Home Renovation: Repairing or Modifying Your Home through an IDA
Name: Date: __
Home Renovation│ Page 1 of 8 Course of Study: Home Renovation: Repairing or Modifying Your Home through an IDA
Instructions for Warm Springs community members and WSCAT staff members: This course of study is to provide Warm Springs Tribal and community members with an understanding of how to improve, modify, or repair their primary residence using savings from their individual development accounts (IDAs). To complete the course, community members are required to study and gain an understanding of various topics, including maintaining a home, understanding a home’s features, scheduling home maintenance and repairs, prioritizing home repairs, and avoiding problems with contractors. There are several required readings for the course, which are listed at the bottom of this page.
Goal: To facilitate within participants a better understanding of how to assess problems with their homes, select appropriate contractors to renovate or repair problems, budget the appropriate costs for renovation, and avoid remodeling, repair, or construction problems.
Objectives: 1. To provide participants with a clear understanding of their home’s features, and of how to maintain their home, and how to prioritize repairs.
2. To provide participants the opportunity to reflect on what type of renovation they would like to do, and how it would benefit their living situations.
3. To provide participants with the knowledge it takes to select a contractor, to avoid remodeling, repair, and construction problems.
4. To enable participants to determine the cost of their renovation, to consider the extent to which the savings in their IDA account will pay for the renovation, and to consider other means of financing the renovation.
Time Required: 8 hours.
Required Reading: Pathways Home: A Native Homeownership Guide, Module 8 a. Pg. 12-20. Topics: Maintaining your home, understanding your home’s features, scheduling home maintenance and repairs, prioritizing home repairs, home improvements. b. Appendix B, Baseline Condition of Home Features, pg. 39-40 c. Appendix C, Item Useful Life, pg. 41-44 d. Appendix D, Seasonal Maintenance Planner, p. 45-48. “Home Sweet Home… Improvement,” US Federal Trade Commission Consumer Information Page, August 2001: http://www.consumer.ftc.gov/articles/0242-hiring-contractor “16 Ways to Avoid Remodeling, Repair, and Construction Problems,” State of Oregon Construction Contractors Board, Revised February 2010: http://ccbed.ccb.state.or.us/WebPDF/CCB/Publications/16-ways.pdf
Home Renovation│ Page 2 of 8 Part 1: Understanding your home’s features Time required: 2 hours A. Please read pg. 12-20 of the Pathways Home: A Native Homeownership Guide, Module 8, on maintaining your home, understanding your home’s features, scheduling home maintenance and repairs, prioritizing home repairs, and home improvements.
Assignments: 1. Complete the exercise on pg. 19 (prioritizing home repairs) 2. Answer questions on the bottom of pg. 20 (doing the work yourself) 3. Discuss exercises and questions on pg. 19-20 with WSCAT staff
B. Please review Appendix B, pg. 39-40, Baseline Condition, and consider the condition of the various exterior and interior systems and features of your home.
1. After reviewing Appendix B, did you find any unexpected conditions in need of maintenance or repair?
2. In your home, do you have any of the following types of damage?
a. Water £ No £ Yes b. Foundation £ No £ Yes c. Electric £ No £ Yes d. Mold £ No £ Yes e. Septic £ No £ Yes f. Other: ______£ No £ Yes g. Other: ______£ No £ Yes
3. Do you need repairs or modifications to? h. Drainage £ No £ Yes i. Roof £ No £ Yes j. Insulation £ No £ Yes k. Heating system £ No £ Yes
Home Renovation│ Page 3 of 8 l. Energy efficiency £ No £ Yes m. Plumbing £ No £ Yes n. Other: ______£ No £ Yes o. Other: ______£ No £ Yes
C. Please review Appendix C, pg. 41-44, Item Useful Life, and consider the lifespan of the various exterior and interior features of your home.
1. After reviewing Appendix C, what new insight (if any) did you gain on the useful life of various items in your house? After going through the list, did you think about which items may need to be replaced next? Is there anything that needs to be replaced soon or immediately?
D. Please review Appendix D, Seasonal Maintenance Planner.
1. Each year, do you systematically plan, based on seasonal or other criteria, when to undertake home improvement projects? £ No £ Yes
2. Is it a good idea to do this? Why or why not?
Home Renovation│ Page 4 of 8 Part 2: What do you want to do? Time required: 1 hour A. Planning your renovation, repair, or modification Please answer the following questions: 1. What renovation, repair, or modification are you planning to complete?
2. Are there other home repairs, improvements, or modifications you are considering? £ No £ Yes Please describe:
3. How will the renovation you are planning improve your living situation? (Safety, basic necessity, overcrowding, etc.)
Home Renovation│ Page 5 of 8 Part 3: Selecting a vendor Time required: 3 hours A. Comparison shopping: Choosing the right vendor. (3-4 hours) 1. What labor will be required to complete the renovation?
2. What equipment and materials be required to complete the renovation?
3. Please open the following 2 links and read the articles on choosing a home improvement contractor (also in Appendix E and F): • “Home Sweet Home… Improvement,” US Federal Trade Commission Consumer Information Page, August 2001: http://www.consumer.ftc.gov/articles/0242-hiring-contractor • “16 Ways to Avoid Remodeling, Repair, and Construction Problems,” State of Oregon Construction Contractors Board, Revised February 2010: http://ccbed.ccb.state.or.us/WebPDF/CCB/Publications/16-ways.pdf
B. Develop a list of potential contractors by talking to friends, family, or others you trust, and by doing appropriate Internet research. Using the above articles and the table below, develop criteria for selecting a contractor. At a minimum, please identify 3 contractors who could possibly perform your renovation, modification, or repair. Please complete the table below, or on a separate sheet of paper:
Home Renovation│ Page 6 of 8 What expertise Licensed? Better Business Bureau Willing to When can they Guarantees or What does the contractor and experience (Provide CCB rating (Complaints? How supply start and warranties of Contractor include in contract? (see Comments does the license have complaints been references? complete the workmanship? "16 Ways" article, pg. 4) contractor have? number) resolved?) Yes or No work? How long?
3. Which company would you like to work with and why? (Lowest price, local, have had previous work done by this company)
Home Renovation│ Page 7 of 8 Part 4: Financing Time required: 2 hours A. Financing Your Renovation Please answer the following questions and complete the following tasks: 1. How much do you think the renovation, including labor, equipment rental, materials, and other expenses, will cost?
2. Before completing a home renovation, you must first receive estimates (at least two) for the materials, labor, and other costs involved. Unless no other contractors exist, estimates cannot be from an immediate family member or someone who lives in your home. Please attach estimates from at least two contractors. You must receive approval from a WSCAT IDA program staff member in order to utilize your IDA funds for the purchase.
3. Will you need financing, or will the amount you save in your IDA be enough for the project?
4. If you will need financing, have you researched financing options? £ No £ Yes Please describe:
Home Renovation│ Page 8 of 8 APPENDIX A rlaf,ue nuJjl^' Gu;d< Trory Pc\h* . f-{owr € A Ho-no- Mad..l<- q p \z-zo
Maintaining Your Home
Flome repairs are tasks tl-ratkeep )'our home in good working order. If you embrace the idea of developing and carrying out a preventive home maintenance plan, your home will either maintain or increasein value.Meeting )'our horne maintenance obligationsrequires your commitment to:
. understandingthe physicalfeatures of your home . developingand updating home records fcrrall equipment, fixtures,and appliancesin 1'etlt home . developinga schedulefbr routine and non-routine rnaintenanceand repairs . prioritizing repairsas needed . budgeting to meet future obligations
UnderstandingYour Home'sFeatures
You should become farniliarwith rhe major systemsin your home. Do you know the location of the main cut-off valvesfor the water and gas supply?The location of the fuse or circuit breaker box? The reset button for the hot water heater?It is important for you and your family to know where these features are located and when they need to be accessed.
