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Budget Busters

There are two main reasons for busted budgets: changes and “whileyas” (that handy little phrase that often spills out of a homeowner’s mouth, “While you’re here, could you just…”).

Here is how to handle both:

  • Determine how changes will be handled before the project starts and include the procedure in the contract. This will help keep change orders to a minimum.
  • Realize that any work not specified in the original contract will have an additional cost attached to it. Contractors find that “whileyas,” can represent up to 10 percent of their total annual volume. If you do find additional work you would like your contractor to do, by all means discuss it with him or her. However, you should approach the “whileya” job as a new project and ask for the contractor to draft another project plan and contract for that particular job. This will prevent you from making an uninformed decision, and also give you time to carefully consider the new project.
  • Remodeling often has a domino effect which causes “Whileyas” to happen: You see one room being transformed and decide that the room next to it doesn’t match anymore. Next thing you know, the hallway looks dingy and needs some fixing of its own. And so it goes throughout the house. This phenomenon can turn into an enormous budget buster if not kept under control.
  • Finally, stick to your original plan. If you decide that your budget is “x” and your reserve fund is “y,” tell your contractor to work within those figures. It is easy to say, “A little more on this faucet won’t matter. It’s a small amount of money.” Unfortunately, this is a close cousin to “whileya” and another easy way to overextend your budget.

Maintaining Your Budget

  • Keep the cost of your remodeling project in perspective. According to the American Homeowners Foundation, moving to a new home typically costs 8-10 percent of the current value of your home. On a $150,000 home, this cost is $12,000-$15,000; this is simply what it will cost to move. This is a good base figure for beginning to establish your remodeling budget. A good number of remodeling projects can be done for the money spent in relocation, and remodeling will add value to your current home as well.
  • How much remodeling could you do for 8-10 percent of the current value of your home? How much work would you have to do in a new home should you decide to move? If you completed the finance worksheet, you know how much you can spend-but how much should you spend? The answer varies by circumstance. You should spend as much as is necessary to create your dream home if you are staying in the home for a long time and can afford to do so. However, if you are planning on moving in the near future (within 3 years), be sure to remodel within the standards for the homes in your particular neighborhood.
  • Once you determine how much you can afford to spend on a remodeling project, decrease that amount by 10-20 percent. This money should be put in a reserve account to cover any change orders or incidental charges accrued along the way, which will prevent a frantic scramble for additional funds at the end of a project. You also might want new furniture, new curtains, etc., when the project is complete.
  • Remember that your choice in products will determine the cost of the project. There are many different levels of product quality as well as price ranges. Talk to your contractor about various options to meet your overall goal.
  • Project cost will vary depending on your location, the size of the room, and what features or options you choose. Your best bet for establishing and meeting a realistic budget is to hire a professional remodeling contractor. Your contractor should be familiar with many of the financing options available and be able to help you arrange the financing you need. Many are often linked with a lending institution and can act as an intermediary to obtain financing for you. This offers you convenience and a third party interest in the project’s success.

Whose Money to Use

Types of Financing Available

There are many ways to obtain financing for your home improvement project. Here are just a few (in order of popularity):

Home Equity Loans
These are the most popular loans for home remodeling. They are tied to the equity in your home and may be tax deductible. Most are available at competitive interest rates. There are two types of home equity loans: line of credit and lump sum. In a line of credit loan, you and your lender set a maximum amount of money that you can draw upon during the course of your project. This allows you the flexibility of withdrawals. You can make your withdrawals as needed, and you are only obligated to repay the amount of money you withdraw, plus interest. However, be aware that the interest rates on line of credit loans are frequently pegged to the prime rate and can change any time prime changes, or even more frequently. A lump sum or installment loan is a one-time lump sum withdrawal of a set amount, which you repay in monthly increments usually with a fixed interest rate. The sum is based on the equity you have in your home. Equity is the value of your home minus the outstanding balance on any mortgages. The amount of equity required depends on the particular lender program.
WARNING: If you cannot repay a home equity loan, you could end up losing your house.

Refinancing
When you refinance your home, you are in effect obtaining a larger mortgage to pay off your existing mortgage. The excess funds can be used to finance your home improvements. The big drawback is that refinancing often costs between 3-5 percent of the loan amount and can take as long as getting approval for a first mortgage. This type of financing only makes sense if you were already planning to refinance your home or if you can obtain a much lower interest rate than you are currently paying.

