How to Choose a General Contractor: Complete Checklist (2025)
Choosing the right general contractor is one of the most important decisions in any renovation. Use this practical checklist to spot red flags, verify credentials, ask the right questions and protect your budget.
Red flags when hiring a contractor
Spot these early — they’re the fastest way a renovation turns into a nightmare. If several of these apply, walk away.
- No licence or insurance: Legit contractors provide licence numbers and proof of liability insurance on request.
- Large cash-only deposit: Anything asking for 50%+ upfront or insisting on cash is risky — prefer staged payments tied to milestones.
- Vague or no written scope: If they won’t put materials, timelines and exclusions in writing, you’ll have trouble holding them to promises.
- Refuses references or recent photos: No recent work or unwillingness to share past projects is a major red flag.
- Pushy sales tactics or too-good-to-be-true quotes: Extremely low bids may hide excluded items and cheaper materials.
- No clear project timeline: If they can’t provide a realistic schedule with milestones, expect delays and disputes.
- Poor communication during quoting: Slow replies, missed calls, or opaque answers during the proposal stage usually get worse during the build.
Tip: use the vetting checklist (next section) to convert suspicion into a simple verification process — it saves time and money.
Contractor vetting checklist
Use this checklist before you commit. A professional contractor should have no issue providing every item below.
- Licences & insurance: Verify numbers with your local building authority.
- Portfolio of work: Ask for recent project photos or site visits.
- References: Call at least 2–3 previous clients and ask about timeliness, budget control and communication.
- Reviews & complaints: Check online platforms and Better Business Bureau / Trustpilot where available.
- Permits & compliance: Confirm they pull required permits and know local codes.
Tip: Use the same set of questions for every contractor so bids are comparable.
Questions to ask before signing
- How many projects like mine have you completed in the past 2 years?
- Who will supervise my project on-site each day?
- What’s your process for handling change orders and unexpected costs?
- Can you provide a detailed project schedule with milestones?
- What warranties or guarantees do you offer on workmanship?
Tip: Write answers down — comparing notes across contractors highlights the best fit quickly.
Contracts & deposits
Put everything in writing — scope, materials, payment schedule, completion date and warranty. A vague handshake deal leaves you exposed.
- Written contract only: avoid verbal promises.
- Deposits: 10–30% is standard; avoid 50%+ upfront.
- Payment schedule: tie instalments to clear milestones.
- Warranty: require written workmanship & product guarantees.
Related: Know about Renovation Cost Breakdown for budgeting guidance.
Post-project tips
- Do a final walkthrough with the contractor before making the last payment.
- Collect and file all permits, warranties and receipts for future reference.
- Leave an honest review — it helps other homeowners and rewards good contractors.
- Stay in touch for future maintenance or warranty work.
Frequently asked questions
What is the most important factor when choosing a contractor?
Licensing, insurance, and recent project references. These three protect you from the biggest risks.
How many bids should I get?
At least 2–3 bids. This ensures competitive pricing and highlights unrealistic outliers.
Is a written contract always necessary?
Yes. Written contracts outline scope, budget, and timelines — without one, you have little recourse if disputes arise.
Next steps
Ready to move forward with your renovation? Use our free planning resources or, if you’re a contractor, explore how we can help you grow.