The best way ro acquire this information is to arrange a visit with the seller so that you can learn from the seller'sexperience. It is highly recommended that you label fuses,switches, and cut-off valvesand record the information in a notebook at an alternatelocation.
Be sure to obtain the following information from the selleror the builder:
. plans,specification of the home ' utility consumption information ' solid wastepick-up schedule ' warranty information and certificates
The information you were provided during the prepurchaseinspection of your new home can be used as a srartingpoint to gather information about your home. A checklistis included in Appendix B: BaselineCondition to record essential information about the condition of )'our home.
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-.JoelFrank, Seminole Housing Authority Director, senrinole Tribe, Hollywood, Florida
\v' SchedulingHome Maintenanceand Repairs
Develop a scheclulefor home maintenanceand repairsaccording to:
. the useful life or life expectancyof the equiprnent,material, or structure . the seasonsof the year . the manufacturer'ssuggested maintenance plan . the requirements of any covenants or property restrictions
Considering Useful Lift or Life Expectancy. Almost every part of your hotne has a life expect2ncy1[21 can be extended or shortened depending on the amount of care and attention you put forth. The roof, appliances,heating, cooling, plumbing, and electrical systemscan be veq/ costly to replace if you avoid or ignore regular upkeep. There are many home improvement manuals that provide information regarding the usefullife of the components of residentialstructures. Estimates of the life of most components of a residential structure are provided fcrryou in Appendix C: Item Useful Life. These estimatesare used by techniciansrvho evaluatebuildings for rehabilitation and in educating homeowners on long-term maintenance needs.
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Season-by-SeasonScbed.ule. A sampleschedule of seasonalhome repairs is included in AppendixD: SeasonalMaintenance Planner. Generally, a seasonalapproach to home repairsis as follows:
. roofing . painting . landscaping . decks,patios, porches . foundationrepair . fencing . siding . windows . doors . driveway . sidewalks,walkways
14 Fall. This is the time of the year to begin making preparationsfor the coming winter months.Complete repairs such as:
. weatherization . chimneyand fireplacecleaning . heatingsystem check . insulation . roof repairs . drainagecheck . guttercheck . insulatepipes . shut off outdoor water r;i .r-{:.
'\,/. a '--iF. ' Vinter This is an excellenttime to tackleindoor improvementsor repairssuch as:
. indoor remodeling . flooring/carpetreplacement or repair . painting ' tiling . plastering . bathroomcaulking . countertoprepair/replacement . appliancemaintenance *%. insulation
\W-Spend the spring performing maintenancetasks that will get you ready for the summer.Complete tasks such as:
a springcleaning a organizingand storingwinter items a tune-upof fansand air conditioners a repairing winter damage a planting andyardwork a cleaningwindows
15 klanufacturer's SuggestedMaintertance. Regularmaintenance of equipment and fixtures will pr event the need for more costll, repairs or replacement in the future. Knowing Your home lTreansknowing your appliance ancl rnajor systemsneeds. Manufacturers'wafranties typically provide )'ou with information to care for your appliancesand systeurs.There are many home maintenancerepair books on the market today that cover just about every repair detail you can imagine.Below is a sampleof preventivernaintenance tasks.
Heatingsystem Filter Monthly Check-up i Annuallv Vood stove ; Cleanflue and chimney i Annually Air conditioning system Filter Monthly Check-up Annually : Condensingunit i Regularly Floor vents i Dust vent covers i Monthlv Bathroorn exhaust fan Monthl Waterheater i Drain tank and flush it out i Annuallv Tub and sink drains i Drain screen i After use i Septictank i Pump i Annually 'Water Humidifiers i level check i Monthl Microwave Clean i Monthl Refri Clean shelvesand 1 to 3 months Range Cleandrip pan After use Element As needed Underneathstove top Monthly Oven i Cleanshelves and interior 1 to 3 months Rangehood Hood top - cleanbuild-up Monthly Hood screen- clean build-u Monthl Garbagedisposal Clean Daily Disinfect Weekl Washerancl d Lint screen After each use Fireplace Ashes Regularly Clean chimnel, Annually Carpet i Vacuun-r i Regularly
16 Ensuring propaty Pt"otectiontbrougLs couatants, Many home sites have covenants that restrict ytr. ,rr. of the property Covenantsat'e made a part of the leaseor the deed. Consequently the use and care of the land remains the same even when a house is sold. peaceful Covenantsare rules clesignedro protect the neighborhoocl and residents' rights to Covenants enjoyrnent. Severalcommunities have adopted covenantsfor their subdivisions. Covenants' adopted by the Nez PerceTribe are ilcluded as a sample in Appendix E: Sample lhbal Covenantsare maclea part of the leaseand govern the following:
. sweathouses a home and home site requirementsand maintenance a parking for residents and guests a new construction a manufacturedhomes a abandonedvehicles ' landscaPing ' businessuse of the home ' horne improvements . preselvationof land corners . livestockor grazingpermits . pets/animals
the lease Becausethe leasemust be approvedby the BlA, an1,covenants attached to by must be approved by the BIA as well. The value of having covenantsis illustrated the following examPle.
EXAMPLE
He and bis wife purcbaseda JosepbMajors is a member of tbe YanktortSioux Tiibe. tbe Section184 Loan Guarantee in tbe four bedroom bome on tbe reseraationusing Grasqtplairn Subcliuision,Couerutnts in tbe GrassyPlains Subdiuisionlease stated tbefollor.uing:
"TbeResident is responsibteforkeeping all landscaping rnowed,himnted, watered, and, due to.ftrebazarcl, ueedecl ancl well m^aintain.edwitbin tbeir Homesite.I,f landscaping is not properly maintained and bas reacbed6 incbes,the Yankton Sioux Ti.ibalHor,sing Autbority (YSHA)or tbe Tlibe reseraestbe rigbt to perform wbateuerlandscape maintmantce may be required and cbarge tbe Resiclentper establisbedpolicy."
Summermontbs passecl uitbout rainfall, wbile tbe tempa'aturescontinued to rise. Mr Majors's neigbbor,Mr. ArcbambeAu,typically neglectedto keepbis acre lot mnintained, wbicb createdafire bazardfor tbe subdiuision.Brtsbfires were tbreatening tbe area and tbe situation uas being ignored by Mr Arcbambeau.Mr Majors requestecltbat tbe YSIIArequire bis neigbbor to take immediate action becatnebe uasfearfut of tbe quickly spreadingfires.A disasterwas auerted a couenant empowa'ed tbe YSHAto interusne' becatse 17 PrioritizingHome Repairs
Understandingrhe potential impact of postponing a repair will help ),or:cietemrine your priorities as unanticipatedproblems arise.Damage that presentsa threat to health and safetl,should be repaired imn-rediatelyiThe followir-rgr)ipes of clamage,if ignored, could lead to more seriousand costlt'problems:
a Water.Sligl-rt watef damage leads to severe damage in very/little time , a Founclatiozz.Foundation damagecan quickly causeserious structural damage. a Electric. Faultywiring can causea fire, resultingin loss of life and propertv. a Enuirormtental. Minor n-roldpresence can lead to entire wall, fi'aming,or ceiling replacemenr. Solicl Luctste.Septic tank problems can leaclto clrainfield con-rplications.