No Equity Loans
Some lending institutions offer loans to homeowners who do not have sufficient equity in their homes to get a home equity loan. No equity loans offer a range of benefits and loan amounts and can work as a consolidation loan to lower your overall debt. The big benefit is that these loans usually are tax deductible.

FHA Loans
The Federal Housing Administration (FHA) began Title I financing for property improvements under the National Housing Act of 1934, a program that is still available today. The FHA makes it easier for consumers to obtain affordable home improvement loans by allowing loans up to $25,000 without any equity in the home.

Margin Loans
Loans against securities you own are the next cheapest source of funds after home equity and no equity loans. With a margin loan, some brokers will let you borrow up to 50 percent of the value of your stocks and up to 90 percent on U.S. Treasury securities. The interest rates are also competitive. In addition, you may deduct the interest against investment income (but not against ordinary earned income). WARNING: There is a risk attached to these loans-if your stocks go down in value, you will be called upon to deposit more money into your account (known as a margin call). If you cannot come up with the money, you will be forced to sell your stocks when the market is low.

Personal Loans
There are many types of personal loans available: debt consolidation; unsecured lines of credit based on your earning capacity or net worth; and lines of credit secured by a possession, such as a car or a savings account. The interest rates for personal loans depend on the borrower’s credit and what is used for collateral. For example, loans using savings accounts as collateral may be priced as low as 2 percent above the savings/CD rate.
WARNING: Remember that accounts used as collateral will not be available for other purposes.

Loans from Retirement Plans
You may be able to borrow against a defined-contribution retirement plan, such as a 401(k) or company profit-sharing plan, depending on where you work. The availability and terms of these types of loans will vary from employer to employer. Usually, if a company allows these loans, you can borrow up to half of your vested balance or $50,000, whichever is less. You will be required to repay the loan in full within five years or if you terminate your employment. The interest on these loans is not tax deductible. WARNING: There are significant IRS restrictions on these types of loans. If you do not follow the rules and restrictions, you may be faced with a 10 percent penalty fee, plus income taxes on the money you borrow.

Life Insurance
If you have a whole-life or other cash value insurance policy, you can borrow against that policy. The death benefit will be reduced by the amount of the loan. If you die before the loan is repaid, your heirs will receive the face value of the policy less the outstanding loan balance.

Credit Card Loans
These are as quick and easy as visiting your local bank. Your credit card will determine the amount of money you can borrow and what interest rate you will be charged.
WARNING: As easy as this is, it is one of the most expensive ways to borrow and should only be used if you need money quickly and plan on repaying the loan just as quickly. The interest rate charged is usually quite high.

KM Builders Named NARI 2011 Regional Contractor of the Year

View Press Release

KM Builders
7915 Mainland Drive, Suite 200
San Antonio, TX 78250
Telephone: 210-680-5626
Fax: 210-680-5625
www.kmbuilders1.com


FOR IMMEDIATE RELEASE

KM Builders Named NARI 2011 Regional Contractor of the Year

San Antonio, TX, January 31, 2011—The National Association of the Remodeling Industry (NARI) named KM Builders, in San Antonio, 2011 Regional Contractor of the Year (CotY) in two categories of its annual awards competition.
Since 1984, KM Builders has been delivering high quality, dependable service in remodeling and building projects in the San Antonio area. With a passion for providing product excellence, efficient scheduling, and unsurpassed customer service, owner, Keith Moehle still visits every project to ensure all of his clients have a rewarding experience. “At KM we believe the time and resources needed to achieve a successful remodeling project truly require a skilled team,” says Moehle. “We pride ourselves in making sure every client feels supported, guided, and confident before we start and during each step of the project.”
KM Builders was awarded the Contractor of the Year in the categories of “Residential Kitchen $40,000 to $80,000”, for a project completed in Leon Valley, and “Residential Addition $100,000 to $250,000”, for a project in Braun Station.
Contractors from seven regions around the country vie for CotY Awards on an annual basis, and all regional winners will now be eligible for the National CotY Awards. National winners will be honored at NARI’s Evening of ExcellenceSM on Saturday, April 2, 2011, at the Westin Jersey City Newport.
Competing projects were completed between July 1 of 2009 and November 30 of 2010 and were not submitted in prior NARI National contests. An impartial panel of Austin judges, who are experts within the industry and associated fields, selected winners based on each entrant’s binders, which include “before and after” photography and project descriptions. Judging focused on problem solving, functionality, aesthetics, craftsmanship, innovation, degree of difficulty and entry presentation.
To be considered for a CotY Award, a company must be a NARI member in good standing. The entries making up this year’s competition totaled $93 million in remodeling projects. NARI members represent an elite group of the approximately 800,000 companies and individuals in the U.S. identifying themselves as remodelers.
Homeowners are estimated to spend a total of $133 billion on home improvements in the U.S. through second quarter of 2011 up from $118 billion in second quarter 2010.

