Tell me you are not seriously shopping for the lowest price for your home improvements

I was visiting a family yesterday talking about a window project they wanted to get done.  As part of our consultation process, we inform our clients about the industry and what to look out for. Whether or not they choose to work with us, we feel a corporate responsibility to help keep people out of harms way.

The scary thing is, homeowners ofter have horror stories of their own.  The family I visited yesterday had a litany of issues with various contractors that built their home including shoddy workmanship and escalating costs far beyond the initial "estimates".  Worst of all, one of their contractors was actually a man who is now in prison for attempting to murder his wife.  http://www.doj.state.wi.us/absolutenm/templates/template_share.aspx?articleid=604&zoneid=5  

When you bring a contractor into your home, do you have any idea what you put at risk?  The home improvement industry is poorly regulated.  As a result, it is one of the largest employers of ex convicts.  You are trusting someone you have never met with probably your biggest investment - Your home.  You are also giving them access to your home, your possessions, your credit information... AND YOUR FAMILY.   Do you want to take the potential risk that you may be inviting a crook, con artist or pedophile into your home???

Let's assume you hire someone who is not out to scam you.  Yes there are good people in the world and some actually work in the home improvement field.  Unfortunately, there are a lot of good people who have fallen on some pretty tough times over the last few years.  Out of work because of the burst in the housing bubble, they decide to put their hammer and pickup truck to use to make some money doing home repairs/remodeling.  They start a business and take out an ad in the Yellow Pages.  They may actually take out insurance like it states in their ad.  Unfortunately, in the dead of winter and needing to make their truck payment, that insurance coverage gets dropped because they just can't afford it.  Chances are you would never know that unless one of the guys they pay under the table to help on the job, falls off of your roof.  Who do you think would be getting sued for the tens or even  hundreds of thousands of dollars worth of medical bills? 

Let's say that the job gets done well and no one gets hurt.  You pay the contractor in full and go about your business.  Unfortunately, the contractor  for whatever reason doesn't pay the distributor for the materials or the sub-contractors he hired.  Who knows why?  Maybe he has medical bills to pay, his truck blows its transmission, or he needs the cash to get materials for the next job.  Even though you paid in full, your could find a lien on your house filed by any one involved in the supply chain for your home improvement project.  You could be legally forced to pay for the job again, even though you already paid for it.  Worst case scenario, you could lose your house !

Let's think about a happier scenario.  The project is done, no one gets hurt and everyone gets paid.  Life is good... or is it?  3-5 years down the road, you have a problem with the job. Your window seals fail, your roof leaks, your siding oxidizes and fails.  Whatever the problem, you try to contact the contractor because you had been given a "Lifetime" warranty.  Unfortunately, the contractor is no longer in business.  He is not their to honor the warranty so now what do you do?  The sad truth is that within 2 years, 31% of home improvement companies fail.  Withing 5 years, that number escalates to over 50%.  Within 7 years, 69% of home improvement companies are out of business.  A lot of good that lifetime warranty is at that point.

Let's say he is still in business.  You call him and he says it is a manufacturing defect.  You then contact the manufacturer who comes out, inspects the job, charges you for the inspection, and then denies the claim because the installation was not in accordance with the manufacturer's specifications.  Read the fine print on the Warranties for windows, doors, roofing materials.  In virtually every instance, the warranty is void if not installed to manufacturer's specifications.  How do you know if it is done to those specs? 

Our windows come from the factory with stainless steel screws taped to the frames.  These screws cost $.50 each, but are required to meet factory installation specs.  If a contractor saves a few bucks and buys a box of sheet metal screws to install your new windows, they are voiding the warranty before they ever leave your home.  

I certainly understand the desire to get the best deal.  Being a consummate bargain hunter and do-it-yourselfer, I myself am extremely averse to paying too much.  With home improvements, however, the stakes are just too high and the pitfalls too deep: Scams, fraud, lawsuits, liens, insurance claims, identity theft, shoddy workmanship, use of inferior materials, and warranty coverage that isn't worth the paper it is written on.

• When you are investing in your home, doesn't it make sense to go with a company that fingerprints, drug tests, credit checks and  performs Federal and State criminal background checks on its installers?  

• Does it seem reasonable that installers are factory trained and certified, use proper installation techniques and methods and install to factory specifications, thereby protecting your warranty coverage?

• Would you be comforted in knowing that they are covered by a multimillion dollar policy for Worker's Compensation, public liability and incidental damage to your property?  

• Wouldn't it be seem appropriate that when you pay the bill, you receive a waiver of Lien?

Perhaps, at least as it pertains to the home improvement business, it makes more sense to go with a company that is reputable than to roll the dice and take your chances just to save a few bucks.