Other common t)/pesof repairsinclude:
drainage roofs insulatior-r l-reatingsystern ener€y efficiencl, plumbing wall patching doors and door jams cabinet clrawersand covers
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18 Prioritizing Home Repairs Ex,ercise
You have discovered that you have several major repair projects requiring your \.____/ attention. Although your spending plan will dictate which projects you begin first, some repairs are more urgent than others. In work groups, prioritize the following repairs and explain your reasons:
--- Water is leaking into the house fromthe roof.
--- Steps to your home are in poor condition and the porches have broken boards.
--- New insulation is needed to improve the energy efficiency of the home.
--- Holes in the wall need patching.
--- Several electrical outlets do not work.
See answers on pctge 32
Budgeting to Meet Future Obligations
It has been said that if you fail to fix a leak, expect your money to drain away. It cannot be overstated how important it is to develop a spending plan for future maintenance expenditures. You should establish a savings account to use as a maintenance reserve fund.
• save 1 percent of the purchase price annually, or • prepare an annual spending plan based on the home baseline data collected
Prepa1ing an annual spending plan based on the life expectancy of your home's features and equipment provides a realistic way of scheduling maintenance and estimating costs. You need to:
• study the prepurchase inspection report • list all repair items noted • study the inventory data you collected • sort items that need to be repaired by date • obtain estimates of the cost • save according to annual spending plan needs determined from your analysis 19 ·······················•········Home················· ····Improvements············································
During the course of owning your home, more than likely you will consider making a home improvement, such as adding a room or modernizing your kitchen. Whatever you decide to do, making improvements will typically add value to your home. If you are looking to sell your home in the future, keep in mind that some improvements have greater potential than others to increase your property value.
Home Improvement Property Value Increase Estimates* Project · . , , Pptential Increase ; , in Property Value Add a new heating or air-conditioning system Great Minor kitchen remodeling Great Major kitchen remodeling Great Add a bathroom Great Add a familyroom Great Remodel bathroom : Very Good Add a fireplace j Ve1y Good Build a deck : Ve1y Good Remodel home office Good Replace windows Good Build a pool Moderate Install or upgrade landscaping Moderate Finish basement j Very little *Costs vary depending on location and materials used.
Planning a home improvement project can be quite an undertaking. As we discussed in Module 4, doing the work yourself has many advantages as long as you have the expertise and experience to complete the project to code. Consider the following before undertaking a home improvement project:
• Do you have the expertise to do the particular work? • Do you have all the tools necessary to do the work? • Can you afford to do the work yourself? • If you can't complete the work, do you have an alternative plan? • How long will it take for you to complete the work? • Who will inspect your work? • Will you need special permits or community approvals?
20 nerSh 14 t'l.{.*t l-(o-eo", APPENDIX B S t{o- q A F.o-rn Pdhw 3q _ lr\oA""Le 6 , P. "{tr
BaselineCondition DAIE:
EXTERIORi ii! I i i\Xtcleningcntcks;signsofl'atct'. : : Founclatiorr i i : : I sL'cl)xg'ci)t'flotxlirrg: trrlcr crr scrtling i i i ::::: ;:;::i::::;:.::::i.,::.i;:;,:;| . : . : : -r-T.n].shingleslLlt'clkt:rltiles:loose ' flash :
crLllllblillg Pati.r,cleck iDarrlagecl\\roocl: : i : : i I' i ; i lconcreteorbrick i i iPest,,r rveatlterclrtt'agc i il :::,-ii !
Flakinglltaint
Flal krose , clrtckecl.or brrrkerrll"tlrcsl Rusti \\elthcf claltrltgc: llllsslllq l)ltfts tt.rtl'",' cl:trltnge: cl()ggecl it ltllkc Central AC t-tt-tit Fi'..t, 39 BaselineCondition (cont.) 40 APPENDIX C ttem Useful Life FoorrncsAND FouNDATloNs : Iift: calt lesttlt fl-om Concreteblock lifr: structu|alcle cts climates Termite- Veafs less in clar-n FIool si,stenr(basenrent Framing exterior walls life Fran-ringinterior walls life Slab life Precastdecks, cl-res 10-15r't's Site-built 20 r'rs SHEETMETAI- Gutter,dowl Aluminum Copper Velv clurablerrrd exllettsitcl r.rlar'cle'Jtrirts itrtd alignlnent I' r-rir-ecl ke nted everv to -1vrs Galvan\zecl Rustseasilv artcl nttrst be aluminum, romex wirirl Individual breaker Pressure :Co Iife Stlo neeclsno rnaintenance Pressure : Galvar-rizediron 0-50i'rs. Rr-rstseasih'; r'nalor exllense irr olcle| hotles Plessure Plastic 0 r,r's Concrete 20 i'rs. 'Waste pipe: Vitreor-rschina 2 'Waste pipe: Plastic Acid ir-rsoils can eat tltrou Vaste piDe: Cast iron life 'Waste pipe: Lead i0 oir-rtscan cleteriorateaud cannot be Iead rlust be repllcccl if lenroclel HEATINGAND VENTING Duct W'ork:Galvanizecl 50-70r't's. ROOF Asphalt sl.ti i 15-25vrs. Clirrate affects r-rsefr.rlI !/ood shineles ancl shakes 1.0-110r,rs. nsive. Contracts ancl anctsclue to climate 'Iile i 3020111 Tendencv to crack on sicles Slate Meintainevetr' 5 r't's:ts nails rust Mecal Shorter-lif'e if allowecl to rLlst.r\lumil-tutlt int ofter-r used to lecoat Felt i 30-40r,rs. Tar and gravel i 10-15r'r's. 41 Item Useful Life (cont.) MASONRY File blick \'letalfirepllce Brick venccr i jifc , -;ointsshoulcl be ltoirrteclever-r. j ro 10 r'r.s, Blick-solicl.stonc. block n'ull i lifc i Polor-rsgracle storte. lirnesronc, n'ill cletc-r'iolare I'lasonrl tkrols i liie i \lusr lte kepr n;nccl even'1 to 21'rs. Strrcccr WINDOWSAND DOORS i Deoenclson cr-ralitr.ofrnltcrials ancl clirnate Stolrn rlools Irrteriol cklclls : 1(r-50\'r's. i DeDenclsorr zlmoLlnto1's'eat ancl tear Sliclinqcloor-s Folclir'rgckrors Sliclingsclccr-rs i J(t t'rs. i Galagccloors ; 2()-25r'r's , Dcperrclslrpon initial lrlaccnrerrtof springs,tracks, : i arrcLlollersr ShoLrlcl bc trelioclicallr':rclir-rstccl : +()-50r r-s. i Har,elcakege uncl conclens:ltion l)r'oblenrs: installecl : i r.r'rostlvin 19i[)s:rncl l9i0s \\bocl clscmcnt s'inclou's \\'troclrloLrble-hung rvi nckrrvs ort iLr)tr)r-lntof rrr:tintcrt:trtccltttcl INSULATION EXTERIORTRIM l: t^ - \\bocl sicl lLlc i \lust bc tnrnrecl rcpttlrtth ctcr\' 5-- r t's. Ii !^ \'lctalsicli lllL: \1:rVftrst (lU(rt(.) cliltt:ltc rttrtl treetl rcllltilltilrg. Alr-rnrirrr-rursicling +[] vfs, i tr'laintenirucefree if baliecl-r.rnfirrisl"r, l>ut can clcnt anci i Lrecomeunsighth' Shr,rttels: \\troci i 20-.10vls. i Deltcrtrlstrrt t iirttlttelttrcl tttlittlettlttrcc \4ctal i 20-30r'rs Plastic.altrntinur"t't Postslnrl colur-t-tns Grble verrts:\Xoocl i \\{ll rot in b;rckevert if ltairrceclLrccrr,rse (lf t)loistLlre OR PAINT Orr nrrocl.brick Aluminun.t 42 Strin risers. tleacls.bah-rster Rails DnvWRll AND PLASTER .+U_)Lr rlttst lrc lcgtrirlh spltcklctl lJlla\':ll I \'t'S Crlrcks thltn clrnvell Plaster life , Thicker ancltltore clr-rlablc Ceilingsus life Acor,rsticalceili liie Lunrinousceili l0-20r,rs Discolorseltsilt' CERAMICTILE r installation and mzrinteuance uired 'fr-rb alcove ancl shorver stall i Gror.rtcclele'tr' 5 r'ts. Bath n'air-tscot Ceramicfloor FINISHCARPENTRY on wear and n'raintenance Baseboarclancl shoe, cloor lncl rvinclowtrir-t't i0 r'r's.-lit'e ce mantel FLOORING ( heavl scr-rffi Oak, hard pirre floor life t setLlllif'esu ct to \\:atef te. lack of rer'ioclic: r'etlnishir Slatefla torre floor +u-)u \.fs llc rcltlacecl ellr-licr Resilient vinyl 10-15r'rs. Becauseof scr,rffl rlav har,e ttt Cart>etirt )_l(r \'t's OII LIS CABINETSAND VANITIES Kitchen cabir-rets,bath I'anities i 20-30vts Countertr> , 10-30t L's. Meclicinecabinets 10-25r'rs Sllorvel cloors 20-25r'rs. life nclson qr-ralitvclf n'oocl arlcl constructitlt.l Vall paint, trint, ancl clools : 3-10v|s. ELECTRICALFINISH Electric ranqe ancl oven Disposal i 5-12trs Exhaust f'ar-t : 8-10r.rs. Vater heater Electlic flrtures Doorbelland chirres i 10-25t'rs. Fh-rorescentbr-rlbs i 3-j t'rs. 43 .