About Company: KM Builders, located in San Antonio, Texas, has been working with homeowners for over 25 years helping with their remodeling and building needs. From design inception to the finishing touches, KM offers a professional experience, the highest quality products and unmatched craftsmanship. For more information you can visit the website at www.kmbuilders1.com or call 210‐680‐5626.
About NARI: KM Builders is a member of the San Antonio Chapter of The National Association of the Remodeling Industry (NARI). It is the only trade association dedicated solely to the remodeling industry. The Association which represents more than 8,200 member companies nationwide—comprised of 63,000 remodeling contractors— is “The Voice of the Remodeling Industry.”™ To locate a local NARI chapter or a remodeling professional, visit NARI’s Web site at www.NARIremodelers.com, or contact the national headquarters, based in Des Plaines, Illinois, at 800‐611‐NARI.
CONTACT: Simran Jawanda
Phone: 210‐680‐5626
E‐mail: sjawanda@kmbuilders1.com

Budgets 101

Money: the one thing that causes more disagreements and stress than just about any other entity. Luckily, creating a budget for your home improvement project does not need to be intimidating or cause World War III in your living room. Just take this simple crash course in everything you need to know about remodeling finance:

How Much Can You Afford?

This question alone is enough to strike fear into anyone’s heart. The truth is not many people enjoy establishing a remodeling budget-and many just don’t. Many homeowners prefer to call a remodeling contractor and expect him or her to create the budget for them, which is not the best way to begin. How do you start off right? You can begin by taking these four easy steps in the right direction:

Step One: Decide how long you plan on staying in your home. The length of time you intend to stay in a home will affect how much money you should invest in it. If you are going to stay in the home for more than ten years, you should spend as much as you are able to create the home of your dreams. However, if you are planning on moving in the near future, you should take care not to over-build for your neighborhood. Look into the real estate comparisons for your area and keep your investment in line with the average home sales price. You don’t want to invest thousands of dollars you won’t be able to recoup at closing.

Step Two: Make a list of all your debts. You should include any debts you pay on a monthly basis, such as mortgages, car loans, credit cards, and any other items with a fixed monthly payment. This list should not include payments for groceries, utilities, telephone services, or other general expenses. Call this list your monthly expenses.

Step Three: Determine your total gross monthly income. Include all sources of income that you would list on a loan application.

Step Four: Complete the following worksheet to determine how much you can afford to pay for your remodeling project on a monthly basis. These formulas are used when the remodeling project is going to be financed. Warning: Cash is not always the best option!

Calculations 101

STEP 1-DTI
Lenders use a simple Debt-to-Income (DTI) ratio to determine if a homeowner can afford the additional debt of a remodeling project.

DTI
Enter Your Total Monthly Expenses $ __________________
Add the Estimated Monthly Payment for the Remodeling
Project + $ __________________
Total = $ __________________
Divide the Total by Your Gross Monthly Income … $ __________________
DTI % = __________________

Each lender will approve loans at a specific DTI percentage (most lenders will tell you what their set DTI ratio is, if you ask). For example, if the lender accepts DTI ratios of 45 percent and your DTI ratio is 30 percent, your loan would be approved. However, if your DTI ratio is 55 percent, you would need to find other financing options. Perhaps your lender offers debt consolidation loans that could reduce your DTI ratio, which brings us to the next step:

STEP 2-The Maximum Payment
The next step is to determine the maximum monthly payment you can afford for remodeling. Multiply your monthly gross income amount by the lender’s maximum DTI allowance, and subtract your current total monthly expenses, excluding the estimated remodeling payment.

Gross Monthly Income $ ________________
Lender’s DTI ratio x ________________
Subtotal = $ ________________
Total Monthly Expenses – $ ________________
Maximum Affordable Payment = $ ________________

If the last line is negative, you will not be able to borrow from that lender. See step 3 for further options.

