts are available on line and often provide excellent guidance. The contract should be dated and include your name and address as well as the contractor's name, address, license number and phone numbers. Also included should be a start date, timeline and finish date; the names of subcontractors; specific products you have chosen; labor costs; material and product allowances with prices and quantities; a payment schedule and the contractor's commission that can vary greatly and be anywhere between 15% and 45% of the cost of the project. The scope of the work should be well defined. It should state that it is the contractor's responsibility to obtain necessary permits and inspections and should clearly state how change orders will be handled. Your signature should be required in advance on each change order to authorize any additional expense.  The contract should also state that the worksite will be cleaned up each day and specify the final condition of the property. After all this is in writing, it's a good idea to have a lawyer review the entire contract.

Working with the contractor
Keep a job file containing anything pertaining to the project. It should include all paid invoices, photographs of progress, copies of subcontractor bills, etc.  Maintain control of the money by beginning with no more than a 10% down payment and making subsequent disbursements as each stage is completed. If you have a construction loan your lender will help in this regard.  They will not release draws unless the required work is complete. Don't let your payments get ahead of the work. Fix all problems before the final payment. Don't make the final payment until you have a certificate of occupancy from the county and secured a signed mechanic's lien waiver or release from the contractor, all subcontractors and suppliers.

These suggestions will go a long way toward building a home that meets your expectations and does not drive you crazy in the process. Seeing your vision become reality is the reward for the planning and hard work. 

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