$ ! I -.:;:,-- :. {;o' ,.1f rf.i ,t ti t i:,. .i t i./; i "i '{"': " "; Item Useful Life (cont.) PLUMBINGFINISH Dishwasher i 5-15I'r's Gas rvater heater' : 8-12r'rs, Gas lefrigeratol 15-25vns. j 'Iicilet i seats : 8-10r'rs. i Commocle : l\-/\ \'r_t : Steelsinl Vialnr air-furrraces ; lj-30 t t's. Cei 20-30I'r's. Baseboard 20-40vrs. AC r-rnit : 8-lB vls, AC compressors : 10-18\,fs. i Regr-rlar-rttaintenattcerequired Hr-rmiclifier' Electlic air cleaners APPLIANCES Refrigerator : 1)-l) \'l'S Vasher : B-12r'rs. Drver' i 8-12vls. Conbo washer anclclrver : 7-10r'r's. Garage%3-'"j'L--door oper-rer i B-10r'rs. i DisDosal units i B-12 vrs. : Dislrwasher APPOINTMENTS Closet rods Towel bars SoaDqrab 10-12r,rs, OTHERS Irencesarrcl screens i 20-30r'rs. Patios(concrete) i 1i-i0 vt's. Gravel rvalks Concrete walks 10-50vrs. inklel systen-r 15-lj vls. yrs Asphalt dlivewav 5-20r'rs \Xitlr hworl< mav last 15-20 44 APPENDIX D SeasonaI Maintenance Planner SUMMER projec$ and tendlng This is the seasonfor unclertakingmaior horne improvement your ever-char-rginglandscaPe. . Maintain lawn and garden tools' Make sure Sl"rarpenblacles, change oil, and replacefilters on the lawn mower' blades' weed trimmers are in gooclconclitior-r. oil garclentools and sirarpen ' Inspect locks on doors and usindous install a home Make Sufeyollr home is safeand secure'Oil an,vtestl'locks and to increase securitysystem if desired.Consider installing outdoor lighting securitY. . InspectJor termites and otber pests' carpenter tnspect the basementor crawl Space,eaves, and attic for termites, a professional anti, anclotherwoocl pests.If you see signsof woocl damage,call wasp or exterrninator.Look under the eavesfor wasp or hornet nests.Handle hornet nestswith care and call in a professionalif necessary' ' PrirmP patios and Porcbes. Replace Cleanthe bar-becueand hose down brick or concrete patio sLlrfaces. porch any broken bricks; patch concrete cracks'Vash outdoor or Scfeened-in Bring floors. Plantannuals in pots, or replant existingplanters. oil patio doors. out patio or Porch furniture. . ComPlete painting Projects. Ifyou'repaintingyourlrouse},ourself,rentapowerwasherandwashyour ancl house first. Scraf,eoff crumbling paint, smooth rough areaswith sandpaper' fill in damageclareas with wood putty. Choose tl-rebest paint y6ll can afford. Scheduleinterior painting projects,too; warm tenlperaturesallow for ventilationand quick drying times. . Build or repair fences. Repair any damagedareas of existing fencing and refinish as necessary'If you're builctinga new fence,get at leastthree bids and look careftrllyat the increasing variety of fencing marerials.Make sure your fence abides by local codes and doesn't encroachon neighboring properties' . Inspect sid.ing. Check siding ancltrim around windows and doors for holes, dents, and gaps. Repairwith woocl filler or accordingto manufacturer'sinstructions. If your home's siding needs to be replacedentirely, sllmrler is the best time for this one- to two-week Project. . RePlace your roof If you neecla new roof, have it installedduring sltntmer'swarm, dry weather. Consider fire-resistantroof rnaterial if yeu live in a areaprone to wildfire and vour current roof is not fireproof. 45 ,, l. t 'i r" '.i , ,..',i .1-i ! .-\-.i d i,XcJl,XLi L'i.'x! . J '..,....i....+... . Repair and seal driueotsays, Renewthe surfaceof asphaltdriveq,avs with sealer.Repair dar-nage to concrete drivewavsas soon as possible(this projecr n-Iaylequire a professional). FALL Especiallvin colcl-winterafeas of the countr\/,fall is the time to prepare )rour house for extreme tentperaturechanges and hear1,precipitation. . Inspect tbe roof. Ilire a licer-rsedroofer to replacemissing or broken shingles,shake pieces, or tiles.Make sllre the flashingaround vent pipes,sk,vlights, and the chimnsy'i5 secure. . Clean tbe cbimney andfireplace. Hire a cltinrnevsweep to remove build-up of combustiblecreosote from the chimne\,,hearth, and firebox. If 1'sudon't u.se1rsg1' fireplace more than a few times a year,do tl-rise\/eq/ couple of yearsirlstead of annually, . Unclog the gutters. Cleanthe gutter channels,clear downspouts of debris.Make sure that the downspouts firnnel water awayf1e1'11 the foundation. Replacebroken or cleterioratingglltters or clownspouts. . Inspect tbe.foundation. I-ook forsigns of \\ratefdar-nage, Make sure that dirt around the house is graded to drain water au'avfrom the for,rndation.If you have an underground drainage s)/Sten'ror sunrp pllnlp, r-nakesure it operatesproperly . Cbeck tbe heating system Cl-rangefilters and cl-reckregisters ar"rd ducts for blockages.Hire a professional to irar.,e1,our furnace inspectedfor leaksancl burner efficiencl,.Regularl-v dust registersancl intake grills using )/our vacuum'screvice tooi. . Insulate. Replaceor adclcaulk or weather stripping around doors and windows, between the for-rnclationand siding, and r,vhereverbricks and wood make contact.Both of tl-reseflexible sealatlts degrade o\/er time' Make sure 11611have sufficientattic insulatior-i:Most areasrequire at ieastsi:x inches of insulationmaterial. . Sbut off tbe outdoor utater supplJ, after tbe firstfreeze. In areaswhere temperatures drop beloq' freezing ir-rtl-re winter, shut off the oLltdoorwater supplv or sprinkler s\/steul.Store garden hosesindoors. . Winterize your windouts. If you havewindow ltnits or doors witl-rcornbination screen/storm windows, reutove screerls.wash and store, and installstonn windows. Removewindow aircorrditioningurrits. . Prepare your yard. Rakeleaves and add tl'rer-n[o the compost heap. Prune trees and shrubs.Mow ar-rdfertiiize the lawn. Store patio furniture, sLln-u-Irersports equipn'rent,and garden tools. Plantspring br-rlbsand clivideand replant perennials. 46 , Lubricate hinges. doors' App\, oil to door ancl window hinges. Don't forget gar^ge . ndy ilte garage. and adhesives' Move indoors a"nythlngthat r-r-rightfreeze, such as paint, caulk, to local Discarclhazardor-ts rnaierials (sr,rch as paintsand sol'ents) according rules;call yor-rrlocal waste-disposaldepartment for inforlr-ration' WINTER wiuter telxperatures This is the ideal tirne to prepare for tl-reonslaught of extreme and to take care of indoor maintenanceneeds' . Install ertra insulation. Weatherstrip as neeclecland installplastic sl-reets ou w-inclow's' ' Prepa.re for snow. Snowremoval are Now'Sthe time to make sure all your tools and equipnent for in good condition. . Patclt and paint. Patchand paint interior walls and ceilingsas needed' ' Repa.ir ind.oor u;oodutork' Fill holes with wood putty, then sand and finisl-rthe sr:rface' . Ma.intainappliances. hot water' Unplug the rcfr-igeratorancl clean it thoror-rghlvwith soap ancl for better vacuum the condensercoil in the back or bottom of the refrigerator water' Clean energyefficiency. if the drain pan is removable,clean it in soapy the insidesof the dishwashef,stove exhaustfan, oven, and microwave' . Inspect batbroom caulking. toilet' Make Removeand replacecrumbling caulk arounclthe batl-rtub,Sink, or sllre no moistuie is leakinguncler the bathtub or shower stall' . Protect pipes from freezing. pipes on tl-Ie Insulate,ny *^1., pipes that are exposeclto extrenle cold (check north side of house particularll').Cover outdoor water faucets' . Plan bome improuement Projects' Plannrajor home improveuent projects,Such as painting the exterior of tl-re lrouse,building a patio,or making landscapecl-ranges. check with )'or-rrlocal call building departn-rentro see if y6ur projectsrequire pelrnits' In late winter, contractorsto submit bicls. . Clean and organize tbe basement' Sweepthe floor and clear ont cobwebs.Check stored items for moisture and damage.Build or purchase srorageshelves. Ticly up work areas.Start flower vegetableseeds in seed traYsunder lights' 47 'i'iti{ix {1.';ltii SPRING spring is the time to get \/our landscapereacly to bloom and reaclyyourself for outdoor home improvement projects. . Repair utinter damage. Look for saggingglltte$, loose window framesor sicling,deteriorating concrete or brickwork, missingroof shingles,or water dan-rageuncler eaves or soffits. Schedulerepair.s promptly . Yard work. clear awavfallen branchesand leaves.Use a mulching mower to spread clippingsevenly over the lawn and fertilize naturally.Loosen rhe soil arouncl perennials;plant aunualsor a vegetablegarden. Prune shrubs and rrees. . Patch and paint. check exteriol walls for holes or cracks;patch and paint as necessary. . FAns and air conditioners. Cleanfan bladesusing ntild soapywater. Check the central air-conditioningunit for debris and