Q. I'm adding a bathroom,kitchen,and attic to be finished.I'm not sure if I should deal with electricians,plumbers,and drywallers myself individually,or go the contractor route and let them deal with all of it.I don't know anyone to ask for a recommendation about what to do.
A. You are planning a complicated and time consuming project involving several construction trades. Unless you, or another trusted family member, has a background in this type of construction, your best bet is to hire a qualified contractor. Choosing the right one is the problem. As you screen potential contractors, there are several things you should keep in mind as you move through the process.
I would not consider a contractor unless he/she has been in business for at least ten years. Everyone offers a warranty (more on that later) of some kind, but it is worthless if the contractor goes out of business. Since most businesses fail within the first few years, chances are good that a contractor who has been in business for 10 years is in a stable position. Don't just take their word for it, ask to see proof. Many will offer proof as part of their presentations and may include copies of general business licenses in years past, old Yellow Page ads with verifiable dates, or other documentation.
If your state, county, or municipality requires specific contractors licenses, ask for a copy of the license and make sure it is issued in the owner's name. In states that require contractors to be licensed, it is not unusual for a licensed contractor to "rent" his license to other contractors who may, or may not, be qualified.
Make sure you contractor is insured. General liability, completed contracts, and worker's compensation insurance are absolutely essential. Again, don't just take their word for it, ask for a "Certificate of Insurance" which will identify the types, amounts of coverage, and policy periods of insurance they carry. Do not accept a copy of this document from the contractor, it is too easily falsified. Ask for a copy to be sent to you by the contractor's insurance carrier. Insurance companies provide these all the time and a contractor who actually carries good coverage will be only too glad to have his insurer send you the document.
Ask for local references and check them out. If possible, it is best to actually visit a couple of a contractors past customers who have had similar work done. They will usually be willing to talk honestly about their experiences and will often be willing to take you on a tour of their own project. You should be able to find out if the contractor was prompt in returning phone calls, did quality work, stayed on budget, met a reasonable timeline in getting the job completed, kept a clean work environment, etc.. Many homeowners skip this step inselecting a contractor, and many live to regret it.
A few States require "Waiver of Lein" documents and they are a good idea everywhere. Suppose your contractor is in financial trouble and can't pay material bills or subcontractors (think specialists like plumbers, electricians, etc.). You may well have paid the contractor for the work done, but if he doesn't pay his bills, these material suppliers and subcontractors will come after you. They have the legal right to file a lien on your property for the amount of money owed. All too often, consumers find themselves paying twice for the same work! Having a "Release of Lein" from each material /labor/subcontractor on your job, before you pay your contractor, protects you from this type of situation. A contractor who is in good financial shape and has adequate working capital will have no problem with this. In fact, they will like the fact that you insist on it because it tends to weed out the fly-by-night "I can do it cheaper" kind of contractors who are just a step away from bankruptcy.
I know it sounds daunting, but there is a lot of homework to do when you set out to do this type of work. Unfortunately, most homeowners just don't do it, or aren't aware that they need to do it.
A good place to start in finding a qualified contractor is your local chapter of the National Home Builders Association. Most chapters are involved in the "Qualified Remodeler" program. Membership requires that the contractor carry, and prove that they carry appropriate insurance. It also requries credit references, demonstrated abilities, trade knowledge, and customer references. Your local chapter will usually give you the names of several member contractors who specialize in the type of work you are proposing. Still, you need to do your due diligence with each one, since their screening efforts are not a guarantee. Here is a link to their website where you can plug in your zip code and find the nearest chapter:
http://www.nahb.org/local_association_search_form.aspx#
One last bit of advice involves money. If you make your buying decision based on the lowest price, you are all but assured of being disappointed. A business must, and is entitled to, make a profit to stay in business. If you have several contractors pricing your work, try to make sure they are all bidding on the same scope of work using the same specifications. It is the only way to get an honest comparison of prices. Most importantly, do not give any contractor a large downpayment. A 10% downpayment is fair, with the rest of the money being paid out in stages as work is completed and "Waivers of Lein" have been received. Anything more in the way of a downpayment should be an indication that the contractor lacks working capital and is thereby financially unstable. Do not make the final payment until all of the work is done to your satisfaction. It is the only leverage you have to get the work done. Unfortunately, once they are paid, you usually go way down on their priority list should you need them to come back and take care of the last little bits of the project.
I hope this helps, and I wish you the best of luck with your project.