10 Red Flags to Watch For When Hiring A Contractor

Hiring a contractor for your home project is a big decision. Unfortunately, too many homeowners end up with delays, surprise costs, or worse, unfinished work. 

In this week’s episode of Ask a Builder, Ashley and Heath from Cillessen Construction dive into the top 10 red flags to watch out for when choosing a contractor.

1. No Written Contract

If a contractor isn’t using a written contract, that’s a major red flag. A proper contract protects both the homeowner and the contractor by outlining the scope of work, timeline, payment schedule, and responsibilities. Without it, there’s too much room for confusion or disagreement.

2. No Proof of License or Insurance

Always ask for proof of both a contractor’s license and insurance. Licensing ensures they’re legally allowed to take on the type of project you’re planning, while insurance protects you (and them) in case of an accident or error. A contractor without either? Walk away!

3. Requests for Large Upfront Payments

A reasonable deposit typically falls between 10% and 20%. If a contractor asks for significantly more (especially before any work even has started) it could be a sign they’re not financially stable, or worse, that they don’t plan on completing the job.

4. Vague or Incomplete Estimates

Estimates scribbled on a napkin might make for a funny story, but not a good start to your project. A solid estimate should be clearly itemized with descriptions of the work, materials, allowances (for items like appliances or windows), and a grand total. Details matter.

5. Poor Communication Early On

If communication is rocky during the estimate phase, it likely won’t improve once the job begins. Good contractors are responsive, clear, and professional. If you’re already struggling to get answers, consider it a warning sign.

6. No References Available

References are a must. Ask for at least two to three recent clients you can speak with directly. If the contractor dodges this request or claims they don’t have any, that’s a serious red flag.

7. High-Pressure Sales Tactics

If a contractor insists you “sign today to get this price”, be cautious. Ethical contractors won’t pressure you. Take the time you need to review the contract and make an informed decision. If the price disappears tomorrow, it probably wasn’t real to begin with.

8. Contractor Wants You to Pull Permits

Permits are the contractor’s responsibility – not yours. If they ask you to pull the permit, they may not be licensed to work in your area. Always ensure your contractor can handle this legally and professionally.

9. Ready to Start Tomorrow

Believe it or not, availability can be a red flag too. Most reputable contractors are booked out weeks (or even months) in advance. If someone can start immediately, ask why. Are they in demand? Do they have ongoing projects? Or are they just chasing down deposits?

10. No Online Presence or Reviews

Every legitimate business should have some sort of online presence, whether it’s a website, Google reviews, or social media. If you can’t find any trace of your contractor online, be cautious – especially during storm season when fly-by-night companies pop up with fake names and zero accountability.

Bonus: Ask About Subcontractors and Warranties

It’s totally normal for contractors to hire licensed subcontractors for specialized tasks like plumbing, HVAC, or electrical. What’s important is how they manage them – and whether they use a trusted crew.

Also, always ask what kind of workmanship warranty they offer. Good contractors stand by their work with a written guarantee, and they’ll be happy to provide a copy.

Final Thoughts

Hiring the right contractor isn’t just about getting the best price, it’s about choosing someone who’s licensed, reliable, and transparent. 

If you’re currently looking for a trusted Denver building contractor, be sure to do your research and prioritize transparency and reputation. It’s always better to take your time than to rush into a relationship that could lead to frustration or unfinished work.

Need help with your next home project? Contact Cillessen Construction Company. We’re always happy to answer your questions, no pressure (and definitely no napkin estimates!).