obstructions;vacuum the main condensercoil on top of the unit. Check the operating condition of window air-conditioningunits; remove and wash filters ir-rn-rild soapy warer. . Turn. on outdoor utater supply. Hook up tl-regarden hose and ir-rspectit for cracksor leaks.Replace old washers. . Clean utindou.ts. Washrvindows, screens, ar-rd windowsills; repair any winter damage. . Cbeck exbaustfans and aents. Make sur:eall exhaustfans and vents are cleanand clear.Remove lint builduo from the clothes clner vent. , Remoue uinter asbes. Sweepashes into vour fireplace'sasl"r pit or into a dustpan.Clean and lightly oil fileplace tools. Removeashes from wood-burning stovesand inspect all rnoving parts and gasketsto make sure thev sealtightllr . Condition your deck. Hamtner in anlr loose nails, or ;eplace thetr with galvanizeddeck screws. Replaceany broken boards or rails.Rent a power washer to clean dirt and mildew from the woocl, tl-renapply an all-weathersealer or stain.Set up patio furniture. . Cbeckfences and pool. Repairany [1.p"t fence boardsand paint or sealthem as needed. Cleanthe pool if it has been covered all winter. . Spring cleaning. Dust walls and ceilingsio remove cobwebsand wash any grimy areas.Dust or wash registers.W'ash window curtains or renlove drapes for dry cleaning. Clean rugs and carpeting.Dust and polish wood or laminatefloors. Polishwoodwork. Clean the garage and br:ing out the garden tools and lawn mower. 48 FTC FACTS for Consumers APPENDIX E Home Sweet Home... Improvement FEDERAL TRADE COMMISSION ftc.gov 1-877-FTC-HELP FOR THE CONSUMER hether you’re planning an addition for a growing family or simply getting W new storm windows, finding a competent and reliable contractor is the first step to a successful and satisfying home improvement project. Your home may be your most valuable financial asset. That’s why it’s important to be cautious when you hire someone to work on it. Home improvement and repair and maintenance contractors often advertise in newspapers, the Yellow Pages, and on the radio and TV. However, don’t consider an ad an indication of the quality of a contractor’s work. Your best bet is a reality check from those in the know: friends, neighbors, or co-workers who have had improvement work done. Get written estimates from several firms. Ask for explanations for price variations. Don’t automatically choose the lowest bidder. Home Improvement Professionals Depending on the size and complexity of your project, you may choose to work with a number of different professionals: • General Contractors manage all aspects of your project, including hiring and supervising subcontractors, getting building permits, and scheduling inspections. They also work with architects and designers. • Speciality Contractors install particular products, such as cabinets and bathroom fixtures. 1 • Architects design homes, additions, • asks you to pay for the entire job up- and major renovations. If your project front; includes structural changes, you may • suggests that you borrow money from a want to hire an architect who specializes lender the contractor knows. If you’re in home remodeling. not careful, you could lose your home • Designers have expertise in specific through a home improvement loan scam. areas of the home, such as kitchens and baths. Hiring a Contractor • Design/Build Contractors provide one- stop service. They see your project Interview each contractor you’re consider- through from start to finish. Some firms ing. Here are some questions to ask. have architects on staff; others use • How long have you been in business? certified designers. Look for a well-established company and check it out with consumer protection officials. They can tell Don’t Get Nailed you if there are unresolved consumer Not all contractors operate complaints on file. One caveat: No within the law. Here are record of complaints against a particular some tip-offs to potential contractor doesn’t necessarily mean no rip-offs. A less than previous consumer problems. It may reputable contractor: be that problems exist, but have not yet • solicits door-to-door; been reported, or that the contractor is doing business under several different • offers you discounts for finding other names. customers; • Are you licensed and registered with • just happens to have materials left over the state? While most states license from a previous job; electrical and plumbing contractors, • only accepts cash payments; only 36 states have some type of • asks you to get the required building licensing and registration statutes permits; affecting contractors, remodelers, and/ • does not list a business number in the or specialty contractors. The licensing local telephone directory; can range from simple registration to a detailed qualification process. Also, the • tells you your job will be a licensing requirements in one locality “demonstration;” may be different from the requirements • pressures you for an immediate in the rest of the state. Check with your decision; local building department or consumer • offers exceptionally long guarantees; protection agency to find out about licensing requirements in your area. If 2 3 your state has licensing laws, ask to see you to sell your home to satisfy their the contractor’s license. Make sure it’s unpaid bills from your project. Protect current. yourself by asking the contractor, • How many projects like mine have you and every subcontractor and completed in the last year? Ask for a supplier, for a lien release or list. This will help you determine how lien waiver. familiar the contractor is with your type • What types of insurance do you of project. carry? Contractors should have • Will my project require a permit? Most personal liability, worker’s states and localities require permits for compensation, and property building projects, even for simple jobs damage coverage. Ask for like decks. A competent contractor will copies of insurance certificates, get all the necessary permits before and make sure they’re current. Avoid starting work on your project. Be doing business with contractors who suspicious if the contractor asks you to don’t carry the appropriate insurance. get the permit(s). It could mean that the Otherwise, you’ll be held liable for any contractor is not licensed or registered, injuries and damages that occur during as required by your state or locality. the project. • May I have a list of references? The contractor should be able to give you Checking References the names, addresses, and phone Talk with some of the remodeler’s former numbers of at least three clients who customers. They can help you decide if a have projects similar to yours. Ask each particular contractor is right for you. You how long ago the project was completed may want to ask: and if you can see it. Also, tell the • Can I visit your home to see the contractor that you’d like to visit jobs in completed job? progress. • Were you satisfied with the project? • Will you be using subcontractors on this Was it completed on time? project? If yes, ask to meet them, and • Did the contractor keep you informed make sure they have current insurance about the status of the project, and any coverage and licenses, if required. problems along the way? Also ask them if they were paid on time by this contractor. A “mechanic’s • Were there unexpected costs? If so, lien” could be placed on your home what were they? if your contractor fails to pay the • Did workers show up on time? Did they subcontractors and suppliers on your clean up after finishing the job? project. That means the subcontractors • Would you recommend the contractor? and suppliers could go to court to force • Would you use the contractor again? 