STEP 3-Consolidation
If your DTI ratio was above the lenders accepted percentage, or if your maximum affordable payment was too low, you may want to consider a debt consolidation loan. This would incorporate your current debts into the home improvement loan. Not only does this allow you to roll your debts into what may be a tax deductible loan, it also provides one easy payment for your debts and lowers your DTI percentage. In addition, the interest rate on a debt consolidation loan may be lower, which will save you additional money.

Most Asked Questions of Contractors

Contractors share the short list of questions they are usually asked by homeowners and offer a list of questions they recommend you ask.

You would think that launching an entire remodeling project would spark a truckload of questions from wary homeowners who have heard the horror stories surrounding the world of remodeling. Surprisingly, though, contractor members of the National Association of the Remodeling Industry (NARI) admit they aren’t asked enough questions!

“Timing and money are about the extent of the questions we hear,” says John Stanforth of John Stanforth Construction, a member of the Miami Valley NARI Chapter in Ohio. “During an interview with a homeowner when homeowners should be asking about my credentials and verifying my business practices all I hear is: when can you start? when will it be finished? and how much will it cost?”

These simply aren’t enough. Yes, timing may be “everything” in comedy, but that certainly isn’t the case when it comes to remodeling. If you are going to have a successful remodeling project, you need to learn the right questions to ask and how to ask them.

When a group of NARI contractors were asked what questions homeowners asked most frequently, the group unanimously agreed that their most popular queries were:

  • When can you start?
  • When will you be finished?
  • What time will you knock on my door each morning?
  • What time will you quit for the day?
  • Are you going to work everyday?
  • Can you finish before (insert any major holiday or significant family event)?
  • How much will it cost per square foot?

Unfortunately, these are not the type of questions that are going to tell you much about a particular contractor.

“While a reasonable timetable is important,” says Stanforth, “it shouldn’t be the primary focus of an interview or a job – neither should budget. Homeowners should be focusing on trust and quality. If you find someone who is reputable and trustworthy, the budget and timeline will fall into place.”

He recommends homeowners start by asking questions about a company’s business practices and experience in a similar type of project. If you decide you want to hire a particular contractor, then you can discuss when he or she can start, what time he or she can knock on your door each morning and when you will have your home to yourselves again. These are all items that can be discussed at a pre-construction meeting.

Here are some questions NARI members recommend you ask before signing a remodeling contract:

  • How long have you been in business?
  • Who will be assigned as project supervisor for the job?
  • Who will be working on the project?
  • Are they employees or subcontractors?
  • Does your company carry workers compensation and liability insurance? (Always verify this information by calling the agency. A copy of an insurance certificate does not let you know if the policy is still current. Even if the certificate has an expiration date. you cannot tell if the insurance has been canceled by either party. If licensing is required in your state also ask if the contractor is licensed and call to verify compliance with the law. Not all states offer or require licensing. Check with your local or state government agencies.)
  • What is your approach to a project such as this?
  • How many projects like mine have you completed in the past year?
  • May I have a list of reference from those projects?
  • May I have a list of business referrals or suppliers?
  • What percentage of your business is repeat or referral business?
  • Are you a member of a national trade association?
  • Have you or your employees been certified in remodeling or had any special training or education, such as earning a Certified Remodeler (CR), Certified Remodeler Specialist (CRS) or Certified Lead Carpenter (CLC) or Certified Kitchen & Bath Remodeler (CKBR) designation?

It’s also important to realize that sometimes it’s not the answers you get that are significant, but what you don’t get. Asking the right questions is not enough. You need to pay attention to your instincts and to what information is missing.

Unlike your accountant or stockbroker, your remodeler will be a part of your daily life and available for some on-the-job education. He or she will be privy to your personal life, more so than your doctor or lawyer. Your contractor will know how you look early in the morning and how well behaved your dog is. It makes sense that you should take some time to carefully select this person and make sure that it is someone you can ask questions of.

Once you do find that person, you can get down to asking the more interesting questions like: What exactly is a sleeper and a cricket? What do alligators have to do with painting? And what do aprons have to do with remodeling?

Remodeling can be a fun experience. You get to create your dream room or home and learn a little about design and building along the way. All you need to do is ask questions. Questions that, according to NARI members, remodelers don’t feel that are getting enough of. So tap into your curiosity and ask away.

Types of Remodeling Professionals

Course of Action

If DIY is not for you, where should you turn to find the best professional for your project? There are many types of professionals within the home improvement field that could come to your aid.

