Homeowner Resources

Protecting Your Home and Investment

Your home is likely your most valuable financial asset, so it is important to be thoughtful and careful when hiring someone to work on it. Using licensed, reputable contractors and clear written agreements can help prevent costly mistakes, delays, and potential scams.

Tips for Hiring a Contractor

• Work only with a licensed contractor who meets Virginia’s minimum competency requirements.
• Verify the contractor’s license status and review any past disciplinary actions using the state License Lookup tool.
• Educate yourself about the type of contractor needed for your specific project before hiring.  Read What You Should Know Before Hiring a Contractor provided by Virginia Department of Professional and Occupational Regulation.
• Ask friends, neighbors, or trusted community members for referrals. Keep in mind that advertisements and online reviews are not always reliable indicators of quality.
• Obtain written estimates from at least three contractors and compare them carefully. Do not automatically choose the lowest bid—ask questions about price differences and scope of work.
• Require a detailed written contract that includes the full scope of work, materials, costs, and agreed-upon start and completion dates. Licensed contractors are required by law to provide a written contract for residential work signed by both parties.
• Do not rely on verbal agreements. Make sure all guarantees, warranties, and promises are clearly documented in writing.

Payment and Contract Best Practices

• Limit your down payment or deposit. A reputable contractor should be able to cover most initial supply costs without requiring a large upfront payment.
• Consider an initial deposit of no more than 10% or $1,000 (whichever is less). For projects involving custom materials or special orders, a deposit should generally not exceed 30% of the total contract value.
• Structure payments based on completed project milestones so that payments align with progress.
• Never pay the full amount until the work is 100% complete and you are satisfied with the results.

Warning Signs of Contractor Scams

Home repair scams are more common during peak seasons, especially in spring and after storms. Be cautious if a contractor:

• Solicits door-to-door or pressures you to sign immediately (you have a three-day right to cancel contracts signed in your home)
• Claims to have leftover materials from another job or says they are “working in your neighborhood”
• Demands full payment upfront
• Only accepts cash or peer-to-peer payment methods (such as Venmo or similar apps)

Taking these steps can help homeowners avoid fraud, ensure quality repairs, and protect the long-term value and safety of their homes.