4 5 Understanding Your Payment • Some state or local laws limit the Options amount by which the final bill can exceed the estimate, unless you have You have several payment options for approved the increase. Check with your most home improvement and maintenance local consumer agency. and repair projects. For example, you can get your own loan or ask the contractor to • If you have a problem with merchandise arrange financing for larger projects. For or services that you charged to a credit smaller projects, you may want to pay by card, and you have made a good faith check or credit card. Avoid paying cash. effort to work out the problem with the Whatever option you choose, be sure you seller, you have the right to withhold have a reasonable payment schedule and a from the card issuer payment for the fair interest rate. Here are some additional merchandise or services. You can tips: withhold payment up to the amount of • Try to limit your down payment. Some credit outstanding for the purchase, plus state laws limit the amount of money any finance or related charges. a contractor can request as a down payment. Contact your state or local The “Home Improvement” consumer agency to find out what the Loan Scam law is in your area. A contractor calls or knocks on your • Try to make payments during the door and offers to install a new roof project contingent upon completion of or remodel your kitchen at a price that a defined amount of work. This way, sounds reasonable. You tell him you’re if the work is not proceeding according interested, but can’t afford it. He tells you to schedule, the payments also are it’s no problem — he can arrange financing delayed. through a lender he knows. You agree to • Don’t make the final payment or sign the project, and the contractor begins work. an affidavit of final release until you are At some point after the contractor begins, satisfied with the work and know that you are asked to sign a lot of papers. The the subcontractors and suppliers have papers may be blank or the lender may been paid. Lien laws in your state may rush you to sign before you have time to allow subcontractors and/or suppliers read what you’ve been given to sign. You to file a mechanic’s lien against your sign the papers. Later, you realize that the home to satisfy their unpaid bills. papers you signed are a home equity loan. Contact your local consumer The interest rate, points and fees seem very $ agency for an explanation of high. To make matters worse, the work on $ lien laws where you your home isn’t done right or hasn’t been $ $ live. completed, and the contractor, who may 6 7 have been paid by the lender, has little Before you sign a contract, make sure it interest in completing the work to your contains: satisfaction. • The contractor’s name, address, phone, and license number, if required. You can protect yourself from inappropriate • The payment schedule for the contrac- lending practices. Here’s how. tor, subcontractors and suppliers. Don’t: • An estimated start and completion date. • Agree to a home equity loan if you don’t have enough money to make the • The contractor’s obligation to obtain all monthly payments. necessary permits. • Sign any document you haven’t read or • How change orders will be handled. any document that has blank spaces to A change order — common on be filled in after you sign. most remodeling jobs — is a written authorization to the contractor to • Let anyone pressure you into signing make a change or addition to the work any document. described in the original contract. It • Deed your property to anyone. First could affect the project’s cost and consult an attorney, a knowledgeable schedule. Remodelers often require family member, or someone else you payment for change orders before work trust. begins. • Agree to financing through your • A detailed list of all materials including contractor without shopping around and color, model, size, brand name, and comparing loan terms. product. • Warranties covering materials and Getting a Written Contract workmanship. The names and addresses Contract requirements vary by state. Even of the parties honoring the warranties — if your state does not require a written contractor, distributor or manufacturer agreement, ask for one. — must be identified. The length of the A contract warranty period and any limitations also spells out the should be spelled out. A Written Contract who, what, • What the contractor will and will not where, when A contract spells do. For example, is site clean-up and and cost of out the who, trash hauling included in the price? your project. what, where, Ask for a “broom clause.” It makes the The agreement when and cost of contractor responsible for all clean-up your project. The should be agreement should work, including spills and stains. clear, concise be clear, concise • Oral promises also should be added to and complete. and complete. the written contract. 8 9 • A written statement of your right to • The job site has been cleaned up and cancel the contract within three business cleared of excess materials, tools and days if you signed it in your home or equipment. at a location other than the seller’s • You have inspected and approved the permanent place of business. During completed work. the sales transaction, the salesperson (contractor) must give you two copies of a cancellation form (one to keep and Where to Complain one to send back to the company) and If you have a problem with your home a copy of your contract or receipt. The improvement project, first try to resolve contract or receipt must be dated, show it with the contractor. Many disputes the name and address of the seller, and can be resolved at this level. Follow any explain your right to cancel. phone conversations with a letter you send by certified mail. Request a return receipt. That’s your proof that the company Keeping Records received your letter. Keep a copy for your Keep all paperwork related to your project files. in one place. This includes copies of the contract, change orders and correspondence If you can’t get satisfaction, consider with your home improvement professionals. contacting the following organizations for Keep a log or journal of all phone calls, further information and help: conversations and activities. You also • State and local consumer protection might want to take photographs as the job offices. progresses. These records are especially • Your state or local Builders important if you have problems with your Association. project — during or after construction. • Your local Better Business Bureau. Completing the Job: A Checklist • Action line and consumer reporters. Check with your local newspaper, TV, Before you sign off and make the final and radio stations for contacts. payment, use this checklist to make sure the job is complete. Check that: • Local dispute resolution programs. • All work meets the standards spelled out in the contract. • You have written warranties for materials and workmanship. • You have proof that all subcontractors and suppliers have been paid. 10 11 For More Information • Federal Trade Commission www.ftc.gov The FTC works for the consumer to prevent fraudulent, deceptive, and unfair business practices in the marketplace and to provide information to help consumers spot, stop, and avoid them. To file a complaint or to get free information on consumer issues, visit ftc.gov or call toll-free, 1‑877‑FTC‑HELP (1-877-382-4357); TTY: 1-866-653-4261. The FTC enters consumer complaints into the Consumer Sentinel Network, a secure online database and investigative tool used by hundreds of civil and criminal law enforcement agencies in the U.S. and abroad. • National Association of Home Builders www.nahb.com To order a free copy of How to Find a Professional Remodeler, send a self- addressed stamped envelope to: NAHB Dept. FT 1201 15th Street, NW Washington, DC 20005 • National Association of Consumer Agency Administrators www.nacaa.net P.O. Box 40542 Nashville, Tennessee 37204 Toll-free 1-866-SAY-NACAA Federal Trade Commission Bureau of Consumer Protection Division of Consumer and Business Education August 2001 12 APPENDIX F 1 6 1616 WWWaaaysysys to Avoid Remodeling, Repair and Construction Problems BEFORE A PROJECT Finding and selecting a contractor Negotiating a contract DURING AND AFTER A PROJECT Avoiding problems Paying wisely Preventing & resolving disputes FINDING AND SELECTING A CONTRACTOR The Construction Contractors Don’t automatically accept Board (CCB) has found that most 5 the lowest bid. The old construction projects can go saying “you get what you pay smoothly if consumers do their for” applies here. A higher bid may homework by checking out their be worth the price in better contractor, setting realistic expec- materials, workmanship and tations and making wise decisions reliability. during the project. The following If you get a very low bid, the con- tips can help: tractor may