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March 2000
By
Bill Rauser
If
you decide to build a house or remodel your existing
one, there are some things that you must know
to avoid legal hassles.
Keep these suggestions in mind before and
during your building process, and you’ll find
that the project is hardly the nightmare it could
have been. In fact, your experience will be pleasant
and exciting...a dream (home) come true.
Evaluate
the company or individual’s experience and track
record.
Years in business are only one indication
of a good company.
Make sure the contractor you choose has
good credentials.
Contact the Remodelers Council of the Maryland
Home Builders Association or the Maryland Home
Improvement Commission and/or government Consumer
Affairs Office for additional information on the
contractor(s).
Financial stability and business practices
are also important considerations.
Beware that home improvement contractors
must be tested to earn a MHIC license;
home builders must buy a construction license.
Check
the references of home builders and subcontractors
to evaluate professionalism, performance, and
quality of work.
Make sure the architect and builder have
a reputation for sticking to their quotes.
Or, do they come in way over budget despite
no significant changes by the homeowner? Remember,
an experienced builder offers a vast knowledge
of materials, resources, and buying power that
far exceeds that of an inexperienced builder or
the do-it-yourselfer.
Asking for references will not only allow
you to talk with people who have worked with the
contractor, but may even allow you to see a finished
product.
Make
sure your contractor is insured against claims
covering such areas as worker’s compensation,
property damage, or personal liability.
By asking these questions up front, you
can save yourself money concerning legal problems
later.
- Get everything in writing
Not
only should you make sure your contracts are in
writing and clear, but be sure they include: change
orders, start and completion dates, prices, a
payment schedule, penalties that may be instituted
against you, and a timeline.
Don’t rely on verbal agreements because
they rarely hold up in court and the confusion
factor is much higher.
Be
sure to get any changes confirmed in writing,
too. These
orders should include the brand, model, color,
quantity, and size of all the materials that are
going to be used on the job.
This way, if there are any problems or
discrepancies down the line you have something
to legally protect you.
Evaluate
the builder’s warranty program.
The most confident builders guarantee their
own work for life and give you that warranty in
writing.
Make sure you discuss and understand all
warranty details before accepting a contract.
The
bottom line to staying out of court is really
open communications.
Rapport in the builder/homeowner relationship
is vital.
Plain and simple, you must decide whether
you like the person before you engage him/her
and feel confident you can establish a productive
relationship, rooted in open communication, with
the management who will be responsible for your
project.
Remember,
this project is your project.
Select an architect and a builder who listen
to you and who welcome your ideas and questions.
Just as important, choose an architect
and builder who listen to each other, indicating
that both are flexible and confident in each of
their areas of expertise.
Finally, see if the architect and builder
will assist in the selection of your lot to ensure
what you want to build is just right...from the
very beginning.
Bill Rauser is president of Rauser Professional Contracting. He can be reached at 410-833-3883 or br@rauser.com.
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