Construction Deal Update

For anyone who owns a home, no matter how old it is, at some point in time a homeowner will need to find a general contractor or service professional, such as a plumber or electrician, to help with installations and problems that arise.

Homeowners need to find professionals for two main reasons - home repair and home renovation. The average age of the American home is close to 35 years so there will be a constant need to upgrade and maintain for homeowners. Besides fixing problems, there has been a significant desire to remodel older homes, spurred on mostly by the Baby Boomer generation. Home remodeling has skyrocketed for the last three decades, increasing year over year in total expenditures. In 2003, remodeling sales totaled $230 billion in 2003, which accounted for more than 2% of the U.S. economy.

Many homeowners in need of such services are choosing to do the work themselves. The DIY craze has been growing by leaps and bounds, thanks to many home improvement television shows, such as the HGTV, the DIY Network and the Discovery Home networks.

Sales at local home improvement stores, like Home Depot and Lowe's, had been on the rise for quite some time but have slowly fallen back down. More and more people have turned away to find more qualified installation professionals and better quality products than those available at the home improvement chains. In fact, some contractors are specializing in coming in to fix do-it-yourself projects that didn't go well. HGTV even has a show called Over Your Head about repairing a homeowner DIY job.

For homeowners who do not have the time, tools, or experience to complete a home repair or renovation project on their own, they have to hire someone. A contractor is an independent professional or company who can design, install, repair, replace, remove, or build parts of or parts within a house. Because these services are done by independent contractors and companies, many do not know how to find a reliable professional.

How to Find a Contractor

There are 3 main ways to find a contractor for an upcoming home improvement or repair project:

• Personal Referrals
• Homeowners should talk to family, friends, and co-workers about reliable companies to help complete projects. It's a great way to get a personal testimonial from some a trust source.

• Advantages of Personal Referrals
• Referring friend or family member may have already shopped around to find the best offer in the area
• Their opinion of the contractor's service is trustworthy
• Homeowners can view the quality of the work

• Disadvantages of Personal Referrals
• Homeowners may not need same type of work done on their houses
• Friend or family member may be able to afford a higher budget
• Friend or family member may have a different style of house or be in a different neighborhood
  

• Yellow Pages/Phone Books/Directories
• Homeowners can use a local directory to look up a contractor. Yellow pages and white pages have anything from a basic listing, which has the company name and phone number, to a full page advertisement, which lists the company's details and full range of services.

• Advantages of Yellow Pages
• Homeowners can choose from companies at their own pace
• Homeowners are able to call as many companies as they would like
• Homeowners can review company details in advance to determine how close they are, possibly how big the company is, and what services are offered

• Disadvantages of Yellow Pages
• Homeowners have to call each company individually, describe their requirements, and answer the same questions
• Homeowners tend to only call one or two companies - receiving fewer bids on a project could mean the homeowner will end up paying a higher price
  
• No direct referrals from trusted friends or family members to rely upon
  

• Online Referrals
• With the Internet revolution, there are a host of online companies that provide contractor referral services. Homeowners can post their project on these websites and let a set number of contractors contact them. It's usually a free service for the homeowner.

• Advantages of Online Referrals
• Homeowners will receive multiple bids, which allows them to get the best rate on the work
• Homeowners only have to post their project requirements once and answer questions one time, which saves time
• Homeowners may be able to find additional online resources, such as financing and informational articles

• Disadvantages of Online Referrals
• The website may not be a trusted resource, such as a member of a building association or the Better Business Bureau
• The online referral service may not have a contractor, in their network, close to the homeowner.
• No direct referrals from trusted friends or family members to rely upon

However you choose to find a contractor or service professional to do work on your home, please make sure you get several bids from several companies. Don't just call and select the first person to answer the phone. The more bids you have, the better the chances are you'll get the best price (check here to find more tips on finding the best contractor for you.)

References:
Joint Center for Housing Studies

External Links:
Construction Deal.com - Online Resource to Find a Contractor
Home Time.com - TV Show & Home Remodeling advice
Better Business Bureau
Wikipedia - Home Improvement
Bob Vila.com - Home Improvement Advice
DIY Network - Do-It-Yourself advice

Labels: ConstructionDeal.com, Find a Contractor