have made a mistake Develop a list of potential or forgotten to bid everything. Or, 1 contractors. Ask friends, they may have deliberately low- neighbors, relatives and co-work- bid the job in order to get it. If they ers for names of contractors they have bid too low to make a profit, used. Find out if their experiences they may use cheaper materials or Need a Landscaper? were good or bad. Ask if they take shortcuts. All landscaping would use this contractor again. businesses must be Ask for references. Check CCB Tip licensed with the 2 with previous customers. A large number of CCB Landscape Contractors Were they satisfied with the complaints filed against Board. work? Was the work finished contractors are the result Most landscaping within a reasonable time frame? of homeowners taking the Did the contractor return phone projects will go smoothly lowest bid and then being calls? If the person had problems if you follow the tips in unhappy with the poor with the contractor, ask how the quality of work. this booklet. contractor responded to com- For more information, plaints. Look at examples of the contractor’s work. or to verify a Make sure your contractor landscaper’s license, Ask what trade associations 6 is properly licensed with the visit www.oregon.gov/lcb 3 the contractor belongs to. CCB. A license is required or call 503-378-5909. Home building and remodeling is for any business or individual that professional work. Membership in advertises, offers, bids, arranges a professional association is one for, or actually does any construc- sign that a contractor recognizes tion, alteration, home improve- the responsibilities of being a pro- ment, remodeling or repair work. fessional. This includes painting, roofing, carpentry, siding, plumbing, Get more than one written electrical, floor covering, 4 bid for bigger jobs. This can windows, insulation, land help you understand what development, concrete, inspection your project will entail. Make sure services, heating and air you understand any wide variations conditioning, and most other in bids. construction and repair services. 1 FINDING AND SELECTING A CONTRACTOR Ask for a current CCB license cies. If a worker on your project number or get it from their business is injured, his or her employer card or advertisement. workers compensation insurance will cover the costs and prevent Check with the CCB to make sure you as the owner of the property the contractor’s license is currently from having to pay for the injury. active. You can also check the business’ complaint history, Information on a contractor’s disciplinary actions and size of the license is available by calling the contractor’s bond and insurance. CCB at 503-378-4621 or on the Licensed contractors have a surety website at www.oregon.gov/CCB. bond and a general liability Click on Check a Contractor’s insurance policy. License and enter the CCB license number. If you do not have the CCB number, you can enter the name of CCB Tip the business. An active license Illegal contractors will lie means: and say they’re licensed Plan your project carefully. 7 Consider your budget. Find y The contractor can hoping you won’t check legally work in up on them. pictures of styles and products you like. Write down Oregon brand names and models. Show y The contractor has them to your contractor. “High Any licensed construction a surety bond and quality faucets” or “ivory paint” business, no matter how good, may liability insurance - may mean something different to have a complaint filed against it. you and your contractor. Walk with both offer some What may be a red flag is a high your builder through a finished financial protection number of complaints within a project and explain what you like if problems develop relatively short period of time. and don’t like. Get plans or Other considerations may be the later blueprints and make sure they show business’ volume of work and how y You have access to your project accurately. Approve it resolves disputes. the CCB’s low cost the completed plans before work If the business will be using work- begins. dispute resolution ers, check if the license allows services Think carefully before employees. A “nonexempt” license 8 becoming an owner -builder. means the contractor carries work- If the work requires more than ers compensation insurance cov- two specialty contractors, you may ering employees in case of an in- consider hiring a licensed general jury. An “exempt” license means contractor. (Remodeling a kitchen, they do not carry workers compen- for example, usually requires a sation insurance covering employ- plumber, electrician, floorlayer, ees. Contractors can be exempt and carpenter.) and use licensed subcontractors or employees from temp agen- Unless you’re an experienced 2 FINDING AND SELECTING A CONTRACTOR Questions to Ask a Contractor – and Yourself y What experience, expertise, and certifications do you have? Do you specialize? y Who will be doing the actual work—you, subcontractors, or em- ployees? (You may like the owner of the business but that person may not be the one doing or supervising the work.) y If you get the job and permits are required, will you get them? y How many jobs will you be working on at the same time as mine? y What written warranties do you offer? y Who can I call with questions once the project starts? How can I contact you if there are problems? y Does hiring this contractor feel right? (Use your intuition—if you don’t feel comfortable, find someone else.) y Do I have rapport with this contractor? Am I confident in his or her Beware of repair expertise and ideas? Does the contractor care about my concerns? scams! Will the contractor be reliable, keep appointments, and return my calls? Stay away from repair y Can I communicate with this contractor? Does the contractor seem businesses that: honest and forthright? (A contractor may be a skilled craftsperson, y Market door-to-door but if you can’t communicate and the final job isn’t what you wanted, with ‘special’ deals you won’t be happy.) y Offer to use leftover, y Can I be reasonable and let my contractor work without calling all cheap materials the time? Do I realize that my contractor may not be able to return my calls within minutes because of other jobs and a personal life? from another job y Am I willing to be reasonable about unexpected costs that arise and which they claim will let my contractor make a profit? save you money y Can I be flexible if the job takes longer than expected? y Want 100 percent of y Are my expectations so high that I will never be satisfied with the the payment up front, project? in cash Finding and Selecting a Home Inspector y Use high-pressure sales tactics y Call the CCB to make sure the business can legally do home including intimidation inspections. CCB-certified inspectors have passed a test and must follow standards of practice and behavior. Ask your inspector about his or her experience and credentials. y Consider finding your own inspection service rather than relying on the recommendation of a real estate agent. y Read your contract for disclaimers. y You are purchasing an educated opinion. Reports by seller’s and buyer’s inspectors sometimes differ. y An inspection report is not a warranty. It does not guarantee that the house is sound or that you will never encounter problems with the home. 3 AVOIDING PROBLEMS DURING THE PROJECT builder with the time and skills to cense record. Don’t sign the contract do it right, you’d be wise to hire a until you understand everything. licensed general contractor. Make sure your contract does not include a provision that says you can- not file a complaint with the CCB. Use a written contract. Get all warranties in writing as part 9 Contractors are required to of your contract. Make sure you un- provide a written contract derstand what is and isn’t covered. for projects over $2,000. The CCB recommends a written con- Contracts with an owner to build a tract for all projects. A written new, residential structure must contract protects you and the con- contain an offer of a warranty. The tractor. Put all agreements, includ- law does not specify how long the ing all changes to the contract, in warranty must be in place or that it is writing. Generally, the more de- at no cost to the homeowner. Be sure tailed a