Whether you're at the very beginning of your home renovation or you're fully in the swing of it, hiring a general contractor can be a valuable investment in getting the job done right. Read this guide to learn what a contractor does and what a contractor costs at different steps of your home remodel.

In This Guide

What Does a Contractor Do?
Why Hire a Contractor?
How to Hire a Contractor
What Does a Contractor Cost?
Frequently Asked Questions

What Does a Contractor Do?

A general contractor is like a home renovation project manager – they are in charge of overseeing every job that is a part of your home renovation from start to finish. They supply all necessary equipment, materials, and labor. They don't do the renovations themselves; instead, they hire subcontractors specializing in specific renovation tasks. For example, if you're remodeling your bathroom, a general contractor would be in charge of hiring a plumber to install your bathroom sink.

In short, a general contractor is in charge of:

• Assessing the scope of the project.
• Proposing a budget, schedule, and list of project requirements.
• Providing all materials, equipment, and labor necessary for a project.
• Hiring subcontractors for specialized jobs.
• Knowing building codes and enforcing safety measures.
• Applying for building permits.
• Providing their employees with workers' compensation insurance.
• Managing day-to-day labor.
• Keeping records of the day-to-day operations.
• Disposing of waste generated during renovation.
• Overseeing all renovation projects from start to finish.
• Ensuring the success of your home renovation.

When hiring a contractor, you are in charge of:

• Providing a thorough, well-researched project proposal complete with all necessary specifications and blueprints.
• Writing up a contract with a contractor entailing the full scope of the project and all agreements.
• Paying your contractor on time.
• Maintaining good communication.

Why Hire a Contractor?

A contractor takes all home renovation responsibilities out of your hands. With a qualified, reliable contractor and a well-written contract, you're increasing your chances of having a safe, well-done, up-to-code home renovation. Hiring a contractor might be more expensive than taking a renovation into your own hands, but it eliminates a lot of risk on your part – if an injury occurs on the job or a project requires repairs, your contract can appoint responsibility to the contractor for those costs. The contractor should have all the expertise necessary to ensure your renovation is done properly and legally. It's a much safer way to approach a home renovation, especially if your project scope is large and highly technical or you have little time on your hands.

That said, there are many reasons not to hire a contractor. If the renovation projects you're hoping to undertake are simple and low-risk – like painting or wallpapering, installing vinyl or laminate flooring, or replacing sink or cabinet hardware – you can definitely get away with doing it yourself. You'll be able to save money and feel empowered in your DIY skills!

If the thought of renovating your flooring alone makes you nervous, make a consultation with Wayfair's Flooring Installation Services by Installation Made Easy®. Learn more here.

Check out our renovation Ideas and Advice page for comprehensive guides that will help you choose, measure, and install key features for your home renovation.

How to Hire a Contractor

Step 1: Research nearby contractors and get recommendations.
Use online resources to find qualified contractors in your area and read reviews. Get recommendations from family and friends who have hired contractors in the past. Or, consult nearby building or lumberyard owners for reliable recommendations, as they will have a lot of experience dealing with contractors.

Step 2: Conduct in-depth interviews.
As with any new hire, it's important to conduct in-depth interviews of the candidates you're considering to ensure they're qualified and reliable. Some important questions to ask:

• What is their project bandwidth?
• How long have they been in business? What is their employment history?
• What are some of their past projects, and who are their past clients?
• Are they licensed?
• Are they insured? Do they have workers’ compensation insurance?
• How do they manage day-to-day operations, setbacks, billing, and communication?

Step 3: Check with their past clients and references.
To be absolutely sure a contractor is as qualified and professional as they say they are, it's a good idea to contact their references to ask about their experiences with that contractor. You can also check with the Better Business Bureau to see if your candidates are well-rated.

Step 4: Meet candidates in person.
It's always a good idea to meet a contractor face-to-face before hiring them so you can be informed of their conduct and professionalism. You might even want to meet them at one of their current project sites, if possible, to get an idea of how they manage their workspaces and interact with their employees.

Step 5: Ask for project bids and payment schedules.
Lay out your project scope as meticulously as you can, and ask your candidates to provide you with their estimate for the cost of the project. At this stage, your thoroughness is just as important as theirs; it will ensure the estimates you receive are as accurate as possible and will make it harder for a contractor to inflate their prices. Make sure they separate out each individual cost – if they can provide financial references for their pricing, that's ideal. Ask them in which increments they want to be paid throughout the process – if they ask for too much up front, it could be a sign they are financially struggling and might not be able to account for any additional costs if necessary.

Step 6: Choose a candidate.
Ask around and see what friends and family have paid contractors for projects of similar scope. Consult with architects, plumbers, carpenters, and builders to see what the typical cost is for certain jobs. Don't go with the candidate that provided you with the lowest bid – it could be a sign they are struggling to find clients due to poor past performance. Choose a well-reviewed, highly experienced, properly-certified candidate who communicated clearly with you, complied with all your requests, and was more than willing to work with you to ensure your project's success.

Step 7: Seal the deal.
Collaborate with your contractor to write a contract outlining the project scope, including the cost, materials, equipment, labor, subcontractor requirements, timeline of events, proof of insurance and workers’ compensation insurance, proof of qualification, payment schedule, project warranty, and lien waiver. The lien waiver is an important addendum that states that, if your contractor doesn't pay one of their suppliers or subcontractors, that supplier or contractor cannot put a claim on your property to force you to pay them instead, even if you've already paid your contractor.

For more information on how to work with a contractor during a renovation project, check out our guide.

What Does Hiring a Contractor Cost?

Typically, a contractor will charge 10% – 15% more than the flat cost of the renovation project, including all hiring costs. If your contractor is also a carpenter, plumber, or builder and will be doing specialized work for your renovation, the cost of that work should be broken out in the total just like all the other hiring costs.

Tip!

You can often choose specific products for a contractor to install during a remodel or have the contractor make recommendations based on your preferences or specifications. If you want to choose your own products, check out our renovation and home improvement section! You can find items ranging from kitchen sinks to faucets, lighting, flooring, backsplash tile, and more.

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