The General Contractor: Many home improvement projects do not require professional design services and can best be handled by the experienced contractor whose knowledge of materials and methods has been gained by years on the job. Again, be sure to deal with a professional. Even though the job may be relatively small, its successful completion is important to you. Small jobs also need careful planning and attention to detail. General contractors are also the right choice for your project if you have had your project designed by an architect or designer and you now need someone to manage the construction of those designs.

For design services, your options include:

The Architect: Major remodeling projects require construction drawings for the purposes of defining a contract and procuring permits. In cases where your professional remodeler does not provide design services, you may wish to seek the assistance of a professionally trained architect. It is best to work with an architect experienced in remodeling-he or she will be more sensitive to the special challenges that remodeling presents. Architects are licensed by the state and have formal education and experience. They have overall knowledge of design; however, many architects do not accept smaller projects.

The Designer: Another option to obtain those construction drawings is to hire a certified or licensed designer. Designers may have expertise in specific areas of the home, such as: kitchens, interiors, baths, space design, etc. They often specialize in particular types of projects and may be the best choice for a targeted project.

The Design/Build Contractor: If you prefer to hire only one company for design and construction services, your best bet may be to hire a design/build firm. Design/build is a concept developed to benefit the remodeling homeowner by providing both quality design and construction services within the same general contracting company. A design/build contractor will be able to see your project through from start to finish, keeping design, engineering and budget in mind. Some design/build firms have architects on staff, others use certified designers.

Warning Signs During Remodeler Interviews

Avoid remodelers at all costs when:

  • You can’t verify the name, address, telephone number or credentials of the remodeler.
  • The salesperson tries to pressure you into signing a contract.
  • The company or salesperson says your home will be used for advertising purposes so you will be given a “special, low rate.”
  • The builder/remodeler tells you a special price is available only if you sign the contract “today.”
  • No references are furnished. Information you receive from the contractor is out-of-date or no longer valid.
  • You are unable to verify the license or insurance information.
  • You are asked to pay for the entire job in advance, or to pay in cash to a salesperson instead of by check or money order to the company itself.
  • The company cannot be found in the telephone book, is not listed with the local Better Business Bureau, or with a local trade association, such as NARI.
  • The contractor does not offer, inform or extend notice of your right to cancel the contract within three days.  Notification in writing of your Right of Recision is required by law.  This grace period allows you to change your mind and declare the contract null and void without penalty (if the agreement was solicited at some place other than the contractor’s place of business or appropriate trade premises-in your home, for instance.)

In addition, be cautious when:

  • You are given vague or reluctant answers.
  • The contractor exhibits poor communication skills or descriptive powers.
  • The contractor is not accessible.
  • Your questions are not answered to your satisfaction.
  • The contractor is impatient and does not listen.
  • Only the work is addressed, instead of your needs as the homeowner.
  • There is no presentation book of previous projects presented.

Interviewing a Remodeler

What Questions Should You Ask?

Who will you choose to wield the hammer on your particular job? That isn’t an easy question. Your choice of a contractor will ultimately determine the success and enjoyment of the job.

You can increase your chances of having a successful project by conducting qualifying interviews, following up on references and credentials, and considering all aspects of the remodeling project-the physical work and the emotional strain. You need to look for the person you feel will provide the best all-around service available-above-and-beyond the necessary construction skills.

The following questions will help you establish a company’s qualifications and reputation, and help you find the right person for your job. During and after the interview please refer to Warning Signs During Remodeler Interviews for more information on how to interpret interview responses.

How long have you been in business? Look for a company with an established business history in your community. Surviving in any business in today’s competitive marketplace is a difficult task. Most successful contractors are proud of their history in the industry.

Who will be assigned as project supervisor for the job? Also ask whom you should contact if the supervisor is not available. Get exact names and contact phone numbers for all persons who will be involved in the project.

What is the time frame for starting the project? Now is the time to ask questions about work schedules. You should ask: What is your estimate for completion? How early will your crew normally begin work? When will they normally quit for the day? Will I be contacted about delays or changes in the schedule? By whom?

What is your approach to a project of this scope? This will give you an idea of how the contractor works and what to expect during the project. Listen carefully to the answer. This is one of the big indicators of the company’s work ethic.

How do you operate? In other words, how is your firm organized? Do you have employees or do you hire subcontractors? If you do have employees, what are their job descriptions? Do you use a project supervisor or lead carpenter to oversee the project? Other firms will have additional positions. You should know what parts of your project will be handled by staff, and which will be contracted out to independent contractors.