contract is, the fewer prob- you understand who is providing the What’s the biggest lems that will come up later. A big warranty (it could be your contractor cause of homeowner- project should have a detailed con- or a third-party) how long the contractor disputes? tract, not “remodel master bed- warranty period lasts and what the No written contract, a room, $19,450.” Make sure the fee is. The homeowner is not required name on the contract matches a to accept the warranty. poorly written contract, name in the contractor’s CCB li- or a contract everyone ignores What should be in a contract? y A list of materials to be used including quality, quantity, weight, color, size, brand names, etc. y A list of “allowance items” and the budgeted amount. (An allow- ance is a specific amount of money to buy something that has not yet been selected. When the fixtures, etc. exceed the allowance, the homeowner pays the additional amount.) y A list of permits needed and who will obtain them. y A starting date and a completion date. You might want to add an incentive clause if the work is completed on or ahead of schedule. y The total price, payment schedule, and any cancellation penalties. Be careful about paying for everything up front. Consider partial payments upon completion of portions of the work. y A list detailing what the contractor will and won’t do. y Warranties of workmanship, length of warranty, and what is and isn’t covered by warranties. y The contractor’s name, address, and CCB number as it appears in CCB license records. y Other items to include: cleanup and removal of debris, workday restrictions, smoking in the living area, special requests, etc. 4 AVOIDING PROBLEMS DURING THE PROJECT Make changes in writing. tract is common. Find a balance 10 People change their minds where the contractor has enough during a project. If changes money to buy materials and begin are made at the right time, the cost work, and you have enough at the and length of the job may not be af- finish date to ensure satisfactory fected. Delay, however, can mean completion. costly changes. For new homes and Make payments in stages as the work remodeling projects, allow at least a is completed and has passed inspec- 10 percent increase for changes from tions. For bigger projects, you can the contract. establish an escrow account at a If changes in the plans or contract bank. occur during the project, put them Don’t pay in cash. Unfortunately, a in writing as amendments to the few scam businesses have no inten- contract, including any differences tion of starting or completing the Don’t hire unlicensed in cost and who will pay for them. work. Make checks out to the con- These “change orders” should be contractors. tractor as the contractor’s name ap- signed by both you and the contrac- If you use an pears in the contract. unlicensed contractor... tor. Avoid construction liens. y You lose the Communicate. Talk to your Homeowners are ultimately contractor during the project. protection of a 11 14 responsible for payments to Many disputes happen when licensed contractor’s subcontractors and suppliers people fail to communicate at every general liability even if they have paid the general step of the project. insurance, and you contractor in full. Do not allow con- struction to start until your contrac- assume liability for Obtain building permits. tor gives you a copy of Information accidents on the job Construction of new homes 12 Notice to Owner About Construc- and most remodeling projects site. Most tion Liens. The two-page notice ex- require building permits from the lo- unlicensed plains liens and how to protect your- cal building department. Usually con- contractors are not self. Read it carefully and follow its tractors obtain the permits because advice. For more information on con- insured they know which permits are re- struction liens, visit the CCB website y You lose access to quired. But ultimately, the owner is and go to Consumer Publications. the CCB’s dispute responsible for making sure proper resolution services permits are obtained. Make sure a final inspection is done when the Keep good written records. work is completed. For more infor- Keep a log of conversations mation, visit 15 and copies of all documents, www.permitsprotect.info. correspondence, canceled checks, change orders, etc. If prob- Pay wisely. Legitimate lems develop later or you sell your 13 contractors often require a home, the project is documented. down payment—a third to a fourth of the total cost of the con- 5 PREVENTING AND RESOLVING CONSTRUCTION DISPUTES Get help resolving means you have one year to file the 16 disputes. If problems or paperwork for a CCB complaint. If disagreements occur, try to the CCB processes your complaint, work them out with your contractor. you will be asked to pay a $50 pro- If you can’t, call the CCB for cessing fee. You may get the $50 information about its dispute back as part of the damage award. resolution services. Complaints filed against unli- Thousands of complaints against censed businesses are sent to the contractors are filed with the CCB CCB’s Enforcement Section. They each year. Most are settled by an in- assess civil penalties for violations vestigation/mediation meeting at the and work to get contractors to com- job site with the homeowner and con- ply with the law to protect future tractor. customers. The CCB investigator/mediator If you choose to file a lawsuit or CCB complaint forms looks at the issues in the complaint pursue other court action against a and consumer and tries to resolve the dispute. If contractor, Oregon law contains the dispute continues, a hearing and important requirements you must information are appeal process is offered. If the follow before starting a court ac- available online. contractor refuses to cooperate or tion against any contractor, subcon- Go to www.oregon.gov/ pay an amount ordered, payment is tractor or supplier for construction CCB and click on covered by the contractor’s bond defects. Contact an attorney for Dispute Resolution to the limits provided by law. more information. Services for claim Homeowners can file a complaint forms and instructions. with the CCB if they believe the CCB Tip Click on Consumer contractor has done poor or negli- If your contractor is Information for other gent work, breached the contract, properly licensed with the helpful tips and allowed liens to be filed, or oth- CCB, you can get help information. You can erwise caused damage. resolving construction- also order forms and You can file a complaint if you related disputes within a brochures by phone, have a direct contract with a li- year from the time the work 503-378-4621 censed contractor. You must notify was substantially the contractor in writing of your in- completed or stopped. For tent to file a complaint 30 days a newly constructed before filing it with the CCB. house, you can get help within a year from Generally, the deadline for filing occupancy. This protection complaints is one year from when is only available if the the work was substantially com- contractor is licensed. pleted. The one-year CCB filing deadline does not mean you are guaranteed money from the bond. It 6 Oregon Construction Contractors Board PO Box 14140 Salem OR 97309-5052 ABOUT THE CONSTRUCTION CONTRACTORS BOARD The Construction Contractors All contractors must maintain an Board (CCB) is the state agency active license while doing con- that licenses and regulates all con- struction work. Anyone who is struction businesses in Oregon. paid to repair, improve or build a The CCB promotes a competitive home must be licensed by the business environment and offers CCB. consumer protection through edu- The agency licenses more than cation, dispute resolution and law 46,000 contractors. enforcement. Contact the CCB for: CCB activities are funded from 503-378-4621 y Contractor license verification contractors’ fees and penalties. www.oregon.gov/CCB y Dispute resolution services The agency does not draw on Or- y Free consumer information egon tax dollars or general fund. CCB and publications PO Box 14140 The CCB keeps 20 percent of the Salem, OR 97309-5052 funds collected in penalties as- sessed against contractors for vio- lations and 80 percent goes to the state’s general fund. 7 f/16-ways03/06, rev2/10 (pd 1-12)