Quick Answer: How Much Money Should You Give A Contractor Up Front?

How much can a contractor ask for upfront in Massachusetts?

The contract must provide the total contract amount and the timing of progress payments.

Massachusetts law prohibits a contractor requiring an initial deposit of over 33% of the total contract price unless special materials are ordered.

Any contractor demanding over a 33% deposit should raise a huge red flag ..

How do you tell a contractor you are unhappy?

When talking with the contractor, explain why you are unhappy with his work, and get him to sign a document detailing the solutions that you have both agreed on, so that if he flakes, you have written proof. Remember to avoid writing an online review before talking with your contractor.

How do you tell a contractor they got the job?

As far as how to notify a contractor that he or she didn’t get the job, a short handwritten letter, brief email or a quick phone call should suffice. Most contractors appreciate hearing why you didn’t choose them, if you’re comfortable providing that type of feedback.

What happens if you don’t pay a contractor?

If you refuse to pay the invoice, you risk having a mechanic’s lien attached to your property. … A lien creates an interest in your property to secure the performance of an obligation — in this case, the payment of a debt to a contractor.

How do I get back at a bad contractor?

Five Ways to Get Your Money Back From Bad ContractorsHire an attorney. … Small claims court. … Contact the state’s licensing board. … Contact the Better Business Bureau (BBB). … Consumer reporters. … Withhold further payment. … Social media. … The Contractor, or Homeowner’s Recovery Fund.

How do I go after a bad contractor?

7 Ways to deal with a bad contractorFirst, compile all paperwork.Fire them.File a claim if contractor is bonded.File a complaint with the state licensing board if contractor is licensed.Request mediation or arbitration.File a suit in small claims court.Hire an attorney.File complaints and post public reviews.More items…•

How much does a contractor make off a house?

General contractors get paid by taking a percentage of the overall cost of the completed project. Some will charge a flat fee, but in most cases, a general contractor will charge between 10 and 20 percent of the total cost of the job. This includes the cost of all materials, permits and subcontractors.

Should contractors ask for money up front?

First and obviously, your contractor shouldn’t ask for an unreasonable sum of money up front. Yes, he needs money to get the project started, but asking for more than 15 percent raises a red flag, and most states allow contractors to ask for a maximum of 33 percent of the total cost up front [source: Chicago Tribune].

Can a general contractor do plumbing in Washington?

In the State of Washington, Chapter 18.106 RCW contains the rules and regulations governing plumber certification. … If you are paying to have plumbing work done, the installer is required to be a certified journeyman plumber. They must also be a registered contractor or be employed by a registered contractor.

Should I give a contractor a deposit?

Mike’s Tip: Homeowners should agree to pay no more than 10-20 percent of the total cost of the renovation as an initial deposit, or on the first day when work begins.

How much should I pay a contractor up front in Canada?

The Canada Mortgage and Housing Corporation has a sample contract on its website. If your contractor asks for a lot of money up front, run. You should pay no more than 10% to 15% of the total cost of the project up front. Subsequent payments should only be made when certain milestones are met.

What should you not say to a contractor?

Seven Things to Never Say to a ContractorNever Tell a Contractor They are the Only One Bidding on the Job. … Don’t Tell a Contractor Your Budget. … Never Ask a Contractor for a Discount if You Pay Upfront. … Don’t Tell a Contractor That You Aren’t in A Hurry. … Do Not Let a Contractor Choose the Materials.More items…

Do contractors expect you to negotiate?

Remember to be fair when it comes to making offers or considering bids. Most contractors are hardworking folks who need to make a living, and deserve to be paid fairly for good work. Fortunately, however, many will come down in price (at least a little) if you take the time to ask politely.

Do you need a contractors license in Washington?

Contractor licensing in Washington is similar to other states’ licensing processes, except Washington doesn’t require general contractors to take exams. Applicants also don’t have to submit proof of education or work experience. … Check out our Contractor License FAQ page.

How much should I give a contractor up front?

You shouldn’t pay more than 10 percent of the estimated contract price upfront, according to the Contractors State License Board. Ask about fees. Pay by credit when you can, but keep in mind some contractors will charge a “processing fee” for the convenience.

How much can a contractor ask for upfront in Washington state?

A contractor must provide a “Notice to Customer” disclosure statement to you for any residential project with a projected cost of $1,000 or more, and any commercial project of $1,000 to $60,000.