Caveat Emptor: Steer Clear of Unlicensed Contractors

Most licensed contractors are competent, honest, hardworking, and responsible. However, learn from the mistakes of a seasoned investor; before you renovate your home, thoroughly research any contractor you hire.

A Home Renovation Nightmare

For five years, Paul Genovese has been purchasing, renovating, and selling Baltimore property. However, even this savvy investor wasn't prepared to deal with fraudulent contractors like Aleksander Usherenko. Usherenko, an unlicensed contractor, provided Genovese with a Maryland Home Improvement Commission license number when asked. As Genovese explained to The Baltimore Examiner, "[Usherenko] was referred to me, and I didn't question the referral." Genovese only caught on to Usherenko's dishonesty when he noticed that the money being spent on home renovation materials wasn't equivalent to the amount of work being performed.

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  • Windows
  • Room Additions
  • Flooring
  • Interior House Painting
  • Cabinet Refacing
  • Bathroom Remodeling
  • Heating & Air Conditioning
  • New Kitchen Cabinets
  • Full Kitchen Remodeling
  • Vinyl Siding

Don't let an unlicensed contractor get the best of you. Here are some tips for better business dealings:

  • One of the best ways to select a licensed contractor is to seek out personal references from friends or family. Don’t take referrals at face value. Always ask the contractor for a state license number.
  • Protect yourself by verifying that the license number corresponds to the contractor you are considering. Call your state licensing board to ensure that the number and the contractor are valid. It is illegal in states like Maryland for contractors to perform home renovations without a license or to use an existing license fraudulently.
  • Make sure you have a written home improvement contract with your contractor including your contractor's name, address, and phone number. The contract should include: home renovation start and end dates, a detailed description of the work being done, a list of the materials to be used, details of payment, and the contractor's signature and license number.
  • Add a statement to the contract stating that no change in plans may be made without your written approval.

Usherenko was ordered to pay restitution and to serve three years of supervised probation. But an ounce of prevention is worth a pound of red tape and criminal charges; educate yourself before you make a commitment to a contractor.

Sources:
"Kitchen Remodeling," The Home Source
Hiring a Contractor, California State License Board
"Investor Suggests Checking Out Contractors," Examiner.com