Is your company a full service or specialty firm? If you are planning a small project, say replacing the bathroom plumbing, you may be better off hiring a specialty plumbing firm or a bathroom remodeler. However, if your project involves multiple changes, entire rooms or additions, you should consult a full service or design-build firm.

Do you have design services available? If you are considering a large or involved project, you will need design services. If the contractor does not have design-build capabilities, you should consider hiring an architect. Depending on the size and scope of the project, you may need an architect or structural engineer.

Does your company carry workers compensation and liability insurance? A sk for copies of the insurance certificates to verify coverage. In addition, some states require licensing and registration. If your state does have construction licensing laws, ask for your contractor’s registration and license, then confirm the license number and expiration date with your local jurisdiction.

Are any of your company’s employees certified? Trade certifications are good indicators of dedication, professionalism and knowledge of the industry. Remodelers are required to meet certain industry criteria to maintain their certifications. NARI offers six designations: Certified Remodeler (CR), Certified Remodeler Specialist (CRS), Certified Remodeler Associate (CRA), Certified Kitchen & Bath Remodeler (CKBR), Certified Lead Carpenter (CLC), and Certified Remodeling Carpenter (CRC). See guide for Who Are NARI Certified Professionals? for more information on these designations.

May I have a list of references for projects you have completed which are similar to mine? The contractor should be able to supply you with a minimum of three references, including names, telephone numbers and addresses. As a follow up to this question, ask how long ago the project was completed and if the contractor can arrange a visit to see the finished job. You should also ask for professional references from suppliers or subcontractors to verify sound business practices.

What percentage of your business is repeat or referral business? This will give you a good indication about the company’s customer satisfaction. According to research conducted by NARI, most remodeling businesses attribute over 50 percent of their annual volume to customer referrals; some even claim up to 90 percent or more of their total annual sales.

How many projects like mine have you completed in the past 12 months? This will help you determine the contractor’s familiarity with your type of project. You should confirm that a good portion of those completed projects were similar to the type of project you are proposing.

Will we need a permit for this project? Most cities and towns require permits for building projects. Failure to obtain the necessary permits or to arrange obligatory inspections can be illegal. In some cases, if a project violates a zoning law or some other regulations, it may even have to be demolished if there is no way to comply with the law. A qualified remodeling contractor will be conscious of the permit process, and ensure that all permits have been obtained before initiating any work.

May I have a list of your suppliers? You may want to add calling the contractor’s suppliers to your list of follow up actions. This will help protect you from mechanics liens for nonpayment by the contractor. Suppliers also can be a source to establish credit history for the company.

Of the many questions you can ask during an interview, the most important question is one you must ask yourself: “Do I feel comfortable with and trust the person I am about to hire?” Your answer to that question should make the hiring decision a little easier.

Finding Good Contractors

Choosing your remodeler is the most important decision in a remodeling project. Take your time and be thorough in your search. Here are just a few places to start looking for the best contractor for your job:

Word-of-Mouth Referrals

Nearly half of all projects signed by a contractor are the result of client referrals. An additional 22 percent of jobs are the result of word-of-mouth. These are your best sources for leads:

  • Relatives
  • Friends
  • Neighbors
  • Business Colleagues
  • Lenders
  • Architects/Designers
  • Real Estate Agents
  • Suppliers
  • Subcontractors

Other sources include:

  • The local NARI chapter in your area.
  • The Find a Pro section of this Web site.
  • Job site signs: Pay particular attention to homes with signs from their contracting company on their lawn. Is the site clean? Are tools and materials being handled in a responsible manner? Are there dust covers over the owner’s belongings to protect them?
  • Local Media Attention: Look for articles about local remodelers. Also check out local home improvement columns in the newspaper and radio talk shows in your area-they can be a great source for finding a qualified, personable contractor.
  • Direct Mail: SSome contractors will send direct mail to homeowners within a few blocks of a current job. Call and ask the homeowner if you could tour the project with the contractor.
  • Seminars: Attend local seminars on home improvement topics. Some firms host free seminars on how to choose a remodeler and other interesting remodeling topics. Check your local newspaper community news section for information.
  • Home Shows: This is a somewhat tricky place to interview contractors since they will be surrounded by other consumers. However, this is a great place to gather information about companies and to make an initial contact with the contractors.

National Association of the Remodeling Industry